Latest / The Curve / TCW36: Cranking side-hustles, a hairy week for Airbnb and another big win for AI.

Transcript

TCW36: Cranking side-hustles, a hairy week for Airbnb and another big win for AI. · The Curve

• 0:00
  Hi and welcome to the Curve Weekly. The podcast that keeps you up to date with all the money,
• 0:06
  business and stock market tea. Everyone should experience for us at least once in their lives
• 0:10
  and Annie shouldn't miss out just because she can't afford it. Help me. I feel like I haven't
• 0:16
  actually talked to you in ages. Like I know that we've been on like text and email and like
• 0:21
  work calls but it feels like it's been ages. Do you miss me? I actually kind of have a little
• 0:29
  bit like it's been. It feels like it's actually been a few weeks. I know. I think I was talking to
• 0:35
  you the other day and I was like hey bye miss you and you hung up. I was like oh okay,
• 0:39
  walking back. Oh my. It's like when you asked me to say to someone like oh bye love you and then
• 0:45
  it's like oh sorry. I don't love you. I don't love you. I don't love you. I don't love you.
• 0:51
  So you can kiss us to your Uber driver and you're like oh show.
• 0:56
  Oh hey how's your centre pay time. Good. Gosh I love that town.
• 1:02
  Oh it's quite wild. What was it like? It was a bit of a out of body experience in terms of
• 1:08
  the lavish lifestyle that people love there. Like it's crazy. The amount of well. It's just
• 1:13
  so bougie, so eccentric, so over the top. Is it like mechanos?
• 1:18
  Mechanos is more like party beach. This is more extravagance in terms of super yachts, bougie shops,
• 1:28
  bougie restaurants. It's just you dress up to go out. Do you know like very eccentric Europe if
• 1:34
  that makes sense. But I quite liked it. I quite liked getting dressed up going out dancing on the
• 1:39
  tables. I was like I love my life right now. This is like quite amazing for all of like five minutes.
• 1:47
  It was so funny that we went to this restaurant and it was right on the water. It was really
• 1:51
  beautiful. It had sand on the ground in the restaurant. It's like quite wild. And oh so nice.
• 1:58
  Anyway we ordered some drinks and we went to order mains and I was like oh my god goodness.
• 2:05
  The price of these mains is out the gate. So we were just like we get like $140
• 2:13
  mains. They're insane. And so I was like hey can we just sort of
• 2:19
  three lots of fries to start? And they were like yeah cool but you should order your mains now
• 2:26
  because there's a bit of you know there's a bit of a weight in the kitchen. I was like oh no
• 2:29
  no it's fine we'll just order these starters and we'll get back to you on the mains.
• 2:34
  And then the fries arrived and we started anything with the knife and fork and I was like oh this
• 2:37
  is so bougie on a budget. And this flesh restaurant having fries. Anyway we didn't order mains and
• 2:44
  we just ordered drinks and yeah left. Thank god I didn't come. How much do you reckon you spent
• 2:52
  on the like the weekend? I mean it was expensive we didn't really eat out dinner that much.
