Property Hub - Investment Insights & Inspiration - Get Invested: Part 2 - Kane Hansen on investing struggle to success

Starting point is 00:00:00 look at the downside risk, really have a controlled approach to investing because people think that entrepreneurs and successful people are high risk takers. It is the complete opposite. It is controlled downside. Then you look at the upside opportunity once you can control downside because if there's uncontrollable downside risk, a smart investor entrepreneur will not even entertain that. And I think that is my story slash quote that I really want people to resonate with and start to change the narrative on entrepreneurship. It's not high risk. It's not irrational decisions. Welcome to Get Invested on the Property Hub podcast channel, the leading weekly show for Australians who want to learn how to unlock

Starting point is 00:00:43 their full self, health, and wealth potential. I'm your host, Bushy Martin, and each week, I go deep with the best investors, experts, leaders, and founders to find out what it takes to break free from the grind, discover freedom and to live by design. Subscribe now and join me and get invested in the life that you really want. Let's get started. Hi, Freighter Fighters. What's your true north? You know, that internal intuitive compass that guides you invisibly through life, whether you're actually aware of it or not. And if you haven't found your true north, how can you? And once you've found it, who do you need to become and what do need to do to achieve your version of success and freedom. Last week we talked about the need to

Starting point is 00:01:30 change your circles and your environment if you're serious about starting to move towards and achieving your life goals. Because as our returning guest so eloquently puts it, there's no point holding on to the past if it's going to F up your future. It's that simple. So as importantly, we need to change too. We have to become different people. Like Kane, I can guarantee you that I'm not who I was 10 years ago let alone who I was 15 or 20 years ago and not by a long shot. My way of thinking, my mindset, attitudes, expectations, actions and behaviors have all changed and keep evolving to enable me to achieve my version of freedom and sustain of success. And while we don't talk much about any of this Kane and I have made some pretty

Starting point is 00:02:15 big sacrifices and taken on big responsibilities in order to stay the course on the difficult path we've chosen to create and build our ideal lifestyles. So the cold hard truth is that if the person you are now isn't capable of achieving your desired definition of success, then that person needs to change. I'm not saying you need to change who you are deep down, but you can adjust your attitude, your behaviour and the way you operate to have the best chance of attaining and then maintaining your lifestyle goals. So ask yourself, what am I trying to achieve? What sort of person i need to be to achieve it because that's who you must become as both kane and i expand and our books find your true north and the freedom formula the first step to achieving your

Starting point is 00:03:02 lifestyle and supporting financial goals is to develop your vision what's the life you want to create what are you doing with who where and when what's your perfect day week month and year log like because it's hard to get to your destination if you just don't know where you're trying to go right? And once you're clear on all of the key pillars of your overall vision, including your personal life, business or career, your relationships and health, you then need to tie them back to your underlying values and beliefs, which is critically important as they're fundamental and foundational. Because if you're not aware of your intrinsic values and you don't consistently act in alignment with them, you're going to keep sabotaging and shipwrecking yourself without

Starting point is 00:03:42 understanding why. Now I can't stress enough how important this is because your vision and goals are like your head while your underlying values are your heart and if you're not acting in accordance with your heart you will never achieve sustainable success. Yes you may enjoy a few brief wins and a bit of overnight success but it'll never be sustainable long term. So let me ask you do you know what your personal values are? Can you clearly communicate them? If not then you're not going then you're going to undermine your future success right from the get-go now as a quick example my personal core values are actually summed up with the acronym that revolves around the word humility which is actually my most respected but least seen trait that captures

Starting point is 00:04:26 the qualities of being unpretentious respectful and unassuming and i dedicate an entire chapter in my book the freedom for you to helping you uncover your core values and your why which i think is the most important thing that you need to do and don't skip it because if you do you'll pay the price down the track so what are your core values now there's no right or wrong answer with this you may have a handful of non-negotiable values a lot of things that are fundamental to you and you don't necessarily have to sum them up in a handy acronym like i do it is however critically important to stop and crystallize what's important to you and what subliminally guides you so you can measure your choices decisions and options against them

