Latest / The Curve / TCW26: Mark Zuckerberg had a baby and Elon Musk did NOT send flowers
Transcript
- 0:00Hi and welcome to the Curve Weekly. The podcast that keeps you up to date with all the money,
- 0:06business and stock market tea. Everyone should experience for us at least once in their lives
- 0:10and Annie shouldn't miss out just because she can afford it. Help me, I'm poor. I feel like
- 0:15I've wrapped myself up as a present. Yeah, you kind of look like a present. I love the stress,
- 0:19it's so fun. Fun, fun, fun, fun, fun, fun. Just really dressing up for you. Yeah, I love it.
- 0:25It's because everyone keeps coming and saying, you're their fashion muse and I'm getting jealous.
- 0:30I will wear a Pinterest and look like a present. Hi, and going out, shine Victoria.
- 0:35Oh, you guys are so good. Whereas I'm just like morphing into the couch.
- 0:39I love it. I like it. Yeah. Very, um, tonal. Yeah. On brand. Yeah. Yeah. I would not be
- 0:46saying it. Just for context, I'm wearing it. Right. Did you say you've never been seen
- 0:49didn't I? Well, not, not seen. I've just like, it's very you. It's you. Oh, that's always
- 0:53such a non-common. No, but it is. We have very different fashion tastes. And that's what I mean.
- 0:58I'm not meaning like, it's so you. I'm meaning like, it's like, they like, do you like them?
- 1:03You're like, they're nice. They've got a good personality. Yeah. Oh, god, I thought you'd think
- 1:07this is quite cool. No, it is cool. Do you think it's objectively cool or do you look at it and
- 1:11think like, oh, if I saw a girl walking down the street, I'd be like, fun. Okay. But I wouldn't
- 1:15be able to down the street. Yeah. Just not my vibe. Okay. Stalk market. Yeah. Stalk market.
- 1:24Yeah. Oh, gosh. So the US stock market and so the S&P 500 and the NASDAQ both up one cent
- 1:32ish. We'll just round up. So they basically the same as last week. Yeah. Yeah. Yeah. Sorry. I'm just
- 1:37like, let's just call the space. And the Australian market was down to point two percent.
- 1:44And this is all around the head and interest rate announcement last week, even though they
- 1:48kept interest rates on hold, which is usually good news for the stock market. So they're not going
- 1:53up or down. That's how they just held them flat. Yeah. Which is usually pretty good news. But they did,
- 1:58it was the commentary around the announcement. And it was all around the fact that there will be more
- 2:04interest rate hikes, what increases in the future. So that's not good news. So that's why the
- 2:08stock market sold off. In the little old New Zealand, we were up about half percent. Again,
- 2:15not worth running on. Yeah. One day maybe we'll just like, Jazzy run a bit out.
- 2:18It's up 10%. But yeah. I think actually one of the things I wanted to ask you that you put
- 2:25in the curve weekly newsletter was, are you going to steal my thunder game? Oh, okay. Sorry.
- 2:30You can turn your home. No, no, hit me. I was just going to ask one of the things you talked
- 2:35about in the email was the idea, like, don't get too excited if things are going well.
- 2:39Yeah. Yeah. And don't get greedy. And I said, what do you mean by greedy? Do you mean taking
- 2:44the money out because you think you've made lots? A bit of that. But also people
- 2:48expect that's going forward. You know, it's like, oh my gosh, we've had such a good first half
- 2:53of the year. And then put more in basically. Yeah. Or be like, and then when the second half of the
- 2:58year might not be as good, they're like, oh, what, what happened? It's like, you know, you've got to
- 3:01look at it over the long term. Like, don't get, it's almost being a bit of a, you know,
- 3:06DB downer. So I'm brand-few. Yeah. And being like, so I that was made, that was actually made.
