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Financial Advisers: Who, What, When & How! · She's On The Money

0:00
Speaker 1: She's on the Money. She's on the Money.
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Speaker 2: Hello, and welcome to She's on the Money, the podcast
0:32
Speaker 2: for millennials who want financial freedom. At what point in
0:35
Speaker 2: your journey is at the right time to see a
0:37
Speaker 2: financial advisor? What do they actually do and how do
0:41
Speaker 2: you know if they're worth the investment for you? These
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Speaker 2: are questions we hear all the time in the She's
0:47
Speaker 2: on the Money community, and who better to answer them
0:50
Speaker 2: than real life financial advisor Victoria Divine. Today, the main
0:55
Speaker 2: goal is for people to really understand exactly what a
0:58
Speaker 2: financial advisor does so that they can figure out if
1:01
Speaker 2: it is the right step for them to be taking.
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Speaker 2: So can you kick us off with a bit of
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Speaker 2: a chat about what a financial advisor actually does?
1:09
Speaker 3: Look not much like not much the podcast all day
1:12
Speaker 3: and they talk about money, and sometimes they post on
1:15
Speaker 3: Instagram and make you feel like you should talk to
1:18
Speaker 3: a financial advisor, but you don't know what they do.
1:19
Speaker 3: But being serious though, a good financial advisor works so
1:24
Speaker 3: that you can understand your needs and set financial goals
1:27
Speaker 3: and create a plan to help you achieve them. So
1:30
Speaker 3: there's somebody that is on your team when it comes
1:32
Speaker 3: to money and everything. When it comes to financial decisions.
1:36
Speaker 3: So whether that is budgeting and cash flow, there are
1:39
Speaker 3: financial advisors who do that. There are financial advisors who
1:42
Speaker 3: are only investment. It's kind of like a doctor. I
1:45
Speaker 3: don't want to compare it to a doctor. We're clearly
1:47
Speaker 3: not doctors, but you have like an oncologist, and you
1:50
Speaker 3: would have a podiatrist. Like, yes, they're all doctors, but
1:55
Speaker 3: they have specialty areas, so like you'd still call them
1:57
Speaker 3: a doctor. If they're on a plane, they probably would
1:59
Speaker 3: have to put the hand up if someone said, oh,
2:01
Speaker 3: is there a doctor on board, and they're like, oh,
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Speaker 3: I just have my PhD.
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Speaker 2: I can't.
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Speaker 3: I can't save your life, sorry lady. But everybody specializes
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Speaker 3: in different things, and like majority of people, they're like GPS.
2:13
Speaker 3: They are just overarching. They might have like a general
2:17
Speaker 3: knowledge of pretty much everything budget, cash flow, they might
2:19
Speaker 3: do super they might do investing. They might have like
2:21
Speaker 3: a really broad range of stuff. But then there are
2:23
Speaker 3: people who specialize in center link. There are people who
2:27
Speaker 3: specialize in budget and cash flow. There are people who
2:29
Speaker 3: specialize in investment strategy. There are people who specialize in
2:33
Speaker 3: self managed super fun. So for you, if you want
2:36
Speaker 3: to talk to one, it's important to understand, you know.
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Speaker 3: And I know we're going to get there and we're
2:40
Speaker 3: going to have this conversation, but it's important to understand,
2:43
Speaker 3: I guess, at a base level what you want them for,
2:46
Speaker 3: because too many times do we see people in our
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Speaker 3: community going, oh, my gosh, I approached an adviso and like,
2:51
Speaker 3: you know, they were really snooty and they didn't want
2:53
Speaker 3: to work with me, and it really disheartened me. And
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Speaker 3: I'm like, yes, I'm not saying that that was the
2:58
Speaker 3: right thing by any means means. In fact, when it
3:01
Speaker 3: comes to my personal views on financial advice, they should
3:04
Speaker 3: have already known what you were looking for before even
3:06
Speaker 3: agreeing to have a meeting with you, because sometimes it's
3:09
Speaker 3: a waste of time for both sides of the party, right, Like, Gee,
3:11
Speaker 3: if you were like I just really want to be
3:13
Speaker 3: better at budget and cash flow, but you went to
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Speaker 3: an investment advisor and they're like, oh, no problems, Gee,
3:18
Speaker 3: come this way, come into my fancy boardroom, and then
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Speaker 3: they find out that you don't actually have any money
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Speaker 3: to invest yet and you just wanted to work on
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Speaker 3: cash flow, Like your needs aren't being met, your expectations
3:27
Speaker 3: aren't being met. Theirs aren't and they don't. Essentially, they
3:31
Speaker 3: don't want you as a client. And I'm not saying
3:32
Speaker 3: that in a bad way, but like you're not, they're demographic,
3:36
Speaker 3: they're they're not going to be able to add the
3:38
Speaker 3: value to you that you would like them too. So
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Speaker 3: we need to be clear about what we're looking for
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Speaker 3: before we actually engage someone. So essentially, a financial advisor
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Speaker 3: helps you achieve your money goals.
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Speaker 2: And how do they differ from accountants and more mortgage
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Speaker 2: brokers okay, other figures like that.
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Speaker 3: So when it comes to the difference between a financial
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Speaker 3: advisor and an account content, it's interesting because you always
4:02
Speaker 3: see them being compared and people like, well, I don't
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Speaker 3: really understand the difference. What do I need here or there?
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Speaker 3: The best explanation I can give is that an accountant
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Speaker 3: works in the past and a financial advisor works in
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Speaker 3: the future. So an accountant deals with numbers that already exist.
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Speaker 3: They might cash flow your business and talk about stuff
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Speaker 3: in the future based off you know what you're doing,
4:22
Speaker 3: but they'll do things like your tax returns, like how
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Speaker 3: much tax have you paid or how much tax do
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Speaker 3: you owe for stuff you've already done, whereas a financial
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Speaker 3: advisor is going to sit down and be like, all right, Jay,
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Speaker 3: how are you going to create income? How are you
4:34
Speaker 3: going to create strategy into the future, How are you
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Speaker 3: going to create cash flow? Whether that's for your business
4:39
Speaker 3: or personally, Because there are financial advisors who work with
4:42
Speaker 3: small business owners or larger business owners, and there are
4:45
Speaker 3: also financial advisors who just work with personal people. But essentially,
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Speaker 3: your accountant is the person that works with all of
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Speaker 3: the past numbers and making sure that you meet stuff
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Speaker 3: like compliance like tax. But then a financial advisor is
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Speaker 3: all about that strategy and wealth creation.
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Speaker 2: Hmm, really, well saived that? Hell no, that really that
5:03
Speaker 2: really makes sense. I never really I mean I know,
5:05
Speaker 2: I do know now because obviously I work alongside you,
5:08
Speaker 2: but I never knew back in the day.
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Speaker 3: Yeah, but like why would you exactly? Kind of like
5:12
Speaker 3: they work with money, right, like they would advise me.