Starting point is 00:05:09 so that they're aligned with your personal integrity which in turn affects your level of self-esteem and belief from personal experience i can share with you that if you're not doing things in alignment with your fundamental values and core beliefs this continuous compromise will eat at your subconscious and hamstring your progress in all aspects of your life conversely if your actions and associations are aligned magic can happen exponentially so if you're not clear on your values and you'd like some help with this feel free to book in with me for a personal solution session by clicking the link in the show notes and i'll look forward to talking to you soon on this or any other property financial surrounding challenges that you might be experiencing

Starting point is 00:05:48 because your values will be your subconscious compass or your gps for your life journey as your true north to ensure that you stay true to who you are and who you want to become and as we all know money is not the prize or the answer but merely the fuel and money often changes people and often not for the better because it's a volume switch to our underlying character that emanates from our core values so once you've uncovered your values which are your subconscious magnets and compass that attracts and invisibly guides your life experience and you start honoring and living in accordance with them you can then link them to your vision and break it down into goals and identify the steps required to reach them. Now this sounds pretty simple right because

Starting point is 00:06:29 it's both holistic and logical and it is simple but it's not easy to follow through and then stay the course. So you need to get clear on your values, beliefs, vision and goals and the necessary steps so that you can then dive into learning the practical finance and investment skills that you'll use to create the money fuel that's going to make all this happen. As Kane and I both reinforced the main point we want to make here is that gaining clarity around your values and vision is fundamental and mission critical to your success because if you're really serious about changing yourself your situation and the world around you you must be 100% clear on your values and your beliefs as together they become your true north star. Now I started last week's

Starting point is 00:07:14 episode by asking you if you're stuck but the reality is you're not stuck. You're not stuck in your environment, in your circle, in your job, in your mindset. Whatever's holding you back, you're not stuck. It may feel like you're stuck, but you're not. In your mind, you may feel stuck for a long time, stuck in the environment you've grown up in, stuck with the crew you're hanging out with, stuck with the fate that you think that you deserve. But it won't be until you take that massive step to unstick yourself by incrementally changing your thinking, behaviors, and habits over time and moving to a new environment that you realize that you're not as stuck as you think you are now you may not realize it yet or believe it in fact but you have all the freedom and choice

Starting point is 00:07:57 of the world at your fingertips sure you may be broke in debt feel trapped in your current situation and not have the right qualifications but you're still free to try your to better your situation if you're prepared to back yourself and take action and follow kane's courageous example that he walked us through last week because there comes a point when you can no longer blame the system your parents or anything else but yourself or where you're at it's a tough reality to accept but it's actually the cold hard truth now you can't change the past but once you become aware of the negative influences in your life you can take ownership of your future you can take responsibility what you do and where you go next your past and your past conditioning don't have

Starting point is 00:08:42 to rule you for the rest of your life or become your excuse. You can decide right now to say I choose not to live a life of suffering anymore. The suffering doesn't lead to continue but you must decide you're going to change and then take action each and every day to make that change as you find and then live your true north. So if you're serious and ready to to do the never-ending work required to change yourself and your circumstances in order to live your ideal lifestyle, then you're going to love the inspiration that Kane Hanson is going to give you today as he unpacks his recently released book, Find Your True North. As you'll remember from last week, Kane's a financial planner, advisor, business owner, entrepreneur, and a

Starting point is 00:09:24 big proponent of giving back. As the founding advisor of True North Lifestyle, he helps you and others from all walks of life to take control of your finances by focusing on smart money management to create financial freedom and then build your dream life. He believes that everyone should have the opportunity to develop strong financial literacy so to help you and others master your finances he's created the true north academy an educational platform that teaches you everything from basic budgeting right through to playing the money game and winning so i'm really looking forward to unpacking your great new book so welcome back and let's get invested again cut thanks bushy thanks for having me back mate good to see you again more great inspiration from your

Starting point is 00:10:04 book in the intro there mate again i i love the way you walk the talk as well so you you you inspire us but it's all related so the the the hurdles that you've jumped on on your journey to where you're at let's jump straight into the book uh find the author and talk to us a little bit about why did you write it what are the key messages that you see it and who's the best suited forth why do i write it i've been asked this before uh so i know it's the answer um but look even i i wrote the script you said before um the way you speak it sounds a lot better i love i love the way you speak in the voice and i'm even thinking about doing audio books i might have found uh someone to collaborate with uh bushy um but why why did i write the book um if you