- 3:11No, no, no. But you are quite good at being realistic and like, I think this has come from years
- 3:16in the finance industry. So I remember when I first started, I was like, oh my god, this is so
- 3:20exciting. Like, you know, and then people will, like, companies that would meet with, they're like,
- 3:23oh, they're going to do this, this, this, and even relate, they've been saying that fear isn't
- 3:25they've never done it. You know, so you kind of get bought down a pig or five. So you've lost your
- 3:30shine a bit. Yeah, I've just become more pessimistic, you know, things and reading headlines and,
- 3:35you know, they're always saying, it's more, I've become, I guess, more objective looking at things
- 3:40being like, okay, if something's really good, it's like, oh, yeah, but, but why? Do you know what I
- 3:45mean? Kind of, yeah. You know, it's just like, can you make sure I don't do that? I need to always be
- 3:51the opposite of that, I think. Yeah. You can be like the cheerleader. And I'll be like, oh,
- 3:56don't cheer too loud. So sorry, it's more about just don't get too excited. Don't take your money
- 4:04out unless you're at the end of your goal, invest in goal, whatever that is. Or don't also
- 4:10expect those kind of returns going forward. Like, the NASDAQ up 30%. That's not normal.
- 4:17It's not 30%. Did you just say that? No, last week. Oh, you're sorry. Oh, you needed to remind me
- 4:25that you're that high in comparison, because when you sit up one, I'm like boring. Yeah,
- 4:29it's up 30. Sorry. Yeah. Yeah. Yeah. Yeah. Sorry. We was that bloody hell. I can't believe you
- 4:34didn't think like my lack of reaction. I see what you mean. So it's the idea that it's up a lock.
- 4:39Yeah. Yeah. This time last year. Yeah. So don't, don't be like, oh, cool. Well, I'm going to put
- 4:43more money in and it's going to be up another 30, 40% because we don't know that it could be,
- 4:49but we don't know that. So it's just, just, you know, look at the glass half empty.
- 4:55So hypothetically, if you wanted to take the money out, if it's up 30% and you're thinking,
- 5:01it's quite good, actually. Yeah. I'm really happy with my what's a NASDAQ stock apple.
- 5:07Yep. So say I look at my apple shares and there are 31% and I think, I want to take that money out.
- 5:13Yeah. Why is that a bad thing to do? Because you're timing the market and you could miss out on
- 5:17more gains. And if you've got a 10 year goal, why are you taking the money out?
- 5:22Because what if you then put it back in? Into what? The same thing. Or is that kind of like, yeah,
- 5:28okay. It's more just don't look at the short term movements and concern yourself as much.
- 5:33You know, like investing, if you want to do investing, well, it's kind of a set and forget,
- 5:38invest or consistently and regularly invest, you know, be a boring investor.
- 5:42I think the thing is because I recently took out my Netflix shares that have done so well.
- 5:46And then did you reinvest that? No, I haven't got enough to reinvest yet.
- 5:49But I will. No, sorry. That was me, but it's like, this is the people were like,
- 5:53oh, cool. I've made lots of money. I'll take it out and either spend it or reinvest it and they
- 5:57don't reinvest it. Whereas if you don't need the money or you haven't achieved your goal yet,
- 6:03just don't do anything. But my point is like, okay, I got quite excited by that because I got,
- 6:08I make $3,000 on my $3,000 and I thought there's 100%. Yeah. It's amazing. It was over 100%.
- 6:16So why would I not take that out and then invest it in something else?
- 6:20Because if that then goes up another 100%, you've got 100% on $6,000. There's a lot more than
- 6:28a 100% on $3,000. Okay. Okay. Okay. So a 10% return on a higher base.
- 6:37It's got a lot more dollar value. So this is what we talk about when we talk about compounding
- 6:41and compound interest. You know, if you keep taking out your gains, you're not going to be getting
- 6:47that exponential growth. Okay. Okay. That's all I needed because I was feeling tempted anyway.
- 6:51Sorry. Back to what's been happening in the week. Sorry, man. She's in the bad mood today.
- 6:58I know. I just feel like it's hard to get through. Sorry. Oh, my, oh, my little list.