• 2:58
  But you know what I just loved was the coffee and the croissants in the morning. Oh I could get
• 3:03
  used to that. How hard is it to get out of the croissant like habit? Like because for me I was in
• 3:09
  France as well and you just get used to it. So now I went to a cafe this morning and I was like oh
• 3:14
  I really want a croissant. I've done it for like two weeks now I'm in like a daily habit this is
• 3:19
  so unhealthy. I know but I feel like they're croissants. I just love saying it like that. And
• 3:25
  they're not healthy babe. No but they're like made out of better stuff than they would be in
• 3:30
  New Zealand. I reckon. Oh hilarious you keep telling yourself. Have you in dipping it in your
• 3:37
  coffee? Oh gosh yeah. God we must sound like wankers. I know. For each people like yeah we've
• 3:43
  been on this our whole lives guys. Someone me sent you me on Instagram being like do you
• 3:49
  meet this guy in Beiruts or something? And I put a photo up of this really cute guy that I had met
• 3:54
  in Beiruts and I was like oh my god did he had on you too? Like she was like no the podcast. I was
• 4:02
  like oh because I did say last week I might go to Beiruts and stay in the van remember. Oh
• 4:10
  was it the van guy? No it wasn't the van guy. The van guy so I booked no no wait this is actually
• 4:16
  quite funny so I booked my flight and I just thought I thought yolo we were in Paris for the
• 4:21
  World Cup and I thought I'm just going to go I'm in France already I'm just going to do it so I
• 4:25
  booked my flights and I messaged him and I was like I booked my flight and then he messaged me
• 4:29
  a few hours later saying that he couldn't afford petrol to get there. Oh no. And I booked a flight
• 4:37
  already and I was like oh god so anyway my friend ended up coming thank god and we had like a
• 4:42
  little girl's weekend but it's funny. It's not the one. I went to Central Paris with my friends and
• 4:47
  they're like it's safe coming. I was like yep she's coming oh no she's not yep she is oh no
• 4:52
  yep no yeah no honestly I was like I can't have a big girl sorry but back in London now and I
• 5:00
  must say being home and like in a not living out of a suitcase feels quite good but I'm refusing
• 5:06
  to take off my like shell beach necklace. We just had a really important meeting before this
• 5:10
  so I was like sorry guys I just couldn't take off my necklace my shell necklace I just got back
• 5:14
  from the beach. It did break the ice that's for sure. It's like if there's anything that looks
• 5:20
  unprofessional it's the barley shell necklace. Yeah anyway enough about our holidays some is nearly
• 5:26
  over so don't worry everyone's like shut up about your Europe holiday. You know what I still
• 5:31
  doing holiday is keep up with the finance news. Yep that's my holiday. So there has been a bit of
• 5:39
  IPO drought over the last 18 months so for those of you don't know what an IPO is it is when a company
• 5:47
  lists on the stock exchange for the first time so it's when the public can essentially buy shares
• 5:53
  in that business for the first time and there's been a bit of a drought which means a lot of companies
• 5:59
  haven't listed on the stock exchange and it's all around the fact that we've had a pretty interesting
• 6:05
  couple of years I guess in terms of the stock market the economy you know we've had COVID
• 6:12
  and in the stock market didn't do very well last year which you know why would you list on the
• 6:16
  stock exchange if it's going down. Now that the stock market is doing well this year we're starting
• 6:20
  to see these IPOs come back and we had one of the biggest ones this year list during the week
• 6:29
  and the name of it was ARM so it is a semi conductor company so you know how we spoke about
• 6:33
  Nvidia last a few weeks ago so yeah so similar company so it's a semi conductor company so it's
• 6:40
  all it's exposed to this AI movement so it listed on the stock exchange and it jumped 25% on this
• 6:48
  first day which is pretty good considering I guess the the lack of IPOs and the risk and you know
• 6:58
  being that kind of oh I've got a good analogy what hit me so listing as an IPO is like you know in
• 7:06
  Bridgetown how they have the debut on ball and all of the women are like presented for society and
• 7:11
  they're like Sophie Hallwright son of Sarah I mean daughter wow but you know what I mean
• 7:21
  so that's like an IPO the company is like presenting itself to the world and it would be like
• 7:26
  there's no suitors so there's no point in being presented so all the girls are just like all
• 7:31
  means like not interested don't present me to society so it's kind of like that with companies
• 7:36
  there's just like because there's been no real like need you'll want or demand for yeah yeah
• 7:42
  like some of it's been pretty blah and then someone comes along one girl comes along and she goes