Starting point is 00:10:52 listened to last week's episode books were a massive change in my initial part of my journey and the reason being is I could pick up a book from Warren Buffett one of the best stock investors or investors in general globally for $27.95 down at the local bookstore now you can actually jump on Amazon and get it dropped to your door in three days printed and on demand right but you know for 30 less than 30 australian you can get access to the minds of some of the best entrepreneurs investors in the world it's a one-way dialogue i get it it's not a back and forward dialogue where you might get an interactive interactive session for example so if you bushy or with me where someone's got to sit down and understand your personal needs and goals to give

Starting point is 00:11:45 you the most specific direction, but for a low cost entry, starting out books are amazing tool. And because it just gave so much to me in my journey, I wanted to give back my story. And I really wanted to highlight in the story that I'm just an average Joe or an average Cain, another Australian, had a few ups and downs, went through some adversities. I made bad decisions. I made bad investments. I got hit, knocked down a few times, but I persevered. I kept my ethical compass aligned to my true north. My vision with financially what I wanted to build and I pursued and it's paid off and through hard work and consistency. And I wanted to relay that message and share it through storytelling. And that's why I wrote the book and I want to inspire at

Starting point is 00:12:35 least one other person and um you know all the proceeds are going back to at this point to charities we're donating all of it i was going to donate all the profit was too hard to calculate so i just said stuff it let's just give all the proceeds back uh and donate the money so um yeah it's all that giving back for me um and sharing my story so hopefully someone else can can make change like i did love that uh the coming with the quick i guess kane what are the key messages in the book that you want people to take on board and take some action on. Yep. So a slogan that we use with True North Lifestyle is about creating a life on your terms. And the key word is your terms, not society's, not the condition of your parents,

Starting point is 00:13:19 not your friends. It's your terms. What do you want to create if that's an $80,000 passive income a year so you can travel the world on a low cost budget with a friend or a partner or children? Is it going out and dominating and making seven-figure profit businesses and scaling something massive and employing hundreds of people and having a legacy? And it's everything from the top end to the bottom end of understanding what you want to really create, giving people the motivation, the skills and mindset and the disciplines and behaviors that I needed to learn to change my life that maybe they could instill for change um but also motivating people to show that it's possible what i noticed from books in the beginning was hey this person can do it this

Starting point is 00:14:07 person's done change this person's created what people will say is not not the possible it is the impossible um and they they defied the status quo and that's what i love i love seeing the underdog the underdog story the destructive uh markets or the disruptive person coming and saying no i think i can do this um and and and yeah i just really want to see that um brought out in people the best in the best way right yeah absolutely no i yeah i love that a big takeaway for me in the book is the need for personal accountability and it's something i've always believed in i guess what are your views on personal choices and responsibility in that context um we all need to take more accountability we all need to do more of it um it's an ego thing

Starting point is 00:14:58 right like you know no one wants to accept their mistakes or shortcomings but i think it's a reality that to grow that you need to make and do the hard decisions make hard decisions and do the things that are hard and sometimes that's stepping back and saying um you know all the decisions i make today will be a byproduct of the reality i live tomorrow and there's no one to blame and it's easy to blame it's hard to accept that there's no one else to blame and i talk about this in the book you know i played the victim mode i i went through the you know single parent um single mother upbringing you know the low income was the problem i didn't have my father around then it was the school system didn't have the resources to support me so that's why i went off the the

Starting point is 00:15:40 straight and narrow and then ended up in boy's town and then no one would give me the right job and then i started hanging out the wrong people and you know that's why i can't get a good job but society failed me and the reality is we live in the glass half full um country of australia it's still one of the best countries in the world and you know we can bag out the the social security system we can bag out the government but i tell you what there's 80 of the world's countries are a lot worse, right? So stepping back and saying, and I realize this as a young man when I hit, you know, between like 19, 20, 21, I can sit there and hold on to my past and the story and let it dictate my future and be stuck in potentially the same situation I am 10

Starting point is 00:16:23 years later, or I can start to take accountability, step back and say, well, now it's on me moving forward. What am I going to do about it? Let's let go of the past and just see what we can create with the rest of my life because the story's not over and you write each chapter um on your terms and and yeah it's just uh it starts with accountability right accepting 100 love that another thing that i think is pretty strong in both your own personal example uh and keep keeps coming through is the importance of self-discipline uh and there's a great section in the book on your self-discipline blueprint can you sort of uh uh i'm going to put you on the spot now but take us through the key elements of that kind of discipline discipline is doing the things you don't want to