- 7:02Okay. I'm just going to switch and just you just go for it. Well, no, because we were
- 7:06book us to work. Okay. I'll have minimal input. No, I love your inputs. I do. I do. Okay. So
- 7:15some fun, exciting stuff happened over the last couple of days. Three threads. Yeah. How fun
- 7:24is that? Oh, my God. If you haven't heard of threads, download it. Not sure what you've heard
- 7:28of threads. Honestly, I was sitting. You messaged me and I was like, what are you talking about?
- 7:33What are we talking about? I was sitting in this co-working space here in London and I noticed
- 7:38it, I think, quite early. It was honestly like an apocalypse have happened or something,
- 7:43or there's some natural disaster. The sound of every undiscovering threads was hilarious.
- 7:49It was like, people next to me, oh my God, have you heard of this new threads? Someone opposite
- 7:54down the hallway, but they were like, oh my gosh, threads. Oh, you're not on it? It was
- 7:59like, it was like, it feels like mangoes when they were like, I wish I'd been there. And
- 8:02they were like, what do you mean? What is it? How do I access it? All these questions. And I
- 8:05was just sitting there going, lol. It's like, I was like, we're already on the air. You know?
- 8:08You know? I literally did. I was like, I'm going to be a doctor. I literally did. I was like,
- 8:12I'm going to be a doctor, but it was quite funny. It was kind of felt like what it would have
- 8:16felt like if Instagram had just launched all of a sudden. Yeah. I think the thing is, when
- 8:21Instagram launched, no one really got it. Yes, yeah. And it wasn't what it is today. You know,
- 8:25it was static photos. It was, it had a lot less features. Yeah. Whereas I think as soon as you
- 8:30saw everyone saw threads, they were like, oh, thank God. And I just spent seven hours a day
- 8:35making TikTok videos. Yeah. And I just loved all the memes. And people were saying, oh, gosh,
- 8:40I hope this platform was just full of memes and continues to be memes. You know, the people
- 8:44being like, oh, just discovered threads for the first time. Oh, it was actually quite hilarious.
- 8:48I'm supporting the less annoying millionaire. Yeah. Yeah. That's so good. Like, cool. Another
- 8:53social media app to waste away my day. Yeah. But what I love about it though is you can just
- 8:57think something and type it. Yeah. I think all social media apps at the moment feel like there
- 9:02is so much effort and time and you need a team of people to make it happen. It's not really like
- 9:08this DIY fun situation. Like it's very debated. It's not, yeah, it's not like instantaneous.
- 9:15Even TikTok, you spend so long making those videos. I don't care how raw and authentic and vulnerable
- 9:20you are. You're still having to make. But for those of you who don't know what threads are
- 9:24sorry. I feel like something. We're like, what is it? So threads is so if you remember last week,
- 9:29we spoke about how Mark Zuckerberg and Elon Musk were appreciating each other for a cage fright.
- 9:36Because Mark Zuckerberg was like, you know what? Twitter's shirt, I'm going to create my own. And
- 9:41and Elon Musk was like, yeah, okay, go for it. And so did he say go for it? Well, he was pretty
- 9:46much like, you know, try and go go try. Yeah. Which, saying to the biggest social media company in
- 9:51the world, probably not the best idea. I feel like this is arrogant from Elon. And I also think
- 9:56like an age thing like Mark Zuckerberg's younger, he gets the younger demographic, you know, like Elon
- 10:01Musk is a bit older and like now I look at threads versus Twitter and I'm like, Twitter's just for like
- 10:06old people. Well, it's weird you say that because I remember my dad was the one that first told me
- 10:10about Twitter. Even in the very beginning, he was like, have you done a tweet? What the hell is
- 10:16a tweet? But so threads is Instagram's answer to Twitter. And it's super fun and super exciting.