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Speaker 3: And it does get really foggy because when you talk
5:17
Speaker 3: about financial advisors, like, yes, I talk about tax with
5:21
Speaker 3: my clients. I talk about tax management strategies. I talk about,
5:25
Speaker 3: you know, reducing your taxable income so that you know,
5:27
Speaker 3: we can save more money, and an accountant can do
5:30
Speaker 3: that as well. But That's why I wanted to distill
5:32
Speaker 3: it down to like cool past future, this is how
5:35
Speaker 3: it works. But then there are definitely like overlapping topics
5:38
Speaker 3: that we both talk about. But like I can't give
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Speaker 3: tax advice, for example, Like I can talk about it
5:44
Speaker 3: with my clients, like I'm authorized to do that and
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Speaker 3: I have like a good knowledge of it, but like
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Speaker 3: I'm not going to go do a tax return because
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Speaker 3: I can't do that. I'm not going to talk to
5:52
Speaker 3: a small business about bas or submitting that bass, but
5:55
Speaker 3: I might help them prepare their cash flow to make
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Speaker 3: sure that bass doesn't hit them in the back pocket
6:01
Speaker 3: when they didn't want it, do you know what I mean? Yeah?
6:03
Speaker 3: And then you say mortgage brokers as well. Yeah, so
6:06
Speaker 3: a mortgage broker they have heaps of value as well,
6:09
Speaker 3: but they brokeer deals between you and a lending institution
6:13
Speaker 3: so that you can borrow money, again breaking it down
6:16
Speaker 3: and making it really simple. They obviously can do a
6:18
Speaker 3: lot more. They might do finance for businesses or boats,
6:21
Speaker 3: or for your future private jet or maybe just a
6:24
Speaker 3: small business. Like it doesn't matter, but let's just distill
6:27
Speaker 3: it down. A mortgage broker is going to broker the
6:30
Speaker 3: deal between you and a financial institution so that you
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Speaker 3: can get a loan to borrow money for a house.
6:35
Speaker 3: And there are a few different types of brokers. We've
6:38
Speaker 3: spoken about this on the podcast before. The first type
6:41
Speaker 3: is the broker that works at a bank, and they're
6:43
Speaker 3: not the type that I want you to talk to,
6:45
Speaker 3: not because they're bad people. They're great, but they only
6:48
Speaker 3: have access to the products at the bank that they
6:51
Speaker 3: work for. They're not taking your holistic situation into consideration.
6:55
Speaker 3: And then you would have independent brokers. So independent mortgage
6:59
Speaker 3: brokers have what's called a panel, and a panel is
7:02
Speaker 3: a list of different financial institutions, including all of the
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Speaker 3: big four banks, it would include all of the smaller banks.
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Speaker 3: It would include things like credit unions that borrow money.
7:12
Speaker 3: It might include things like mortgage funds, which are a
7:14
Speaker 3: bit more complex, but mortgage funds which have a high
7:17
Speaker 3: interest rate, but they have their purpose in the market.
7:20
Speaker 3: And a mortgage broker would then look at their panel,
7:22
Speaker 3: and usually they have forty plus different options and go,
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Speaker 3: do you know what, Georgia, So you know how you
7:28
Speaker 3: said you wanted to go with bank A, Well, actually
7:30
Speaker 3: I found a better deal over here that works better
7:33
Speaker 3: for you in your personal situation, so we're going to
7:35
Speaker 3: apply for that, not just looking at bank as mortgage
7:38
Speaker 3: one option or mortgage two option. So it's just more
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Speaker 3: holistic and usually a broker is going to be a
7:45
Speaker 3: really good resource when it comes to actually cash flowing
7:48
Speaker 3: a purchase. So they're going to be able to sit
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Speaker 3: down with you and go, cool, how much deposit do
7:52
Speaker 3: you have, This is what your stamp duty is going
7:54
Speaker 3: to cost, this is what everything else is going to cost,
7:56
Speaker 3: and this is what you're going to be up for.
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Speaker 3: And they're really good usually at you know, just a
8:01
Speaker 3: debase level budget and cash flow. But you wouldn't go
8:04
Speaker 3: to a mortgage broker to be like, oh, I want
8:05
Speaker 3: to say for a home one day, because they'll be
8:08
Speaker 3: like great, like I can tell you that, but like
8:12
Speaker 3: they're not going to be that impressed because essentially they're
8:14
Speaker 3: not going to get work from you. So a mortgage
8:16
Speaker 3: broker isn't someone that you'd be like, oh my gosh,
8:18
Speaker 3: like we're thinking about buying a house. Like, you don't
8:20
Speaker 3: want to go to them and be like in five
8:22
Speaker 3: years they're like cool, so I'm not going to get
8:24
Speaker 3: paid for this or any work out of you like.
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Speaker 3: So it's just more about where do you go and
8:29
Speaker 3: what do you do and if you're looking for advice
8:32
Speaker 3: on purchasing your first home. That's why I created the
8:35
Speaker 3: budget and cash Flow master class and the amount of
8:37
Speaker 3: mortgage brokers that send people to that class because they're,
8:40
Speaker 3: like Victoria explains it here. I'm not spending an hour
8:43
Speaker 3: with you to do that when it's done far more
8:45
Speaker 3: comprehensively over here, which I obviously love. But yeah, it's
8:49
Speaker 3: just more what do you need and when and where?
8:51
Speaker 3: But let's get back to financial advisors.
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Speaker 2: Yeah, yeah, yeah, let's do it. It might actually be
8:55
Speaker 2: worth me outlining what you've just said there in our
8:58
Speaker 2: newsletter this week. Please, you know, write that all down.
9:02
Speaker 3: Can you also with this up a little blog please? George?
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Speaker 2: Absolutely, I write that down now. Okay, So, at what
9:09
Speaker 2: point in our financial journey is at the right time
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Speaker 2: to see a financial advisor? Be Like, do we do
9:14
Speaker 2: it when we're in debt or when we're thinking about
9:16
Speaker 2: investing or when we're bajillionaires?
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Speaker 3: Like, what's when it's the right time? So the right
9:21
Speaker 3: time is actually not a thing. The right time is
9:24
Speaker 3: actually when you're willing to pay for advice. It's not
9:27
Speaker 3: when you're rich, it's not when you come into wealth,
9:30
Speaker 3: it's not when you have a specific event. It's actually
9:33
Speaker 3: when you're willing to pay for advice. And I'm sure
9:35
Speaker 3: you've got some stats coming up about the cost of it,
9:38
Speaker 3: because I had a little weasel at your notes before.
9:40
Speaker 3: But the time that you get advice is when essentially
9:43
Speaker 3: you're ready to really take change and really put a
9:45
Speaker 3: strategy in place. And you know, financial advice fees can vary,
9:49
Speaker 3: but if you're ready to take charge of your budgeting
9:51
Speaker 3: cash flow, like that might be a lower entry point
9:54
Speaker 3: than starting your investment journey. But you absolutely do not
9:57
Speaker 3: need to have a heap of money to start in.
