Pittwater Life October 2018 Issue

Business Life: Money
Business Life
Good Can’t someone reason for please going
‘nuts’ get him this down festive from season there?
This When month writing a look about back
over financial what innovation has been one
achieved of the perspectives by the recent I
can change share of with Prime you Minister… is from the
inside The mobile of a fintech went company off in my
which office in one my morning case has in been midrolling
September, out the it fast-growing
was my mother
Acorns who had app. just Since returned launching from
in an Australia extended in stay early in 2016 the the
app old country: now resides “Why on is the Scott smart
phones Morrison of Prime around Minister?” 350,000
Australians, she asked. Well that’s mum, roughly that’s 1.5% a
of tough the population.
one…
If Currently, you’re in the Australian dark about
what politics, I’m talking to borrow about, from Acorns
is Winston a micro Churchill, investment is platform a bit of
or a “riddle, what’s sometimes wrapped inside called a a
‘round-up’ mystery, inside app, the an enigma”. first one
of Even its kind our new in Australia. Prime Minister, Our
firm Scott along Morrison, with our while partners
brought emphasising it out a from clean the pair US of
in hands 2015 to where the media it had been every
established chance gets, for a few is struggling years.
to The articulate app works why in he a is couple in the
of top ways: job. by taking a data
feed On from the issue your spending of how this
accounts came about and many rounding people up the
purchases have many you theories, make to but the my
nearest view is that dollar if and it looks investing like a
these duck and accumulated quacks like balances a duck,
into it’s probably a mix of exchange a duck – or traded in
funds this case listed possibly on the ASX, a turtle, or,
by but you more debiting on that an in amount a minute. or
regular I think the payment answer from to why your
bank we have account a new to PM your lies Acorns much
account. closer to Most home users for those enjoy of the
us who live on the Northern
Beaches as the person most
in the frame for what’s gone
on is Tony Abbott, the Federal
member for Warringah.
round up feature of Acorns as
it allows them to save while
they spend. As a parent of
teenagers I think I’ve come
to the conclusion that apps
such as Acorns using a blend
of psychology and technology
may be the only effective way
to get modern kids to save
because they sure do know
how to spend.
Acorns works because the
principles underlying its design
Abbott’s desire to unseat
are
Turnbull
firmly
has
rooted
likely
in behavioural
been a
finance: work investing progress small since the
amounts spill motion on a to regular remove basis him that
won’t as Prime be missed Minister combined back with
investing September over 2015. an extended It took
period Abbott of until time August to average 2018
into and the markets issue of smoothing the National
out Energy peaks Guarantee, and troughs. or NEG, Of
course to find it both doesn’t a suitable hurt that patsy it
does in the all form of these of Peter things Dutton within
the and framework sufficient of appetite a highly from
colleagues for the transaction
costs involved.
Turnbull is not without
blame here either. Having had
the NEG policy endorsed by
attractive and functional user
interface – fancy words for the
app looks and feels very cool.
While these principles have
proven to be sound over time
Acorns goes on to provide an
indirect benefit to its users
in the form of education and
improved financial literacy.
Get two or more people in the
room who have an account and
you’ll find out what I mean –
when did you start? What are
the party room he should have
you stood saving his ground for? What against returns the
have hard-right you had? group It’s consisting inherently of
competitive Abbott, Hastie, but when Abetz, it’s Kelly
combined and Christensen. with the This tools group and
information would never that have the crossed app
provides the floor it’s and also by pandering extremely to
informative their demands – as he a regular emboldened user
you them can’t and help lit the but fuse become on
more the bomb informed that blew about up the his
behaviour Prime-ministership. of markets The whether rest,
you of course, are looking is another to or not leaf – in the
modern Australian political
history.
So how have all these
Canberra shenanigans played
out for the member for
with Brian Hrnjak
balance Warringah? of your I’m Acorns sure that account the
rises removal and of falls Turnbull in line with left an the
movements initial warm in fuzzy markets feeling during but
the course inability of of the the trading hard-right day.
group One of to the install challenges their preferred
any candidate finance has app left would them have with
encouraging the unfortunate young moniker people of to
save “the and gang invest who is can’t to remain shoot
relevant straight”. in their eyes. Over
the Closer past year to home a number Abbott’s of
enhancements grip on the seat have of Warringah taken place
following has now come user feedback, under question the
headline following ones a preselection
being:
Found meeting Money where partners a third of – users
can the votes shop online were cast with against brands
such him. as As Bonds, Shaun Dan Micallef Murphy’s, from
BCF, the ABC Uber pointed etc. and out, these Abbott
partners was unopposed usually deposit in this bonus
amounts contest, so or extra one third round of ups the
into members the users voted account; for nobody as
My a better Finance candidate. feature – uses
artificial This backlash intelligence is completely to track
and justified, categorise as Abbott’s spending actions and
calculate are likely free to have cash delivered flow;
Super government fund linkages to Bill Shorten – allows
users at the to next make election. deposits What to a
range this means of industry for people and public who
offer are saving, superannuation investing funds; or
Emerald running a Portfolio business – a is socially set out
responsible in the following portfolio laundry option list
introduced (compiled by following Alan Kohler) member of
feedback; Labor’s proposed tax reforms
Little once in Acorns government: – sub accounts
designed n Restrict to negative allow investment gearing to
on new behalf homes of children only; or other
dependants n Halve the under capital the gains age of tax 18.
discount from 50 per cent to
25 per cent;
n Remove dividend franking
cash refunds;
n Tax all discretionary trust
56 52 DECEMBER OCTOBER 2018 2017
The Local Voice Since 1991