- 10:22And it's, yeah, it's going to be interesting to see what plays out because they had 10 million
- 10:28users in the first seven hours. The last I checked, they've got 55 million users, which
- 10:33imagine that's just like crazy. So, but Twitter does have 350 million users. So this is
- 10:40interesting because it's the first I guess play at or a direct play, a direct target at another
- 10:49big tech company that that that that meter has taken. And interestingly, Mark Zuckerberg posted
- 10:56his first tweet in 11 years on Twitter. So he tweeted on Twitter a photo of two identical
- 11:04spider men like facing off like pointing jabs at each other and like that was it. So it was kind
- 11:10of like it is a bit of telling in cheek, but it's also got a bit spicy now because Twitter or the
- 11:18parent company of Twitter, which is X Corporation, has sued meter because meter hired a whole lot
- 11:25of Twitter people. So Twitter is suing meter saying that those people stole a lot of IP and a lot
- 11:31of content and knowledge that they had and used it to set up threads. So we're going to see how this
- 11:36plays out, but like I honestly feel more invested in the story that I should be. So I am living for
- 11:43yeah. And it's funny. It's all like team Zuckerberg team Elon like on on.
- 11:47Who is team Elon? Is anyone team Elon? Well, I don't know like he he's built some pretty
- 11:53incredible businesses. He's not just going to sit back and take this. So it's going to be if I
- 11:57was like Microsoft and like Apple and Amazon sitting in the corner of your like he and Google just
- 12:01being like watching this or play out every quite funny. I don't know the whole thing just like
- 12:06it'll be interesting to see what happens. I just can't imagine that Mark Zuckerberg would launch an
- 12:12app that he knew he would get sued for. I feel like they were 100% covered. Also, they got
- 12:16sort of billion dollars. They've got 40 billion dollars in cash. They'd be like, oh yeah, yeah,
- 12:20you know, like I don't know what they get sued. What amount? So maybe they're just taking the
- 12:24risk. Oh, you just say the risk and be like, yeah, we'll pay the fine or whatever. I don't know.
- 12:27I'm not saying that. Sure. You can shut it down. But it's funny because meter has done this
- 12:32multiple times in terms of, you know, Instagram and your reals even. Yeah, we to buy Snapchat,
- 12:38Snapchat said, no, no, thank you. We don't want to be bought. And so Mark Zuckerberg was like, okay,
- 12:43sweet. We'll just create Snapchat on Instagram effectively. And so they did that with the 24-hour
- 12:49with stories and now it's kind of come out like, okay, cool. We'll just create Twitter
- 12:56on Instagram, which is straight. So they effectively taking parts of all these social media platforms
- 13:01and creating a massive, yeah. So it's quite incredible. And they bought Instagram for a billion
- 13:06dollars in 2012. And it had 13 employees. Is that all? Yeah. And now it's, we'll meet it as
- 13:15if that's worth $750 billion. And the majority of that's Instagram. So the business has gone from
- 13:21like, yeah, billion dollars to around 700 billion, which is just crazy. But he knows what he's doing
- 13:25is what I'm saying. So I'm excited. Saying. Yeah. I also wonder the only thing that he hasn't
- 13:31now does copying TikTok. Yeah. He had the reels on Instagram is not the same. No. And I think
- 13:38the thing that's great about threads is it was so easy to log in. It basically took me all of two
- 13:44seconds. I don't even have to create an account because it just pulled everything from the curves
- 13:47account across. And it's just so easy to follow people. So it's not like starting from scratch.
- 13:52Yeah. Just feels less admin. Yeah. Whereas TikTok, I'm just like, oh bloody hell. Yeah.
- 13:57New profile. New friends. Yeah. Yeah. And other big company news, Apple,
- 14:04its share price is now over $190 a share, which means that it is now worth over $3 trillion.
- 14:12So it's the first company ever to reach the $3 trillion club. Now, yeah. So that's like,
- 14:19that's massive. So it was billion and then trillion. That's 12 zeros.
- 14:23So billion trillion. Million billion trillion. What after that?
- 14:27gazillion. Is gazillion a thing? I don't know. I assume so. We'll probably find out if they
- 14:32continue growing. So just to put this in perspective, this is the same size as 12 Airbnb's.
- 14:40And we all know how massive Airbnb is like in terms of its reach. And it's the same size as six
- 14:46Disney's. Or the entire size of the UK. Yeah. What do you mean by that thought?