10:00
Speaker 3: You actually just need to be on the right page
10:02
Speaker 3: and go. You know what, maybe you are young and
10:05
Speaker 3: you have your first job and you're you know, earning
10:08
Speaker 3: eighty grand a year, which is epick, and so's your partner,
10:10
Speaker 3: and you want some advice to create wealth long term,
10:12
Speaker 3: like see a financial advisor then, But I want to
10:15
Speaker 3: be clear, like it's not going to be a super
10:17
Speaker 3: cheap process, but it's an investment in your future. Like
10:21
Speaker 3: that's one of the hardest things to comprehend when it
10:24
Speaker 3: comes to financial advice. For quote, the consumer, like if
10:28
Speaker 3: I said to you, hey, you and Harps, like you
10:30
Speaker 3: live together, fantastic, you should get financial advice because you
10:33
Speaker 3: both earn really good money, and you'd be like, yeah, great,
10:36
Speaker 3: v But it's like going to be more than three
10:37
Speaker 3: grand to get that advice, and like, yeah, we don't
10:39
Speaker 3: even have that many savings, and like, it can be
10:42
Speaker 3: really hard to wrap your head around spending money when
10:44
Speaker 3: you don't have heaps of money, for sure, but getting
10:47
Speaker 3: yourself set up and making that investment, if it's in
10:50
Speaker 3: line with your values, is going to put you hundreds
10:52
Speaker 3: of thousands of dollars ahead in the future. So it's
10:54
Speaker 3: kind of like, is the value of advice there? Yes, absolutely,
10:58
Speaker 3: but it's usually a long term value. And that's why
11:01
Speaker 3: it's so hard to comprehend. It's not like, you know,
11:04
Speaker 3: you go into a shop and you're like, well, I
11:06
Speaker 3: love that dress. It's one hundred dollars, but like it's
11:08
Speaker 3: worth it. I get the dress in return. Financial advice
11:11
Speaker 3: isn't instantaneous. You don't go see a financial advisor, give
11:14
Speaker 3: them your three grand and then automatically have one hundred
11:17
Speaker 3: thousand dollars investment portfolio like it's not it doesn't work
11:21
Speaker 3: like that. And I think that's, you know, one of
11:23
Speaker 3: the challenges of this industry because you don't actually see
11:27
Speaker 3: what we're doing in the first year. It's like compound interest,
11:31
Speaker 3: it takes a minimum of five years before you see
11:34
Speaker 3: really good tangible results. I mean, in the first year,
11:37
Speaker 3: you're going to have a whole heap of clarity, You're
11:39
Speaker 3: going to be super motivated, You're gonna have a great
11:40
Speaker 3: budget and cash flow plan. Super is going to be
11:43
Speaker 3: in the right place, your insurances are all going to
11:45
Speaker 3: be set up. But I think a lot of people
11:47
Speaker 3: want to be really rich really quick, and that's just
11:49
Speaker 3: not what we do.
11:50
Speaker 2: My friend, Yeah, and it seems backwards because it's like,
11:52
Speaker 2: I want to be rich, so why would I spend
11:54
Speaker 2: four thousand dollars exactly?
11:56
Speaker 3: You know that advice? And that's where Yeah, and that's
11:59
Speaker 3: where advice becomes quite inaccessible because you're like, well, I
12:03
Speaker 3: want the advice, but I actually don't have four grand
12:05
Speaker 3: But I know that it's good for me to have
12:07
Speaker 3: that advice because I'd be able to create wealth long term.
12:10
Speaker 3: And so I think that's like the rock in the
12:12
Speaker 3: hard place and that's why financial advisors are trying really
12:15
Speaker 3: hard to work out more accessible solutions like what we're
12:18
Speaker 3: doing with six parts, which is by no stretch of
12:20
Speaker 3: the imagination comprehensive advice like going and seeing a financial advisor,
12:24
Speaker 3: because it doesn't include super it doesn't include your risk
12:27
Speaker 3: insurance or like budget or cashlow or like life goals.
12:31
Speaker 3: It's just straight advice on investment. So if you want
12:34
Speaker 3: advice on that, we've found a really cost effective way
12:36
Speaker 3: to do that. So instead of paying you know, three
12:39
Speaker 3: thousand dollars for an investment only financial advice document, you
12:43
Speaker 3: are paying nine ninety five a month and very soon
12:46
Speaker 3: six twenty five a month. Stop. Oh, it's actually really exciting.
12:49
Speaker 3: I'll probably put it on socials in the next few
12:52
Speaker 3: days because they haven't officially announced it, but by the
12:54
Speaker 3: time this podcast is out, it'll be all official. Guys.
12:57
Speaker 3: They're dropping their minimum investment to two thousand to make
13:00
Speaker 3: it even more accessible, So it used to be five
13:03
Speaker 3: thousand dollars and there's still a five thousand dollar investment
13:07
Speaker 3: entry point, but they have a lower entry point now.
13:10
Speaker 3: That means, yeah, you'll have a few less assets, but
13:13
Speaker 3: it's like that stepping stone from two thousand dollars to
13:16
Speaker 3: five thousand dollars at six twenty five, and then when
13:19
Speaker 3: you hit five thousand dollars, you go into the more
13:20
Speaker 3: diversified portfolio and kind of like upgrade as you go,
13:24
Speaker 3: which I think is really cool. That's huge super side
13:26
Speaker 3: note though, but that's an example of going okay, cool,
13:30
Speaker 3: I don't want to go see an in person financial advisor.
13:33
Speaker 3: I'm just going to set my investment up here because
13:35
Speaker 3: I've worked out what I want to do. Like maybe
13:37
Speaker 3: you've read the book and you're like, okay, cool, Like
13:39
Speaker 3: this is my goals. I actually don't need advice on
13:41
Speaker 3: my goals. I'm really clear on those. I'm pretty good
13:44
Speaker 3: at budgeting, like I've got my plan. I'm really good
13:47
Speaker 3: at cash flow. I get that, So I actually don't
13:49
Speaker 3: need advice there. You know, you might be really young
13:52
Speaker 3: and you're with Australian super but really like their performance,
13:55
Speaker 3: so you don't actually want to change your super. Does
13:58
Speaker 3: that make sense? Like you might have those things kicked off,
14:00
Speaker 3: so you don't need that at the moment for your
14:03
Speaker 3: life stage. Maybe all you care about is starting your
14:05
Speaker 3: investment journey, which you can do. So I think it's
14:08
Speaker 3: we're going to talk about in a minute. I know
14:10
Speaker 3: how to find a financial advisor, but it's important to
14:13
Speaker 3: talk about how they differentiate from one another and what
14:16
Speaker 3: they do, because maybe what you need is not a
14:20
Speaker 3: financial advisor, it's actually a money coach. It's someone that
14:23
Speaker 3: can sit you down and go, okay, let's just talk
14:24
Speaker 3: about budget and cash flow. Like they're not authorized, licensed
14:27
Speaker 3: financial advisors, but they are guns at budget and cash
14:31
Speaker 3: flow and getting you all whipped into shape. So maybe
14:35
Speaker 3: you need that.
14:35
Speaker 2: I've never heard of at a money coach.
