The Adviser Talk

Why do some IPOs create wealth, while others destroy it? And what can investors learn from the difference?In this episode, Tim and Nick take a closer look at both global and New Zealand IPO experiences, highlighting the contrast between stable, infrastructure backed investments and high growth, high risk ventures. The discussion reveals how timing, business fundamentals, and investor expectations all play a role in determining outcomes.But the conversation goes beyond markets. It also tackles a deeper and often overlooked topic, society’s reaction to wealth and success. Why do we celebrate achievement in some areas, yet question or criticise it in others? And what does this mean for how we think about value creation over time?Bringing together practical investing lessons with broader economic thinking, this episode encourages a shift away from short term thinking and headline driven decisions, towards a more patient, disciplined, and long term approach to building wealth.(00:00:29) Episode introduction and themes: IPO hype vs wealth creation and envy(00:01:39) The first IPO in history and lessons for modern investors(00:03:33) SpaceX valuation and balancing vision with financial reality(00:03:49) How IPO pricing works and why early volatility occurs(00:06:25) IPO performance reality: why most underperform the market(00:09:11) Why investors chase high profile IPOs despite the evidence(00:10:57) Key IPO insight: understanding who is selling and why(00:11:07) Why companies go public: liquidity, profile, and raising capital(00:13:33) Case study comparison: My Food Bag vs Port of Napier IPO(00:16:23) Investor discipline: due diligence vs fear of missing out(00:17:55) Portfolio fit and being cautious about IPO exposure(00:19:24) Shift in discussion: wealth creation, success, and public perception(00:20:26) What sparked the “envy” article after SpaceX IPO reaction(00:21:33) Paper wealth vs realised wealth explained(00:24:48) Envy, perception, and valuing success in society(00:25:48) Wealth creation impact: how success benefits many people(00:29:13) New Zealand perspective: focusing on growing the economic pie(00:33:54) Capital flight and why success needs to be encouraged(00:36:01) Judging wealth by long term impact, not headline figures(00:36:59) Andrew Carnegie example and lasting legacy through philanthropy(00:39:00) Key takeaway: long term thinking, stewardship, and positive mindset

When big employers leave a region, the ripple effects last generations.In this episode, we explore what happens when those risks are not modelled, not discussed, and not planned for at council level.A direct and local conversation on fiscal accountability, rising rates, and why households cannot absorb endless shocks.Time stamps:(00:00:01) Fiscal pressure and public demand for accountability (00:00:20) Intro and episode overview, Hawke’s Bay fiscal concerns and council response (00:01:52) Setting the scene, why this topic matters now (00:02:01) Missing analysis in OIA response, why no modelling is serious (00:02:19) Rising rates versus inflation, sustainability concerns for households (00:05:25) Council debt and borrowing for operating costs (00:09:24) Economic risk of large employer exits and “mini Detroit” analogy (00:11:41) Household impact of rising rates and limited shock absorption (00:12:03) Debt levels explained, reduced fiscal headroom (00:14:22) Budget breakdown, debt servicing and interest burden (00:15:31) Long term risks of borrowing to fund shortfalls (00:15:52) Potential council amalgamation and structural change (00:17:06) Market limits on borrowing and fiscal discipline (00:17:21) Key questions ratepayers should ask council

What can a World War I fighter pilot teach you about investing? The Red Baron built his success on discipline, structure, and stacking the odds in his favour, but lost everything in a single moment of emotion. In this episode, Tim and Nick explore how investors face the same temptations, and why diversification, low costs, liquidity, and rebalancing matter most when markets feel easy. Tune in for a powerful reminder that the biggest risk to your wealth is not the market, it is your behaviour.(00:01:43) Nick’s fascination with the Red Baron and personal connection(00:04:16) Core combat rules: stacking odds and disciplined decision making(00:08:26) Psychological edge: the significance of the red plane(00:11:51) Investing parallel: diversification as numerical superiority(00:13:07) Fees, liquidity, and the impact of cost on returns(00:15:03) Rebalancing and managing behavioural bias(00:17:09) Facing market downturns with discipline, not emotion(00:20:47) What led to the Red Baron’s downfall(00:23:53) Lessons from his downfall: abandoning proven principles(00:25:17) Final lessons for investors: avoid overconfidence and stick to principlesNick Stewart (Ngāi Tahu, Ngāti Huirapa, Ngāti Māmoe, Ngāti Waitaha) is a Financial Adviser and CEO at Stewart Group, a Hawke's Bay and Wellington-based CEFEX-certified financial planning and advisory firm. Stewart Group provides personal fiduciary services, Wealth Management, Risk Insurance and KiwiSaver solutions.