• 7:48
  you know what I'm gonna break this drought and I'm gonna I'm gonna be a debut on and come out
• 7:54
  and hope that there's lots of suitors and so she's kind of taking that risk and going out there
• 8:00
  and it was a good risk to take because share prices jumped 25% which means there's a lot of
• 8:06
  suitors a lot of investors that are interested so great analogy so what if you're a woman and you're
• 8:11
  in a same you're the same sex would it be a suitess or my knowledge goes to finance that's about it
• 8:18
  sorry I was just thinking that you know like and also if it may not present it are they
• 8:23
  it's mainly a woman yeah which is kind of weird yeah I feel like that's so weird yeah yeah very
• 8:29
  outdated sorry about my share strategy but that was just the point of it was just to kind of give
• 8:33
  a bit of context yes yes so it is yeah presenting a company presenting itself to the public for the
• 8:38
  first time in a hope that there'll be demand from those public investors to buy their shares because
• 8:45
  some investors go in at IPO and then others will buy more after the IPO once the companies on
• 8:51
  the stock exchange they'll want to buy more so say say I got I got some shares at the IPO and say
• 8:59
  only got 20% of what I wanted then I would go once the companies actually on the stock market and
• 9:04
  buy the by the rest and buy more so you want to create like a bit of demand but not
• 9:12
  soak up all the demand but there's no investors afterwards to buy those shares because they've
• 9:17
  already got what they want that makes sense so it's a constant balance of giving them a little bit
• 9:21
  but not too much so does the company have to choose how many shares they release and that's
• 9:26
  a quite a technical thing where they what you're saying you don't want to have too many so they don't
• 9:29
  get all bought but you also don't have too little yeah exactly so you will raise so this company
• 9:34
  raised about five billion dollars so it wants to raise which means you know getting more getting cash
• 9:42
  to put back into the business to help grow it so it doesn't want to raise too much and then
• 9:48
  there's not enough investors but doesn't want to raise too little that it can't use that money
• 9:53
  you know and grow the business so there's this constant balance of okay we'll raise
• 9:58
  enough that there is a lot of interest from investors but not too little so the constant balancing
• 10:04
  and you want to list when the market's really good so that people are optimistic and excited
• 10:09
  speaking of IPOs this one will get you excited so there's a few other companies that are now
• 10:15
  IPOing because you know there's been this drought but now companies are coming back they're like
• 10:19
  yep cool we're gonna we're gonna IPO one of them is Instacart one of them is Clavio oh we use Clavio
• 10:26
  yeah so Clavio is gonna IPO so what they've done is they've filed their documents or their
• 10:34
  kind of reports their financial statements with the stock exchange which means yeah they're saying
• 10:39
  hey here stock exchange we're about to IPO here are documents and we're now gonna kind of start
• 10:44
  the process so it's a good way to figure out if a company is gonna IPO is to watch you know watch
• 10:49
  the watch the filings they call it but yeah Clavio is gonna IPO which is exciting I don't have a time
• 10:55
  frame yet but yeah one we know well Clavio we use for our email marketing like all of our emails
• 11:03
  and like it's it's you know if we have the curve weekly newsletter for example we like
• 11:07
  schedule it in there and make it look cute we'll try to make it look cute the company is raising
• 11:13
  $500 million so that's money to put into the business to help it grow which means that it's
• 11:19
  gonna be valued at which means the the shares times the share price so the size of the business
• 11:25
  is gonna be about eight four billion dollars so quite a large business eight point huge huge so
• 11:32
  watch the space there's probably gonna be a lot more IPOs would you say if you're a beginner investor
• 11:37
  that IPOs is more of a risky one in terms of choosing a company that's gonna do well straight
• 11:42
  after the IPO yeah I think it is because the company hasn't been public yet so it's the first time
• 11:52
  that it is listing that is added risks you know you don't have that track record of how the company
• 11:58
  has performed it doesn't have to disclose historical financials you don't actually know if it's
• 12:05
  done well historically there's a lot of things that and there's a lot of hype around IPOs
• 12:12
  if we look at all birds for example that did fantastically well when IPOs and now share prices
• 12:19
  absolutely tanked so don't don't get worried that investing at IPO is the only time that you can
• 12:26
  invest in these companies and you may hear stories that this company did 150 percent on day one or