14:37
Speaker 3: Yeah, money coaches are a Look, they're a big thing
14:39
Speaker 3: in the US. Okay, they're not as popular in Australia,
14:44
Speaker 3: but a number of them are popping up. And a
14:45
Speaker 3: money coach is just that, like they're a person that
14:47
Speaker 3: is your coach for money. And it's a space that
14:50
Speaker 3: I'm clearly really passionate about because that's hopefully what I'm
14:53
Speaker 3: semi doing through the podcast. But I think it's a
14:56
Speaker 3: very cool space, and over the next five to ten years,
14:59
Speaker 3: I think we'll see a lot more money coaching businesses
15:02
Speaker 3: pop up.
15:03
Speaker 2: Just to be clear, a money coaches are they affiliated
15:06
Speaker 2: with influencers at all?
15:08
Speaker 3: No? No, So a finfluencer is a very different thing.
15:12
Speaker 3: That's just a financial influencer. They might have they might
15:15
Speaker 3: be a money coach and a financial influencer, but yeah,
15:18
Speaker 3: very different. It's not just getting advice from someone on Instagram.
15:21
Speaker 3: Like they actually have to do a money coaching certification
15:24
Speaker 3: and they might you know, they might actually have been
15:26
Speaker 3: an accountant or they might have been a financial advisor historically,
15:30
Speaker 3: and they're like, no, I'm just really passionate about it.
15:32
Speaker 3: Got just I get it because I'm passionate about it.
15:36
Speaker 3: So you remember when I used to do the Hour
15:37
Speaker 3: of Power. Yeah, that was essentially a money coaching session
15:40
Speaker 3: where I'd sit down with people and be like, all right, cool,
15:42
Speaker 3: let's just in this next hour was always two hours
15:45
Speaker 3: because I can talk with a mouthful water. But that
15:48
Speaker 3: was like a once off money coaching session to just
15:50
Speaker 3: put you in the right position. And I adored it,
15:53
Speaker 3: but don't have capacity for it anymore. So I essentially
15:56
Speaker 3: recorded every single outcome that I thought was possible and
15:59
Speaker 3: put it in the cashlow budget course.
16:01
Speaker 2: Yeah, so where do we actually find a money coach?
16:04
Speaker 3: So the internet is a very helpful place, So googling
16:07
Speaker 3: it for a start, there are a few on social media,
16:11
Speaker 3: but I like to be wary around who we're taking
16:14
Speaker 3: advice from and making sure that they're licensed. But again,
16:17
Speaker 3: I think it's important to have someone that you connect
16:19
Speaker 3: with because the thing that I find really special about
16:22
Speaker 3: money coaching, and I'm not sure if this is an
16:24
Speaker 3: integrated principle of it is it usually relies from my
16:28
Speaker 3: research and from my understanding of what it is. It
16:30
Speaker 3: usually relies more on the psychological aspects of it, So
16:33
Speaker 3: it kind of becomes kind of like a bit of
16:35
Speaker 3: a life coach, but like a money coach and personal trainer. Yeah,
16:39
Speaker 3: which I think is really cool in a space that
16:41
Speaker 3: I'm quite clearly passionate about because it marries my two
16:44
Speaker 3: favorite things together. But money coaching, I think is you know,
16:47
Speaker 3: if you need someone to just keep you on track.
16:49
Speaker 3: And I've seen a few money coaches pop up recently
16:52
Speaker 3: that do group sessions, which I think is actually really
16:55
Speaker 3: powerful and obviously it would be a lot more cost
16:57
Speaker 3: effective than sitting down with someone who would probably have
17:00
Speaker 3: to charge you a minimum of like two hundred dollars
17:02
Speaker 3: a session so that you can do it. They do
17:05
Speaker 3: it like via zoom and you like tune in and
17:06
Speaker 3: then you have big group sessions of just like asking
17:09
Speaker 3: money questions and learning from the community that you would
17:11
Speaker 3: be in there. And I think that's quite powerful. I
17:14
Speaker 3: wish we had a way to do that with shees
17:15
Speaker 3: on the money. We don't, but now I'm just talking
17:17
Speaker 3: about it. I'm like, that would be so yeah. Anyway, JK, well.
17:22
Speaker 2: How much does it cost with thrown out the four
17:25
Speaker 2: grand figure? Pulled that out of nowhere.
17:27
Speaker 3: Yeah, so four grand I use as an example because
17:30
Speaker 3: it's quite a common amount data financial advisor would charge.
17:34
Speaker 3: But to be more specific because we like stats and
17:36
Speaker 3: data on this podcast. In twenty nineteen, the Financial Planning
17:40
Speaker 3: Association of Australia conducted the Core Data FPA member research
17:44
Speaker 3: which found that on average FPA members, So there's two
17:48
Speaker 3: just to like step back again, there's two industry bodies.
17:51
Speaker 3: There's the FPA and the AFA. I am a member
17:54
Speaker 3: of the AFA. The FPA is just a different one.
17:57
Speaker 3: Nothing wrong with them, different horses for different courses. Like
18:00
Speaker 3: they just did some research, but they found that FPA
18:04
Speaker 3: members charged two six hundred and seventy one dollars to
18:08
Speaker 3: prepare a statement of advice for new clients and three thousand,
18:12
Speaker 3: seven hundred and fifty seven dollars per year for ongoing
18:15
Speaker 3: advice clients, which sounds like a lot of money, but
18:18
Speaker 3: that's actually pretty standard when it comes to financial advice
18:23
Speaker 3: cays and that initial hurdle of twenty six hundred dollars
18:26
Speaker 3: they said for your advice. That amount is payable at
18:29
Speaker 3: the start, so just to like recap because they feel like,
18:32
Speaker 3: I want to give you as much information as possible.