- 14:52So the GDP. So that's how you measure the size of an economy or a country, which is its output,
- 14:59is three trillion. And so same with Apple. So Apple is like worth the same. That was an entire
- 15:07country. Yes. Yeah. Which is crazy. Yeah. And when we say, you know, the $3 trillion dollar value
- 15:14or the market cap. So the market cap. So how we how they come up with that value is you take the
- 15:20share price and the number of shares that the company has available to shareholders and you times
- 15:25them, you multiply them together. So if you're say you've got you small numbers. Yeah. I'm
- 15:31saying you've got a hundred shares. And they're each valued at a dollar. Then companies a hundred
- 15:39dollars. Yeah. The value of the company, the market cap would be a hundred dollars. Now say that
- 15:45the share price goes up to two dollars. Yeah. Then the value of the company is two hundred dollars.
- 15:52Okay. I get it. So if your share price does continue to do well and well and well. And that's what's
- 15:55happened with Apple is that the share price has grown like 50% this year. So their share price keeps
- 16:01going up and up and up. So even though the number of shares is staying the same, that leads to an
- 16:06increase in value got the overall business. So that's yeah. When the value of the business goes up,
- 16:12it's because it's usually because the share price has gone up so well. But also my favorite company,
- 16:17Microsoft is close behind. Oh God. Is it really? It's at 2.6 trillion. Wow. Yeah. Oh yeah. So it
- 16:25is quite close. Yeah. So go Microsoft. Close seconds. I just wish I had a cooler name. Microsoft
- 16:31just sounds so good. I know, but it's the boring ones that always win the race, you know. And in
- 16:37other news, Tesla. So well, we're just on the conversation of Elon may as well continue. Yeah.
- 16:42He's actually done quite well this year. Tesla shares up over a hundred and a hundred percent.
- 16:49Yeah. Thank God. Up until this year's they were looking pretty down the toilet at one point.
- 16:53Yes, they were. So this week they had a really strong week. They've delivered nearly 500,000
- 16:58vehicles in the first, sorry, in the second three months of this year. So in the June quarter,
- 17:03sorry, they was confusing the second three months. Wow. My gosh. Even I was. It's because I
- 17:08haven't eaten as well. I haven't eaten. Sorry in the June quarter. So we're talking about April,
- 17:12May and June. They delivered half million vehicles. Right. Which was greater than what people
- 17:17expected. So this year price was up about 7%. I did read in your email though that it's not
- 17:25necessarily a good thing. No. Well, they've had two price cuts of the vehicle. So they've lowered
- 17:30their prices. And so with anything, if it's, if you lower the price, it becomes cheaper,
- 17:34you're going to encourage people to purchase more. Yeah. So it's kind of, it's like almost like a fake
- 17:38one. Yeah. Yeah. But I mean, it's still a one of a world. At least just think it is because the
- 17:43sheer price has gone up. So it's still, it's still pretty good news. I think it'll just be
- 17:48interesting to see what happens when, you know, the Mercedes of the world, the Audi's of the world,
- 17:52where all the really lush brands of cars are producing just as many electric vehicles.
- 18:00Yeah. Well, it's a good sign. I mean, the fact that they all are is awesome. Yeah. But,
- 18:04yeah, it was that Tesla was the poster child for electric vehicles. And then now all the,
- 18:09all the others are following. So which is why I went to a Copenhagen design museum once. And
- 18:14I think it was in the 80s. There was a tiny little car that was produced. In fact, I might just get
- 18:21my phone over, actually, like took a photo of it. I still have it. But essentially someone
- 18:26created their electric car years ago. Years ago. And it was for one person. It was this tiny little
- 18:32rocket thing. Yeah. I'll show you how to. Yeah. That's interesting that you say that because some
- 18:37companies, they do this. They create, they have these innovations and they create these products.
- 18:42But they don't bring them to market or, you know, sell them, make them commercial because they're
- 18:47worried that they're going to be detrimental to their own business. I love it less. Oh, I know.
- 18:54Amazing. It's like a terrible, terrible, expensive video of it. Can you say? Yeah. Wow. It's like
- 18:57a terrible Toyota Prius. So it said, this small one set of vehicles presented to an astonished
- 19:04public at night in the 1985 motor show. Wow. Two years later, it was commercially available.