Starting point is 00:17:14 do right yeah so and there's a part of this there's obviously a part of us it's human nature you sit on the couch at night and if you go oh geez i've got that chocolate bar in the in the covered and willpower gets to a point where willpower does deplete. Willpower is only limited. If you put someone in an environment where they're constantly testing their willpower, you have a higher chance of failure or going for the chocolate bar when you're meant to be on the diet. Prior preparation and structure help with discipline. It's setting that alarm and the snooze button the night before. It's not having the food you don't want to eat in the fridge. It's about creating the right environment and structure to build good habits and then and taking a step

Starting point is 00:17:57 forward and then if you consistently do those habits um the brain will actually um zip file that memory cognitive or thought pattern zip files and stores it as an automated response and you start to build those into your psyche or consciousness essentially or subconscious i suppose you should say um but it's just building that and there's there's studies that say it could be anywhere from 66 days of doing something we'll turn it from a habit a routine into an official habit um some say 180 days but look what we all can agree on it's the consistency um if you have one bad day don't let it throw you off if you get six days out of seven hey if you do one day out of seven it's better than doing none um we need to have a positive uh feedback loop internally um

Starting point is 00:18:43 but it's just having those my blueprint for discipline is um yeah just setting some goals having some structure, building healthy behaviors, healthy thinking, healthy relationships, just doing things, right? Even it's like, I'm going to read. If you've never read before and people are like, I don't know where to start, it's pick up a book and read 10 pages a day. You know, I've seen a lot of people going viral at the moment with that 75 hard. Have you seen that? Andy Fritzeller talks about it. It's 10 pages a day, drinking water, two forms of exercise. it's just building habits right it's creating a new routine routines that have got to push you towards a better future once again what is that future that you're trying to create what's the

Starting point is 00:19:27 plan what's the outcome okay what routines can i do to move me forward and then and rinse and repeat and and it is can be a little bit monotonous and boring um but that's where the results come from 100 good investment is boring and kane i i did i some time ago that that demonstrated and proved that the best investors are actually dead uh because they they get in and they don't muck with it they don't play with it don't let their emotions begin and make knee-jerk reactive decisions for something that if the quality of the asset is good enough and their timeline's long enough then they're going to do very well and you you talk uh again about the importance of mindset and there's a great section in the book where you talk about your mindset gps

Starting point is 00:20:16 which i think is really good analogy can you break down what that gps means in in terms of modern mindset for us yeah it's like if you know these days you don't really have a gps it's all on the phone right if it's uh if you just have a tracking system of any form and you put in your destination one you know exactly where your destination is and then you actually go on your phone if you use an android or an iphone it says okay are you taking foot are you walking are you on public transport which could be train or bus are you on a bicycle or you're on a car or a motor bike right and this is the same as the outcome if you've got an outcome or destination or gps one you're not looking at going anywhere else someone comes along and says hey do you want to

Starting point is 00:21:02 go to this other beach it's like no i'm going to this beach it's 45 minutes away there's another beach it's 53 uh but that gets busy there's no parking hey there's another beach at 32 minutes away yeah but they've got you know too many waves and it's not going to be good gets rough i wonder like a calm calm sort of ocean right so you pick your destination you clear on i'm not going to be distracted by the other beaches or or outcomes or destinations but then to put that into context too. There's also what vehicle now do we use? You might start out, hey, I've got to go by foot and I've got to use public transport. It's got to be slower to get to the beach. But as time goes on, you can use different vehicles to get you there faster, which is using a bike. Now you can use

Starting point is 00:21:41 car. Sometimes we used to go by boat overseas, take you three weeks to get to Europe. Now you can fly there, you know, 25, 24 hours roughly on average. So it's just having that GPS to be clear on the destination not be distracted by other outcomes and and what vehicle yeah you got to use to get you there faster yeah i love the way you break down the book the you break gps down into g for growth p for purpose and s for social being strong social connections because that pretty much encompasses all the key things that we've been been talking about there uh just in relation to the uh investment piece kane and you sort of touch on some of the loopholes tips and tricks that everyday aussies can actually utilize to improve their financial position you want to