• 12:32
  this company was up 50 percent on day one or whatever but don't get hung up on that because
• 12:38
  yeah markets don't do well exactly people think you're gonna do super well and then they
• 12:46
  absolutely plonk out I would yes I don't think I would feel comfortable going in on an IPO unless
• 12:51
  it was something like all birds or camber or something that I like really really knew understood
• 12:57
  believed in like I certainly wouldn't be like sifting defined in IPO to invest in purely to be
• 13:04
  investing with that strategy you know yeah and just just be patient there could be another time
• 13:09
  to buy it at a better price you know the the the IPO might not do well and you might be able to get it
• 13:15
  at a lower price and you can buy it then if you're still really interested in the company so
• 13:20
  the great thing with the stock market is it does move up and down all the time and so if you think
• 13:24
  if missed out you probably haven't because share prices always go up and down so just be patient
• 13:30
  and invest in companies that you're actually really passionate about or you understand don't get
• 13:35
  caught up in the hype anyway in other news Airbnb's had a bit of a shit show the last week
• 13:42
  sorry I hate Airbnb at the moment I just want to tell you Airbnb oh my god we had such a shock
• 13:50
  with Airbnb to the point where I did think I'm never investing in Airbnb it was so bad we turned up
• 13:56
  the first Airbnb and it was like someone had like shaved their head and spread the hair around
• 14:01
  the apartment and just eaten like doughnuts are you sure because you have quite a you have quite a
• 14:06
  here like radar where's I probably know no no no no no Ella my friend who I was with was taking
• 14:14
  photos like oh oh and then we went to the next even being and they just hadn't put sheets out I was
• 14:20
  like what is happening and I basically spent three days like my extracurricular activity it was
• 14:25
  just like hounding Airbnb on their like customer service line I was such a caron I was so bad
• 14:32
  anyway sorry so there she prices fall about five percent but still up super super massively it's
• 14:40
  up 70 percent this year so don't get your nickers in a twist but it hasn't really done much since
• 14:47
  IPO to be honest so Airbnb IPO in 2020 and it's share prices kind of gone up and down up and down
• 14:54
  but kind of sideways since then anyway the news out that's affecting Airbnb is that in New York
• 15:02
  it's now effectively illegal to have an Airbnb a short term Airbnb property so anything less than 30
• 15:09
  days so listings in New York City dropped by about 80 percent so say I had an apartment and I wanted
• 15:16
  to rent it out to you for a week I couldn't do that it's effectively illegal oh my god I can
• 15:21
  do it for 30 days because they're trying to clamp down on secondary tax yeah I don't know what I
• 15:29
  don't know why it's been it's been in the mix for a while like I tried to do it in 2021 and then
• 15:34
  Airbnb took the the New Yorks took New York State to the head they had a lawsuit against them so
• 15:41
  it's been contentious for a while and it runs like it's not going to happen it's not going to happen
• 15:44
  and then last week it did so yeah that went from about I think there was a nearly 30,000 listings
• 15:52
  to 7,000 in the space of you know a couple weeks so it is and it's but thing is this is great news
• 16:02
  for hotels in New York because they're obviously picking up the slack so yeah I think there's estimates
• 16:09
  that it could be you're 15 to 20 percent increase for hotels for for revenue or listings
• 16:15
  for hotels so really really positive for hotels but not so much for Airbnb so that's why
• 16:21
  their shoe price is fallen and lastly it's interesting to know when we have times of economic stress
• 16:29
  or like a recession or when times are tough the silver lining of the of that kind of environment
• 16:36
  is that we get a lot of innovation new businesses new ventures we get a lot of entrepreneurship
• 16:42
  and if you think back to COVID times and people were losing their job people were being made
• 16:49
  you know to take less hours in their jobs people were being made redundant whatever there there
• 16:55
  was a lot of change in in the jobs market anyway there was a lot of side hustles that got created
• 17:03
  and there were some stats out this week around the fact that in 2023 so new ventures so new
• 17:11
  businesses you know people starting side hustles all of that is so far tracking ahead of nearly
• 17:18
  every year since 2013 so we're seeing more startups and more side hustles this year
• 17:25
  than we've seen since 2013 so this is a really cool kind of silver lining I guess
• 17:32
  or a side of some economic tough times is that you do get this new breed of businesses and people
• 17:41