18:34
Speaker 3: If g you were like I want to see a
18:35
Speaker 3: financial advisor, you'd find someone. You would then go and
18:39
Speaker 3: have like maybe a fifteen minute call with them on
18:42
Speaker 3: the phone, workout if you actually want to go have
18:43
Speaker 3: a meeting with them, or maybe you already know, so
18:46
Speaker 3: you book in the meeting and you go to what's
18:48
Speaker 3: called a fact find meeting, and that's like a discovery
18:51
Speaker 3: session between you and the financial advisor. It's to learn
18:55
Speaker 3: all the facts and stats about you. You'll have a
18:57
Speaker 3: really big document that you fill out and a risk
18:59
Speaker 3: profile that you will fill out, but also for you
19:01
Speaker 3: to get a sense of who they are and whether
19:03
Speaker 3: you want to work with them, because a financial advice
19:05
Speaker 3: relationship is for the long term, So if you don't
19:07
Speaker 3: feel comfortable with them, like how are you gonna ask
19:09
Speaker 3: the money questions? When you feel a little bit fickle,
19:12
Speaker 3: like you need to remember it's both ways, like you're
19:14
Speaker 3: feeling them out, but also they're feeling you out to
19:17
Speaker 3: work out if you're a good client fit for whatever
19:20
Speaker 3: they do, which is why it's important to find somebody
19:22
Speaker 3: who is specialist for your area, because then you'd be
19:25
Speaker 3: pretty disheartened if you went to this fact find meeting
19:28
Speaker 3: paid for it, which most financial advisors do charge for
19:31
Speaker 3: fact find meetings now, and the reason they do that
19:34
Speaker 3: is because often people want to go to this fact
19:36
Speaker 3: find meeting to learn a lot about the process, but
19:39
Speaker 3: then actually don't go through with it, so they're just
19:42
Speaker 3: covering their own butts so that they're not wasting a
19:44
Speaker 3: whole heap of time with essentially like people who are
19:46
Speaker 3: kicking tires. So often that fee for your fact find
19:52
Speaker 3: meeting could be anywhere between two hundred to six hundred
19:56
Speaker 3: dollars I've seen. Don't be afraid of that though, because
20:00
Speaker 3: that's usually I'm just speaking for what my experience is
20:03
Speaker 3: and how I charge in my business. That's redeemable on
20:07
Speaker 3: the advice in the future, So say your advice was
20:10
Speaker 3: then twenty six hundred dollars and you paid six hundred
20:12
Speaker 3: dollars for a fact fine you'd only pay the two
20:13
Speaker 3: thousand dollars. So that's nice to know that, you know,
20:17
Speaker 3: quote not a waste, but it does make you have
20:19
Speaker 3: a really good think about it before you actually engage
20:21
Speaker 3: a financial advisor, because they obviously want to make sure
20:24
Speaker 3: that you're serious, but also you want to be sure
20:27
Speaker 3: that that's what you want to do, and that's why
20:29
Speaker 3: you need to do your research, understand what they do,
20:32
Speaker 3: what area they specialize in, and you know what you
20:34
Speaker 3: actually want to get out of it. And that's why
20:37
Speaker 3: I sometimes suggest like just jumping on the phone and
20:39
Speaker 3: calling their office having a really quick fifteen minute chat
20:42
Speaker 3: with them before just to work out like do I
20:43
Speaker 3: actually want to go through this process with them, or
20:45
Speaker 3: like reading online about them or getting a word of
20:48
Speaker 3: mouth referral. But yeah, there's a lot to it, but
20:50
Speaker 3: that's usually the process.
20:52
Speaker 2: So once you've had your initial consultation V yes, and
20:56
Speaker 2: you're like yeap, ready to go, let's set up this strategy. Yes,
21:00
Speaker 2: what does the financial advisor then do beyond that point?
21:03
Speaker 2: Are they checking in with you each week.
21:05
Speaker 3: To see on what your expectations are or what have
21:09
Speaker 3: been set with you. Okay, so what would happen you
21:12
Speaker 3: go to this factify meeting financial advice is like, great,
21:15
Speaker 3: I've learned so much about you, your goals and what
21:18
Speaker 3: you want to achieve. I'm going to go away and
21:21
Speaker 3: write a statement of advice. And that's the I want
21:24
Speaker 3: to say it's the expensive part. It's not. But that
21:26
Speaker 3: document's massive. Like my statement of advice document for Zella
21:31
Speaker 3: is like sixty six pages long usually, but I've seen
21:35
Speaker 3: them up to like one hundred and fifty pages long.
21:37
Speaker 3: Like it depends on the compliance and how much additional
21:39
Speaker 3: information they want to put in it. But that document,
21:42
Speaker 3: she's thick. Yeah. And the reason it is is because
21:46
Speaker 3: that document outlines not only heigi I think this is
21:50
Speaker 3: a good strategy, it explains why that strategy is the
21:53
Speaker 3: best strategy for you, comparing it to other strategies that
21:57
Speaker 3: they researched, and other projections and like what's going on
22:01
Speaker 3: in the future. So we'll go okay, cool, these are
22:03
Speaker 3: the projections. This is what's going to happen, what life
22:06
Speaker 3: events are going to happen. What do we think that's
22:07
Speaker 3: gonna you know, cost it. It includes everything in all
22:11
Speaker 3: the comparisons, so it's not just hey, g put your
22:14
Speaker 3: super inex fund. It'll be like, hey, we've done all
22:18
Speaker 3: the analysis. Here are the top three super funds. Here's
22:21
Speaker 3: our recommendation, like our favorite one. Here is exactly why,
22:24
Speaker 3: here's our justification. Here is all the research. You need
22:28
Speaker 3: to make sure that you are always in the best
22:30
Speaker 3: possible position. And that's what that document is for, to
22:34
Speaker 3: make sure that your financial advisor is taking everything into consideration.
22:39
Speaker 3: And it has to be done at the start of
22:41
Speaker 3: that relationship because you can't just go I want to invest.
22:43
Speaker 3: They'll be like, cool, but I'm not just going to
22:45
Speaker 3: put your money somewhere without fully understanding you.
22:49
Speaker 2: Right, So will they then check in like six monthly
22:53
Speaker 2: with you or I mean you said before that it
22:54
Speaker 2: does depend on.
22:56
Speaker 3: Yeah, So legally they need to have a check in
22:59
Speaker 3: with you every year. If you're a fee paying client, yep.
23:02
Speaker 3: But if you've spoken to your financial advisor about having
23:05
Speaker 3: monthly meetings, then that's fine. True, but they will set
23:08
Speaker 3: that expectation with you. They might say something like I say,
23:12
Speaker 3: which is you know, if you're a full on client
23:14
Speaker 3: that's investing a lot every month. Of course you'll hear
23:16
Speaker 3: from me very regularly. But if I'm only setting up
23:19
Speaker 3: your super and your insurances and you're not investing a
23:22
Speaker 3: whole heap right now, like you actually don't need to
23:24
Speaker 3: hear from me on a monthly basis. So it's just
23:27
Speaker 3: about having your expectations set and they might identify that
23:31
Speaker 3: you actually need some money coaching, and your financial advisor
23:33
Speaker 3: might be able to help there or not. But yeah,
23:36
Speaker 3: it's going to be different for everybody. But legally they're
23:39
Speaker 3: going to have to do a review and make sure
23:41
Speaker 3: that you're in tip top shape. They're never going to
23:43
Speaker 3: just drop you because legally you're not allowed to do that.
23:47
Speaker 2: That's good to know. I feel like it sounds like
23:50
Speaker 2: a good option for someone like me, who I would
23:53
Speaker 2: say is lazy, ah when it comes to money. It
23:57
Speaker 2: seems like a good idea to just give the responsibility
24:00
Speaker 2: to someone else. And that's why I have a guaranteed return.
24:03
Speaker 3: That's exactly what it is, and that is one of
24:05
Speaker 3: the reasons why you pay monthly fees. So you've got
24:08
Speaker 3: that fee at the start for your statement of advice.