Starting point is 00:22:30 share uh some of the obvious ones uh with us and particularly the ones that most aussies tend to ignore or or don't know what they don't know therefore and therefore miss out kicks and trips for australian yeah just i have to give you a general disclaimer here Oh, I want to understand. Yeah, yeah, yeah. Not principles, not specific advice. This is just some of the general principles. Because a lot of Aussies jump into investment, I think, a bit half-assed

Starting point is 00:22:59 because it's that impatient thing that drives it again. But if you sit back and look at some of the key fundamentals of any investment class, are there any bits of standouts that Aussies miss out on? Yeah, one I've been hearing a lot of, because obviously there's a cost of living crisis at the time of doing this podcast. Interest rates are at a sort of high point in many years, not historical highs, but they're definitely at a high point based on property values compared to the interest rate. You hear people that have had property in the 80s tell you that it was harder when they were 16%, 17%,

Starting point is 00:23:37 but the property value was different. So different ratios, but very similar cost of living crisis that we're facing at the moment. And there are so many people that don't run a budget. I don't understand how you cannot run a budget. I don't care if you're earning $500,000 a year or more, or you're earning $50,000 a year. You need to know your budget and not because you need to track and live off bread and water. You need to have an allocated amount for spending. You need to have an allocated amount for your responsibilities. You need to have an allocated amount for investing leisure whatever it is and you have those buckets or conscious why call it conscious saving conscious spending and it means if you start to earn money on 50 000 you don't

Starting point is 00:24:24 have a budget when you jump to 80 you're easily going to go and just start spending that extra 30 you made obviously minus tax it's probably less than 30 in your pocket but yeah you're going to spend that money quite easily so i think above all i can give you the best strategy i can give you the tax structures. I can give you different trust fund structures or investment bucket companies and give you the most sexy complex structure. But if you're not budgeting, my projection will not get to the outcome that I've demonstrated with all the variables. And this comes back to discipline and behaviors, right? If you have a good spending behavior discipline, and I encourage clients to put in their personal spending, put in your haircuts. If your partner goes and gets beauty

Starting point is 00:25:06 things done or pedicures put it in i put in a weekly allowance for myself i want to buy a snowboard or a new surfboard i've got to build that allowance up and i can spend that on what i want and my partner has her own and that's an allowance in our budget we've got a social eating out allowance like it's it's it's meant to be a fun budget we've got all their holidays in there if we have a ten thousand dollar holiday budget hey do we want one big holiday or do we want to go camping twice and maybe do a cheap overseas and we get three holidays out of that budget right so the structure and the planning around the budget really helps and there's so uh many easily accessible tools out there that are free uh that can one uh you know the most decent banks

Starting point is 00:25:50 will break down what you're spending into budget items so you've got a really quick and easy identification of what you're currently spending and then there's some really simple easy to use budget tools out there now that cost you zero but you have to have the discipline as we keep talking about to actually keep an eye on that and then it ain't sexy it ain't rocket science but if you stick to the knitting and you keep doing it with consistency if you set that up so you've got savings and investments that have flowed out of that budget then it all gets very easy down the track so love that one thing I'd love to expand a little bit to given the great initiative that you've established with the True North Academy.

Starting point is 00:26:33 Tell us a bit about why you created it, how it works, and who's best suited to take advantage of that to you. Yeah, so we're finding now with the Royal Commission in 2017 really drove up the cost of financial planning advice in a time where more Australians need personalised advice than ever. We've got a big generation of the baby boomers transitioning to retirement. We've got their parents that are at the end of life where there's a massive transition of wealth through inheritance. And there's just not the

Starting point is 00:27:04 right advice around, but all that red tape they had to bring in, they had to raise the standards of financial planning. They had to clean things up, which they've done really well, but it's driven the cost up. Same with the building industry, brought in all the red tape to stop all the insurance warranty issues that have happened with the buildings going up too fast. It's just pushed the cost of building up, right? And it's the pendulum swinging too far. And we're sitting back and we're noticing that there's more Australians like myself, like my mother, single mother that needed the help more than ever, didn't have the money to afford one-on-one advice. But at some point, if you help those people in the beginning or in the mid-journey that are progressing to potentially those clients, they one day will get there if they get the right advice. But there was a gap. There was no education. And then I found that we wanted to give an unbiased view to all the information and the insights to how a financial plan would assess your strategy, how they would assess your budget, how it would actually assess your loan, different loan structures, explaining the variables, looking at property as an asset class, how does property work from borrowing, how does lender's mortgage insurance work, loan to value, how do you borrow against equity. Then we went into shares, ETFs, direct shares, what dividends are. We went into a risk profile,