  trying things that they wouldn't normally try or I mean I think the really cool thing about this
• 17:46
  is that people are starting to realize that to make money you don't have to rely on employer
• 17:52
  you actually can and I never ever thought that I would work in my own company it was never
• 17:57
  something that I thought was possible for me and I think I mean we're a perfect example of that
• 18:03
  we started around COVID times and I think that yeah it's been super positive there's something
• 18:08
  quite amazing about feeling like you have control over your own hours and work and ability to
• 18:14
  make money outside of relying on a larger company I think it's amazing something I never thought
• 18:20
  that I'd do and that's so cool to hear that that's been a global trend yeah and we always talk
• 18:26
  about cutting back and spending you and times are tough it's try to cut back on this don't
• 18:32
  spend on this but there is another side to that and it's okay well how about you start that idea
• 18:39
  that you always wanted or earn more money earn more money it flip it on its head because you're
• 18:44
  only cut back on so much just so start to think okay well how can I increase the other side
• 18:50
  of the equation by doing that side hustle thing that I've always wanted to do or giving that other
• 18:54
  thing a try or you're just thinking outside the box a bit in terms of how can I personally
• 18:58
  increase my net wealth and my income rather than just cutting back on groceries or
• 19:05
  spending because you only cut back that so much before you actually need to and I love that
• 19:10
  because I think there's also if you're in a job or you have the security of a paycheck there's no
• 19:15
  pressure for it to be it doesn't have to turn into this amazing money making venture but like why
• 19:21
  not give it a go you might start pottery and you might just love making pots and vases for your friends
• 19:26
  and maybe it turns into a big business earlier it maybe it doesn't but I think just like changing
• 19:31
  your mindset it's also getting rid of that thinking about what if what if if you give it a go
• 19:35
  and it does well awesome if you give it a go it doesn't do well awesome but sitting there being
• 19:40
  thinking what if what if what if is what's that quote it's like the like biggest risk is the one
• 19:46
  that you don't take or something I really think that's so true yeah so so cliche and cringe but
• 19:52
  it's we're always so scared of failure that but I think that we're always you'll be so much
• 19:57
  proud of yourself for trying something they're not even giving it a go well even when they started
• 20:02
  the curve and I said to you but what if we fail what if what if nobody likes what we do what if
• 20:08
  nobody's interested and it's kind of the beauty of the Adrian as well as that you don't have to go
• 20:15
  buy stock you know rent a rent a shop and start it that way with with the curve it was we're
• 20:21
  starting online which is pretty low cost and so if it didn't succeed we wouldn't have spent a
• 20:26
  whole lot of money trying to set it up whereas yeah whereas back in the day when everything was
• 20:32
  an online I think that's a really good point because if you're sitting here thinking well I have
• 20:36
  no capital to start something or I can't go and buy X Y Z it's just start with something small
• 20:41
  start like it doesn't have that's exact I think that's it because then the risk seems less
• 20:45
  scary doesn't it because all you're really investing is your own time and energy rather than a
• 20:50
  huge amount of savings but I think that we should wrap this up only because we're starting to turn
• 20:55
  into a Tony Robbins and yes and you can do it and say it with me together we will take the risk
• 21:06
  also can I just say please put some lock on tomorrow you're looking very sunburned
• 21:10
  sunburned I'm 10 I can I can say tomato on the other side of my screen so you go and put some
• 21:17
  some lock on tomorrow please okay well that's not the screen that I'm looking at all right well
• 21:22
  this is not tomato it's so tomato babe because I mean waiting in this hot room can you do get your
• 21:27
  shit sorted oh okay all right then it's weird wrap it up okay have fun and Barcelona bye bye bye okay bye
• 21:37
  thank you so much for listening to the curve weekly make sure you hit the subscribe button to stay
• 21:41
  up to date with all the many business stock market news and if you like what you heard we would
• 21:46
  love a review thank you yes we would love a review that if you didn't hate it please
• 21:50
  yeah don't leave one if you hate it no but an all seriesers could you please leave a review because
• 21:55
  it really helps other people find out cute little podcast and we hope you have a good week and see
• 22:00
  you next Monday bye bye see you next Tuesday well see you next Tuesday I made Monday