- 19:11It was called the alert. And it was an alternative to public transport and
- 19:15everyday short trips. Few realized then that electrically powered cars with a future. However,
- 19:20some 20 years later, Tesla arrived in the scene and on roads were wide. So you could actually buy
- 19:25an electric car. Yeah. I mean, how many years ago was that? A lot. A lot. Yeah. I would have driven
- 19:32that. I wouldn't. I totally would. I'd be like, I'm in a spaceship. I'll prefer to walk.
- 19:39Really? I think it's quite cool. Anyway, we have decided to add something to this segment.
- 19:47Oh, my God. We have. I forgot about this. Yeah. I knew you would have.
- 19:51It is Saturday. So we used to do it. Would you rather than we were like, you know what? Maybe
- 19:57let's make it a bit more educational. Can you also just give us feedback if you prefer the
- 20:02would you rather? Yeah. We're going to go back to it. We do get a lot of questions coming through
- 20:05Instagram, through our emails, asking certain things, which is awesome. And so we thought, you
- 20:11know, we maybe we'd address them because other people might have the same question. So we'd
- 20:14address them at the end of the curve weekly. So one, I've actually noticed we've got a lot of
- 20:19questions about recently is around the difference between ETFs and index funds. Now with ETFs,
- 20:26you can invest in lots of different things. So you can invest in healthcare companies. You could
- 20:30invest in crypto companies. You could invest in cybersecurity. What do you do? Basically,
- 20:35like a big bundle of big bundle of big bundle of companies. And you can also invest in the index,
- 20:41well, index of a country or a stock market. So you could have an essentially like 180. Yeah.
- 20:46Yep. And that is essentially an index fund. Yeah. Then index ETF, which is an exchange traded fund.
- 20:53So index funds can either are effectively the same thing. But some are listed on the stock
- 20:59exchange in some art. Some are done through a fund manager where it's not through the stock exchange
- 21:03and others are done on the stock exchange. If it's on the stock exchange, it's an ETF. So
- 21:09that's where the confusion comes. And some people use them interchangeably, but they're essentially
- 21:13the same thing. But why would you invest? So you literally, it just depends if you're managing your
- 21:18own money and buying it on a DIY situation or if you're going through a fund manager. Because if
- 21:23you're buying it on say, she has these hatch whatever, you would buy an ETF because that's on the
- 21:28stock exchange. But you can also, this is where it gets so muddy, is that you can also, you can invest
- 21:34in an index fund through shearsies that's not on the stock exchange. But why would you do that?
- 21:38Because if you want everything in one place, like you can invest in fund managers on shearsies,
- 21:43because then all your investments are in one place. This is why it's so confusing. Like we need a
- 21:47diagram. Maybe I'll do a diagram. So basically they're the same thing. They're effectively the same
- 21:51thing. An ETF that invests in the index and an index fund are the same thing.
- 21:57Bloody hell. Why don't they just have the same thing?
- 21:59I know. And then you don't even go there.
- 22:01There's more to it. I'll just stop there because everyone's probably going to be like,
- 22:05oh gosh. Yeah. So I would like to take a vote on this. Can you send us a DM please on Instagram
- 22:11with? Did you like the word you rather or would you prefer questions? Because it would be good
- 22:16to know what's more helpful. Yes. That's such interesting. And that's it. I need to go
- 22:21yeah. I need to get a poll shower. Oh, you're even going to say goodbye. It's just just pushing
- 22:26it away. Bye. Sorry. Bye. Thank you so much for listening to the Curve Weekly.
- 22:32Make sure you hit the subscribe button to stay up to date with all the many business stock market
- 22:36news. And if you like what you heard, we would love a review. Thank you. Yes. We would love a review
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- 22:47you please leave a review because it really helps other people find our cute little podcast.
- 22:51And we hope you have a good week and see you next Monday. Bye. Bye.
- 22:56Sweet. Yeah. See you next Tuesday. Wow.
- 23:01See you next Tuesday. I mean Monday.