Starting point is 00:28:23 how to do asset allocation while having a risk profile diversification, and then using the budget and all that knowledge to say, well, then how do you apply it to a savings or investment plan? And then we show you a tax strategy of using deductible debt, non-deductible debt. There's also debt consolidation, but they're all unbiased. There's no specific, this is the key thing it's just a very generalized education would educate our clients on and then i explain how i would actually research things we give research tools calculators um requirements of what to look for not what what to look for and what to look out for um and it goes all the way through to estate planning and life insurance which is towards the end where they're important

Starting point is 00:29:02 plan b things um but it's just meant to give a generalized what we call financial foundations there's a workbook for a vision goal setting in there documenting your learnings and then you can share that with the community because there's a massive middle class lower class that need to start out and they need that first step and we we're hoping that it's going to give those people the first foundation to then go oh i didn't know property could do this oh i didn't know shares could do that and then you've got more information to make an informed step of what you want to put into the vehicle that will get you to that destination which is your your your true north or your plan love it uh pretty exciting stuff and and there is a massive gap in the equation there

Starting point is 00:29:45 uh which which we could talk about but uh i know again i'd love to talk a lot further about we've only just scratched the surface today but uh before i jump into the second round of the ambush one of the key takeaways to finding our true north and enjoying our ideal lifestyle as you see it, can't it? Key takeaways from the book? Yeah. Yeah, in terms of finding our true north. Key takeaways.

Starting point is 00:30:15 There's an old saying that comes to mind. It's like, you know, shoot for the stars. No, shoot for the moon if you wish to land amongst the stars. Yeah. And the key takeaways to finding your own true north, it's a personalized journey. we're all on this planet for a limited time we're all headed to the same destination yeah but there's no getter you can't get out of here alive none of us are right so it's a journey

Starting point is 00:30:39 of finding that balance and there are a lot of people that are trying to chase wealth trying to chase success and i talk about this in my book i had immense success in my late 20s very fast through being poached from an internship if you ever seen the movie the pursuit of happiness it was very similar to the pursuit of happiness being poached as this outlier with no education i was like the the underdog in the program people laughed at me i couldn't even use excel spreadsheets i didn't even know what outlook was coming from a mining town but i had to find my my true north right um in that in that process and and i had immense amount of success in a large practice really quickly and i realized that there was more than money um and then beyond that even creating

Starting point is 00:31:25 true north lifestyle and our true north academy i'm a big advocate for giving back and i contribute a lot and i've been on the board of boystown and i think you've got to find you've got to find more things that bring us from fulfillment beyond money and that's my key takeaway in this journey use money don't let it use you money will bring out the good in you money will bring out the bad in people will show your true colors um and just don't get caught up in that journey just remember the family friends and those that were there for you and will be there for you along that journey love it uh jump straight into the ambush round where i give you the blindfold and the cigarette now uh kane and to kick that off what's your favorite quote and why oh favorite quote

Starting point is 00:32:12 i mentioned one last week which is uh the um you plan if you fail the plan you plan to fail is essentially, I think, the quote is. It wouldn't be a quote, if you don't mind me, sort of going on a different sort of tangent with this, but it's the Richard Branson story, right? And I'm a big believer, and I mentioned this in the last week, with asymmetrical risk. And I want all the listeners to really take this in.