24:11
Speaker 3: Usually that's for the advice document and all of the
24:14
Speaker 3: strategy and research, But then it's also for the implementation
24:18
Speaker 3: of that advice, so for that financial advisor to do
24:21
Speaker 3: the work to set you up to get all of
24:24
Speaker 3: those insurances in your name, for you to roll all
24:26
Speaker 3: your super together and set up new accounts and do
24:28
Speaker 3: whatever you want there, to set up your investment accounts
24:31
Speaker 3: and organize all of that. So usually that's included. But
24:35
Speaker 3: a good question to ask if you do go through
24:37
Speaker 3: that process to your financial advisor is cool, does the
24:40
Speaker 3: statement of advice fee include implementation or not? Like you're
24:44
Speaker 3: just giving me the strategy and then I have to
24:46
Speaker 3: pay more to get it done. Because some financial advisors
24:49
Speaker 3: might go, oh, this statement of advice is one thousand
24:51
Speaker 3: dollars and then implementations two thousand dollars, so advice is
24:54
Speaker 3: three grand. Or someone might say, oh, well, actually the
24:59
Speaker 3: statement of advice and implementation, like it's all included and
25:01
Speaker 3: it's three grand. So they're not trying to take you
25:03
Speaker 3: for a ride. They just have different ways of charging.
25:07
Speaker 3: And some financial advisors will do that with clients that
25:11
Speaker 3: want the device and want the statement of advice but
25:13
Speaker 3: maybe don't want to do it right now. Sure they're
25:15
Speaker 3: trying not to charge you for implementation, different horses, different courses.
25:20
Speaker 3: So that is why you have monthly fees. So you
25:23
Speaker 3: don't just have monthly fees so that you can check in.
25:25
Speaker 3: It's so that your financial advisor takes on that responsibility
25:28
Speaker 3: of you to make sure that you are invested well
25:31
Speaker 3: and that your assets are performing, and that you're always
25:33
Speaker 3: well diversified and that everything's ticking along properly and carry
25:37
Speaker 3: out reviews and carry out meetings with you because obviously
25:41
Speaker 3: their time is worth money and they need to be
25:43
Speaker 3: remunerated for the work that they're doing. So monthly fees.
25:47
Speaker 3: I think people get up in arms about it. They're like, oh,
25:49
Speaker 3: my gosh, it's so expensive. It's like, well, not really
25:52
Speaker 3: when it comes down to you actually being in a
25:55
Speaker 3: better financial position forever. Yeah, to have a fee for that,
26:00
Speaker 3: and often it can come out of your superannuation. You
26:03
Speaker 3: can structure fee paying in different ways, so you could
26:06
Speaker 3: pay for it in cash, like out of your bank account,
26:09
Speaker 3: or you could go, oh, look, it's a lot, like
26:10
Speaker 3: how do you structure payment? Sometimes they do what's called
26:13
Speaker 3: a partial payment, which is some of the money might
26:16
Speaker 3: come from super, like they might take two thousand dollars
26:18
Speaker 3: from your super and you pay a thousand dollars in cash.
26:20
Speaker 3: If it's Super advice, maybe they take everything from your
26:23
Speaker 3: super fund and your ow't actually have to pay them,
26:24
Speaker 3: but you have paid them from Super, and sometimes advisors
26:29
Speaker 3: might not be comfortable with that, just depending on the situation.
26:32
Speaker 3: So definitely ask them like what's your face structure, like
26:35
Speaker 3: like how much money am I going to have to
26:37
Speaker 3: cough up now? Or can I use my super money
26:39
Speaker 3: to pay that? Because you actually can and not many
26:41
Speaker 3: people know that.
26:42
Speaker 2: Is that okay though, because we usually don't recommend touching
26:45
Speaker 2: super ruh.
26:45
Speaker 3: Yes, absolutely, and most financial advisors will take that into consideration.
26:50
Speaker 3: So for someone like me, I hardly ever take money
26:54
Speaker 3: from super from clients because I just don't want to
26:56
Speaker 3: impact it. Yeah. But then for some people, having it
27:00
Speaker 3: paid for with their super money puts them in the
27:03
Speaker 3: long term in a significantly better financial position and is
27:07
Speaker 3: actually an investment in future. Yeah. So as much as
27:10
Speaker 3: you're like, I don't want to spend my super money,
27:11
Speaker 3: it's like, well, we're going to put you in a
27:13
Speaker 3: significantly better financial position, and you have a way of
27:16
Speaker 3: paying for it without having it come out of your
27:19
Speaker 3: banking smart So yeah, I think you need to. Obviously,
27:22
Speaker 3: we're not going to just pull money out by car
27:24
Speaker 3: or pull money out and spend it in a silly way.
27:27
Speaker 3: We're actually paying for that asset to grow in a
27:31
Speaker 3: better way than it was before. Yeah that makes sense. Yeah, No,
27:34
Speaker 3: that does like one step backwards for like fifty forwards.
27:37
Speaker 2: Uh huh okay, well said, I think we'll leave it
27:40
Speaker 2: there for now, v before we head to the break.
27:42
Speaker 2: But don't go anywhere, guys, because we will be breaking
27:45
Speaker 2: down how to find a good financial advisor. On the
27:49
Speaker 2: other side, how do we go about finding a financial advisor?
28:01
Speaker 3: Day? All the deep questions into it. So there are
28:05
Speaker 3: lots of ways to find a financial advisor. My favorite
28:09
Speaker 3: is word of mouth, having a friend that's seen someone,
28:11
Speaker 3: because usually you can get a really good recommendation about
28:14
Speaker 3: their experience and how personable they found them and what
28:17
Speaker 3: their advice was like. And just understanding that. That's my
28:21
Speaker 3: favorite way. And you should go to the ACIK website
28:24
Speaker 3: and make sure that your financial advisors are credited and
28:26
Speaker 3: authorized and it will actually tell you in that document
28:30
Speaker 3: that you can find online very easily, like you can
28:32
Speaker 3: go and look me up now, like I'm probably a
28:34
Speaker 3: good example, go to the ASSEIC Financial Advisor Register. Just
28:37
Speaker 3: google Financial Advisor Register, click into that type Victoria Divine,
28:42
Speaker 3: and you will see that I'm an authorized financial advisor.
28:45
Speaker 3: You'll see my degrees. You will see where I'm authorized,
28:49
Speaker 3: where I've been authorized before, and what I'm accredited to
28:52
Speaker 3: give advice on. And I think that that's really important
28:55
Speaker 3: because if you have a self managed super fund and
28:57
Speaker 3: then you get this really great recommendation advisor but needs
29:01
Speaker 3: specific advice and they can't provide advice on SMSF, yeah,
29:04
Speaker 3: don't waste your time going and seeing them because they
29:06
Speaker 3: can't help you. But also, g there is a website
29:10
Speaker 3: that I'm going to recommend, but I need to do
29:12
Speaker 3: a disclaimer beforehand, not not like a scary one. I'm
29:16
Speaker 3: not affiliated with this platform at all. It's a really
29:20
Speaker 3: smart tool that essentially takes advisor information from that ASCIC
29:24
Speaker 3: register and creates them a profile on this website and
29:28
Speaker 3: then it allows people to leave reviews and like research
29:32
Speaker 3: people in the area in their specialist areas and see it.