Starting point is 00:32:42 And you've got some of the best investors in the world, like Ray Dalio had Bridgewater, I think his hedge fund was, the largest hedge fund in the world. there's a big thing about asymmetrical risk and Richard Branson I believe when he started Virgin Atlantic there might be a few details that aren't 100% accurate but the concept was when he started Virgin Atlantic everyone thinks Richard Branson's an entrepreneur which he is and he's a big risk taker and entrepreneurs take risk and that's what you need to do to succeed and if you look at Richard Branson's story about Virgin Atlantic he'd agreed I think with Boeing

Starting point is 00:33:16 at the time for a few billion dollars of aircraft under a lease and he took on that lease in in the agreement that if virgin atlantic doesn't become successful i'm going to shut down the company and i hand back all the aircraft of not one dollar owing or no deficit of the business owing money to boeing so if you look at that deal it was a billion dollar upside business model with zero risk on the downside besides his time. And that's one of the biggest quotes I share with people that want to go out and find the next crypto ICO that's got to boom or the next IPO share or the next big ticket thing is look at the downside risk. Really have a controlled approach to investing because people think that entrepreneurs and successful people are high risk takers. It is the complete

Starting point is 00:34:08 opposite it is controlled downside then you look at the upside at the upside opportunity once you can control downside because if there's uncontrollable downside risk a smart investor entrepreneur will not even entertain that and i think that is my story slash quote that i really want people to resonate with and start to change the narrative on entrepreneurship it's not high risk it's not irrational decisions um there is a bit of winging it on the job when when you're learning obviously but there's there's there's a sensible approach to doing it but if you plan for the worst and expect the best and you've already encompassed the downside risk then the upside reward is the bonus because you're not putting yourself in a situation where you're going to be

Starting point is 00:34:54 out of the game so well love that uh now i'm not literally good apart from your book uh and the rich dad poor dad that we spoke about last week what's the other top book that you'd recommend we read and why oh there's so many my book besides that there's a bit of a bias there everyone so i obviously like my own book and bushy actually narrates it really well so uh it even makes it sound better i was listening to it just thinking wow um there was things in there where i was just like you know even though you've read it there's just things that just come in the mine i was like you know you have to get in the zone and thinking it took me over two two and a half years of back and forth of writing it and um yeah yeah it's interesting to think about um

Starting point is 00:35:37 great book all right so depends where you're at so every time i've read a book was at a different stage um there's books like you know ray dalio um the principles he's got a few more books now if you're in sort of a path path of trying to understand good fundamentals to life that that's good um the one really good book if you're looking to get into some form of investing um there was one that i loved for years called top top 100 stocks martin martin roith roith the name is he's had like 30 editions over 30 years and it's very black and white he assesses the top 100 shares he thinks will be good in the next year so let's 2025 will come out in maybe you know three or four months and he has an analysis and a fundamental approach that have to fit a

Starting point is 00:36:23 criteria to be in the book so there's a lot of stocks that are outside that but if you just want simple analysis where he explains the different financials of a stock that he assesses and he gives the explanation of how he looks at price to earning debt for a company the dividend yield and explains things like that in the book and and i used to go through that book in the mines and i I'd flick through and pick about four or five different sectors I really liked or description of the companies. And I'll just incrementally invest in those over the next year, those five stocks. And I'd work out my budget and go, okay, I can afford 2,000 a month. I'm going to allocate that across five stocks. Every month I bought into those stocks. And then next year I'd read

Starting point is 00:37:05 the book and then add a few more. But it doesn't give you recommendations, but it gives you a really good understanding of stocks. And that's obviously if you're looking at getting into the share market um but yeah i found those as a good couple of good key books yeah great suggestions uh our last one of these if you can wave a magic wand and change anything kane what will you change about money and investment oh there's a lot of things i've changed about money um yeah look i could sit here and try and try and rewrite the uh rewrite history and save you know the there was less capitalism and there was more profit for good and more profit to benefit the human race

Starting point is 00:37:48 and we put more money back into the right health system and education and all the areas were under-resourced and underpaid. But, yeah, that's what I'd really like to see, everyone contributing for good to provide a better society. But unfortunately, there's a big skewed difference from the upper class, middle class and lower class. i'd like to see people informed better before they leave school i'd like to see more curriculum in school around unbiased education around compounding interest what credit card debt is

Starting point is 00:38:22 what tax deductible debt is explaining to people we train people in school to go and become employees but then we don't tell them about the tax system because once you become an employee you're in the tax system as a marginal tax rate individual we also don't explain superannuation The two key things that come with your first job, fill out the tax declaration form, fill out your choice of super fund form, and there's no introduction to that. And if I could wave a wand, I'd really like to see if people get the basics before they're let loose into society. And as a parent, this scares me more now with my young child or children to come, is once