29:34
Speaker 3: Which sounds great in theory, right, but a lot of
29:37
Speaker 3: financial advisors don't use it. So, for example, I have
29:40
Speaker 3: a profile on there because their website has pulled my
29:43
Speaker 3: information from the ACCIC register and automatically created me a profile,
29:47
Speaker 3: but I don't use it, and it actually forces financial
29:49
Speaker 3: advisors to like sign up and maintain their register and
29:52
Speaker 3: like ask for reviews and like, I'm pretty sure there's
29:54
Speaker 3: ways to pay them on the back end as well.
29:56
Speaker 3: And I'm not saying it's bad because the reviews are
29:59
Speaker 3: authentic and the advice specialist areas are really helpful, but
30:03
Speaker 3: I think it's important to disclaim it because you're going
30:05
Speaker 3: to go to this website, you'll look me up and
30:06
Speaker 3: I have no reviews and I have no information. I
30:08
Speaker 3: haven't uploaded a profile picture, I haven't done anything because
30:11
Speaker 3: I just don't want to be on that website. So
30:13
Speaker 3: it's important to know that while you might find an
30:15
Speaker 3: advisor on there, it's not the b all end all like,
30:18
Speaker 3: if they don't have any ratings, then they maybe just
30:20
Speaker 3: don't use it. Yeah, obviously, if they have bad ratings,
30:23
Speaker 3: that's a different story. But if they just have an
30:25
Speaker 3: empty profile like I do, it doesn't mean that they're
30:28
Speaker 3: a bad advisor or don't have clients, or don't have
30:31
Speaker 3: a business or you know, don't work for someone. It
30:33
Speaker 3: just means they haven't accessed that platform. So the website
30:37
Speaker 3: is called Advisorratings dot com dot au and we will
30:40
Speaker 3: link it in the show notes. But essentially, I think
30:42
Speaker 3: this is a really cool tool for you guys to
30:44
Speaker 3: use because you can find advisors near you. You can
30:47
Speaker 3: search them by name if you want to look them
30:49
Speaker 3: up and see if they have a profile. Again, you
30:51
Speaker 3: can use me as an example and you'll just get
30:53
Speaker 3: the plane profile. But if you go onto this website,
30:55
Speaker 3: you can actually filter what you're looking for. So they
30:58
Speaker 3: have updated their website recently, really aesthetic. I'm just letting
31:02
Speaker 3: you know, maybe I should put a profile on here,
31:05
Speaker 3: because like it's just a cool look and website. But
31:08
Speaker 3: you can search by different advisor categories, So if you're
31:10
Speaker 3: looking for aged care or you're looking for budgeting, you
31:13
Speaker 3: can click those variables and like filter based on who
31:16
Speaker 3: does what, which I think is really cool. You can
31:19
Speaker 3: filter by how much experience they have, and for some
31:22
Speaker 3: people this is important. You can filter by gender, so
31:25
Speaker 3: if you're looking for a female advisor who specializes in
31:29
Speaker 3: female investing or specializes in just women's finance, you can
31:34
Speaker 3: actually filter that and find somebody who specializes in that
31:37
Speaker 3: in saying that, just because they've said they specialize in
31:40
Speaker 3: it again, they would have had to go to the
31:42
Speaker 3: profile to like fill in their details. I haven't done that.
31:45
Speaker 3: So if you're looking for me and just searched like
31:47
Speaker 3: Melbourne three thousand, I want an investment specialist, I'm not
31:51
Speaker 3: going to come up because I didn't go through and
31:53
Speaker 3: do the categories and find that. So essentially the website
31:56
Speaker 3: exists to collect data on advisors and users and like it.
32:00
Speaker 3: It's not a bad thing, but I think it's just
32:01
Speaker 3: important to understand that it's not got absolutely everybody in
32:05
Speaker 3: Australia on it with all their actual true ratings and reviews.
32:09
Speaker 3: Yeah does that make sense? Yeah, Like, I just want
32:11
Speaker 3: to be safe about it and let you know why
32:13
Speaker 3: it exists and that if somebody has no reviews, it
32:16
Speaker 3: doesn't mean they're a bad advisor. Like I literally own
32:19
Speaker 3: an advice practice and have no profile on there, yet
32:23
Speaker 3: have clients and yeah yeah yeah. So it's just a
32:25
Speaker 3: good place to start. Yeah, but it's also just so
32:28
Speaker 3: helpful because so many people like well, I don't even
32:30
Speaker 3: know where to start, but it comes to financial advice
32:32
Speaker 3: and you can look it up and be like, oh,
32:33
Speaker 3: this guy Jayden, great, fantastic, like he's in Melbourne, So
32:37
Speaker 3: that is how I would do it.
32:40
Speaker 1: Now.
32:40
Speaker 2: Is it ever too early or too late to.
32:43
Speaker 3: Make the decision to see a financial advisor, No, sir, okay.
32:46
Speaker 3: I mean, if you're like thirteen years old in grade seven,
32:49
Speaker 3: like it's passionate cash, probably not the time to see
32:52
Speaker 3: a financial advisor. But if again going back to what
32:56
Speaker 3: I said at the start of the podcast, if you
32:58
Speaker 3: want to make an investment in a financial advisor because
33:01
Speaker 3: it is expensive, then there's no bad time to seek advice.
33:06
Speaker 3: In saying that when you said is it too late,
33:09
Speaker 3: absolutely not. Like there are financial advisors who specialize in
33:13
Speaker 3: pensions and making sure that you can retire properly and
33:16
Speaker 3: actually service demographics that might not be able to afford
33:19
Speaker 3: that three or four thousand dollars upfront fee. You just
33:23
Speaker 3: need to search for them and they might just charge
33:25
Speaker 3: through super and work out your pension and make sure
33:27
Speaker 3: you're in a better financial position. Advisors are not for
33:31
Speaker 3: wealthy people. They are for all people. They are for
33:34
Speaker 3: people who just want financial advice to set themselves up
33:38
Speaker 3: for the long term, whether you are twenty six or
33:41
Speaker 3: sixty six, like you can see an advisor, and I
33:44
Speaker 3: think that that's really important. It's not just wealth creation.
33:48
Speaker 3: And I mean, I try to be holistic when I
33:50
Speaker 3: talk about that, but I'm obviously going to lean more
33:53
Speaker 3: towards the investment side of things because that's what I'm
33:56
Speaker 3: passionate about, that's what I personally do in my business.
34:00
Speaker 3: But also that's the demographic of you guys, Like that's
34:03
Speaker 3: she's on the money, Like we're so young, Like that's
34:06
Speaker 3: what we talk about. Whereas back to that sixty six
34:09
Speaker 3: year old example, you're probably not going to be investing
34:12
Speaker 3: to get a compound interest in the next thirty years.
34:15
Speaker 3: Like we're not thinking about super contributions in the same
34:19
Speaker 3: way that you would be thinking about a super contribution
34:22
Speaker 3: today at your age, Georgia, Like we're actually working out Okay, cool,
34:26
Speaker 3: maybe we've only got two hundred thousand dollars in superannuation
34:29
Speaker 3: and you own your family home outright, like cool, We're
34:32
Speaker 3: probably looking at what level of pension you can rely
34:36
Speaker 3: on and what that looks like and how we can
34:37
Speaker 3: top that up. Like there are strategies for everybody. And
34:40
Speaker 3: I get a little bit heated about this because I
34:43
Speaker 3: don't want people to think that it's too late and
34:45
Speaker 3: don't worry, like financial advice is. They're cool people. They
34:48
Speaker 3: will put you in a better position. They will make
34:50
Speaker 3: you feel confident. And the amount of people that I've
34:53
Speaker 3: spoken to who are approaching sixty and like, oh I
34:56
Speaker 3: don't think I can afford to retire, or I'm really
34:58
Speaker 3: stressed about money, and they just aren't willing to speak
35:01
Speaker 3: to somebody because they think they're going to be judged. No,
35:04
Speaker 3: Like we do what we do because we adore putting
35:07
Speaker 3: people in better financial situations, Like why do you think
35:11
Speaker 3: we have this job? So I think it's important to
35:13
Speaker 3: remember like never too early, never too late. But just
35:17
Speaker 3: it's not just for wealth creation.
35:19
Speaker 2: I reckon you would have sold a lot of people
35:22
Speaker 2: on the idea today. V. Not that that's what you're
35:23
Speaker 2: trying to do, but you can definitely see the benefits.
35:28
Speaker 2: So for anyone who is feeling that way but just
35:30
Speaker 2: cannot afford it, what do they do?
35:33
Speaker 3: Look, I think that's them Where you get to get
35:36
Speaker 3: involved with things like she's on the money yep. You
35:38
Speaker 3: get to jump on Instagram and join the debt free community,
35:41
Speaker 3: like there are so many free resources nowadays. There's the
35:45
Speaker 3: Money Smart website where you can learn to budget and invest.
35:48
Speaker 3: There are YouTube videos, there are podcasts, There are you
35:50
Speaker 3: know these Instagram and Facebook pages like books, self led learning.
35:54
Speaker 3: Like I feel like so many people think that they're
35:58
Speaker 3: just not smart enough, and no, I just I don't know.
36:01
Speaker 3: Of course you don't know because you've never done it before.
36:03
Speaker 3: But like, we are smart people. We all are, like
36:06
Speaker 3: we have the ability to comprehend these things. And if
36:09
Speaker 3: you want to go down the route of understanding it
36:11
Speaker 3: your self, DIY fantastic. If you're in a pickle and
36:15
Speaker 3: you're in a fair bit of debt, set it on
36:17
Speaker 3: the podcast, probably approximately like one point six million times.
36:22
Speaker 3: The National Debt Helpline always super helpful, and again we
36:26
Speaker 3: will link them in the show notes if you need them,
36:29
Speaker 3: but they do free financial counseling and they will help
36:32
Speaker 3: you out of debt or if you're struggling with money,
36:35
Speaker 3: give them a call. They are fantastic. But genuinely, I
36:38
Speaker 3: think there's a lot of power in self education and
36:41
Speaker 3: just not relying on one source of information. Like I'm biased.
36:45
Speaker 3: I wrote a book. I think that it's really powerful,
36:48
Speaker 3: but I by no means think it's the only book
36:50
Speaker 3: you should ever read, like, go and read other books,
36:54
Speaker 3: Go and absorb as much information as you can so
36:57
Speaker 3: that you make the decision that's right for you. And
36:59
Speaker 3: that if you then find yourself in a position where
37:02
Speaker 3: you're like, you know what I do want to go
37:03
Speaker 3: see a financial advisor. I am going to invest You
37:05
Speaker 3: kind of know already the baseline. You're going to be
37:08
Speaker 3: a dream client. Just let you know. Yeah, but also
37:11
Speaker 3: you want to understand the baseline of investing and what
37:14
Speaker 3: works for you, and what your values and ethics are
37:17
Speaker 3: and what you want to see your super do. And
37:19
Speaker 3: you actually understand super and you understand investment, you know
37:23
Speaker 3: where you need help, and you also know where you
37:25
Speaker 3: can just stand up on your own, which is really powerful.
37:27
Speaker 2: Did you see in our group the other day, I
37:29
Speaker 2: think her name was Hannah she mentioned she'd been to
37:32
Speaker 2: a financial advisor or maybe a mortgage broker, and she
37:35
Speaker 2: was saying that she knew all of the terms that
37:37
Speaker 2: this professional person was saying, because if she's on the money.
37:40
Speaker 3: I was like, I see, like they're not hard concepts,
37:43
Speaker 3: Like we're not talking about needing to be as educated
37:46
Speaker 3: as a financial advisor, but to understand the basics of
37:50
Speaker 3: financial literacy is very different to understanding financial advice. And
37:55
Speaker 3: financial literacy I believe is a given, like you should
37:58
Speaker 3: have access to that and that is free and it
38:01
Speaker 3: can be free. But financial advice that's when we want
38:04
Speaker 3: to get serious about it and get strategy. But I
38:06
Speaker 3: just think that people are really powerful on their own
38:08
Speaker 3: as well, and they really underestimate what they can learn
38:10
Speaker 3: or what they can teach themselves.
38:12
Speaker 2: You've got this, guys, r V I reckon that is
38:15
Speaker 2: the perfect place to leave it.
38:16
Speaker 3: Well, I would agree. I feel like that's been hopefully
38:18
Speaker 3: a really helpful podcast for some people. But just before
38:21
Speaker 3: we head off, we'd like to acknowledge and pay respect
38:24
Speaker 3: to Australia's Aboriginal and torrest Raight Islander peoples. They're the
38:27
Speaker 3: traditional customdians of the lands, the waterways and the skies
38:31
Speaker 3: all across Australia. We thank you for sharing and for
38:34
Speaker 3: caring for the land on which we are able to learn.
38:36
Speaker 3: We pay our respects to elders past and present, and
38:39
Speaker 3: we share our friendship and our kindness.
38:41
Speaker 2: And remember, guys that the advice shared on She's on
38:43
Speaker 2: the Money is general in nature and does not consider
38:46
Speaker 2: your individual circumstances. She's on the money, exists purely for
38:50
Speaker 2: educational purposes and should not be relied upon to make
38:52
Speaker 2: an investment or a financial decision. And we promise Victoria
38:56
Speaker 2: Divine is an authorized representative of Australia Pacific Fie Management
39:00
Speaker 2: Proprietory Limited ABN three four one three two four six
39:04
Speaker 2: three two five seven AFSL three three nine one five one.
39:07
Speaker 3: And we don't do it as often as we used to.
39:10
Speaker 3: Get a real shout out to miss Tony Lodge. He
39:13
Speaker 3: Lodge whips together our podcast each and every single week,
39:17
Speaker 3: like she argues, like tone does. Nobody listens to the
39:21
Speaker 3: podcast as much as Tony does.
39:22
Speaker 2: Yeah, that's true. Actually that's mainly what we're shouting out.
39:26
Speaker 2: Poor anyway, and she gets the rough edit.
39:28
Speaker 3: Yeah, true, she gets the dirty stuff alright.
39:32
Speaker 2: Have a good week, guy, guys,