Starting point is 00:39:01 they're 18, you can only protect them so much. And as soon as they're 18, they can go and sign on a credit card, sign on to a loan, side onto these short-term loans like Afterpay and can do some serious damage without being equipped with the knowledge. And I'd love to see that. We can't change history, which would be my first preference. Let's try and equip the young Australians with better information to just try and make better decisions for their future. Yeah. Great thoughts. Last question before we get into the wrap. If I ask you to get invested, what does that mean to you, Kay? get invested get invested i think get invested into yourself self first get invested into what

Starting point is 00:39:44 you know i'm investing in myself books help me invest in myself invest into your mental health invest into your physical health um because a strong mind strong body is good is going to help you sort of navigate through life because there's there's there's a lot there's a lot of shit that's got to hit you sorry for the derogative term um but when you go through life and the older you get you start to realize there's there's more stuff you have to endure and and and life's not going to be easy for anyone like i said we're all we're all headed to the same outcome at the end we're all headed for one destination but as you get older unfortunately you'll see more people get sick and you'll see people get die dying and it's parents or older family or friends um you know so

Starting point is 00:40:31 just get invested in yourself look after yourself look after the internal world um and i think that will sort itself out with the external world um you know and help with the narrative of the education and everything you need to do from there but i think we discussed this before the internal world's not healthy and right doesn't matter what you do and there's so many unhappy millionaires and billionaires in the world there's so much data on it um there's no correlation they've done the research i think for once you get an average uh cost of living an average income recovery and a standard uh standards of living um there's no correlation to increase happiness so i think you should invest in yourself first yeah fully said uh now for those like myself who

Starting point is 00:41:15 really resonated with what we talked about today we're going to have all of your links uh in the show notes for those who connect with you uh further uh but as we discussed uh pretty coming on air uh you're offering a special guest for a special gift for get invested listeners or a challenge more to the point uh by giving away a free copy of your book find true north uh which you can actually get on your website which is kanehansen.com.au forward slash product or forward slash find your true north and again we'll have that in the show notes as well uh so we're challenging everyone to sending an email and uh you're very journalists are going to give the best email just just one of them uh so email us at hello

Starting point is 00:41:59 hdllo at knowhowproperty.com.au uh and summarize your biggest takeaway from our great discussions with kane on how to find your true north any any further thoughts on that before we close kane yeah like i said we've got to do a giveaway and and i'll give a signed copy of a book We've also got a goals journal I'll chuck in for one reader that's listening on the podcast, but also everyone that takes action and the courage to actually reach out and share their insights and do something. we also will try and give away a digital copy of the goals journal so you can just download that it's pdf editable just to help everyone else out you can print it yourself but one lucky viewer will get the signed copy and the physical copies posted out to them beautiful but very generous uh look kane i really want to thank you again for taking the time to inspire and educate

Starting point is 00:42:56 us on how to find our true north so we can live our ideal lifestyles enjoy our versions of sustainable success and financial freedom over the last two episodes. And I actually personally look forward to keeping the conversation going. But before we close, if anyone watching or listening would like to explore how property can help you to live your true north by freeing up your time and creating an income for life, whether you're new to the game or an experienced investor or a property player, feel free to explore your why, what, and how of successful property that unpacks my four decades of property and life experience by tapping into our recently released freedom formula program you can enjoy anytime anywhere at your leisure by clicking the link

Starting point is 00:43:33 in the show notes there or going to bushingmartin.com.au forward slash freedom formula course and to continue our great conversations with other like-minded investors and learn in a safe sound and supporting environment where you can ask any question and get answers without any of the bs in a place where you'll never be sold to or pressured to do anything join us in our property hub collective interactive facebook community by clicking the link in the show notes and that brings us to the end of another great conversation so thanks again for getting invested and let's keep the conversation going okay thanks bushy thanks guys everyone for listening um hope to hear from some of you soon take care thanks for tuning in to get invested on the property hub

Starting point is 00:44:12 podcast channel your home for property investment insights and inspiration make sure you subscribe to property hub for free get your weekly dose of get invested inspiration along with every episode of Realty Talk, Australia's top online property show for red hot property investing news and insights direct from industry leaders and influencers. And finally, I'll see you next time.

Property Hub - Investment Insights & Inspiration - Get Invested: Part 2 - Kane Hansen on investing struggle to success

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