What happens when a “sure thing” goes spectacularly wrong? In this episode of AdviserTalk, Tim and Nick unpack Scotland’s disastrous Darien Scheme, a moment when an entire nation bet its future on a single idea. Through this powerful historical story, they explore why high conviction often leads to dangerous concentration, how households repeat the same mistake today, and why resilience, diversification and liquidity matter more than confidence in any one plan.(00:01:46) Why Scotland’s Darien Scheme felt like a sure thing(00:02:03) How a single investment led to the loss of Scottish independence(00:03:49) The original vision to control global trade through Panama(00:05:01) National pride and why so many people invested(00:06:58) How much of Scotland’s wealth was really at stake(00:08:53) The reality on the ground, disease, conflict and isolation(00:09:36) Collapse of the scheme and national financial ruin(00:10:55) The household version of the Darien mistake(00:12:25) Modern examples of over concentration in family wealth(00:14:02) The key question every investor should ask about risk and resilienceNick Stewart (Ngāi Tahu, Ngāti Huirapa, Ngāti Māmoe, Ngāti Waitaha) is a Financial Adviser and CEO at Stewart Group, a Hawke's Bay and Wellington-based CEFEX-certified financial planning and advisory firm. Stewart Group provides personal fiduciary services, Wealth Management, Risk Insurance and KiwiSaver solutions.The information provided, or any opinions expressed in this show, are of a general nature only and should not be construed or relied on as a recommendation to invest in a financial product or class of financial products. You should seek financial advice specific to your circumstances from an Authorised Financial Adviser before making any financial decisions. A disclosure statement can be obtained free of charge by calling 0800 878 961 or visiting our website, www.stewartgroup.co.nz

Why do so many investors stick with strategies that feel right, even when the evidence says otherwise? In this episode of Adviser Talk, Tim and Nick use Plato’s allegory of the cave to explain why chasing hot funds, star managers, and market timing is so hard to let go of. They unpack the latest New Zealand SPIVA data, explore how psychology and media keep investors stuck in the shadows, and explain what stepping into the light really looks like in practice.(00:00:22) Why investors trust familiar stories over evidence and data (00:01:38) Why this topic matters and why history is relevant (00:02:07) Plato’s cave explained and how it maps to investor behaviour (00:05:10) What SPIVA is and what the New Zealand data really shows (00:06:44) Active vs passive in NZ markets, home turf still underperforms (00:08:40) Human nature, pattern seeking and why investors believe they can win (00:09:46) Why trying to beat the market is not investing (00:10:09) Media influence, clickbait and fear driven financial decisions (00:11:52) What to look for in a financial adviser, fiduciary duty and independence (00:13:23) Investing is about behaviour, not intelligenceNick Stewart (Ngāi Tahu, Ngāti Huirapa, Ngāti Māmoe, Ngāti Waitaha) is a Financial Adviser and CEO at Stewart Group, a Hawke's Bay and Wellington-based CEFEX-certified financial planning and advisory firm. Stewart Group provides personal fiduciary services, Wealth Management, Risk Insurance and KiwiSaver solutions.The information provided, or any opinions expressed in this show, are of a general nature only and should not be construed or relied on as a recommendation to invest in a financial product or class of financial products. You should seek financial advice specific to your circumstances from an Authorised Financial Adviser before making any financial decisions. A disclosure statement can be obtained free of charge by calling 0800 878 961 or visit our website, www.stewartgroup.co.nzThe information provided, or any opinions expressed in this show, are of a general nature only and should not be construed or relied on as a recommendation to invest in a financial product or class of financial products. You should seek financial advice specific to your circumstances from an Authorised Financial Adviser before making any financial decisions. A disclosure statement can be obtained free of charge by calling 0800 878 961 or visiting our website, www.stewartgroup.co.nz

Lost super, KiwiSaver myths, and smarter investing explained simply. In this revisit episode from May 2024, Paula Intercot joins Adviser Talk to discuss transferring Australian super to New Zealand, choosing the right KiwiSaver approach for your life stage, and how complementary investment options can support your financial goals.Paula breaks down the often-overlooked process of transferring Australian superannuation to New Zealand and maximizing your retirement savings. Whether you're a returning Kiwi with Australian super, looking to optimize your KiwiSaver strategy, or exploring additional investment vehicles, this episode provides practical insights for making smarter money decisions. Paula's expertise shines through as she simplifies complex financial processes and explains how global diversification works within New Zealand-based funds.Perfect for anyone seeking clarity on retirement planning, investment strategies, or navigating the transfer of overseas superannuation funds.Note to listeners:At (00:05:01) Paula discusses the KiwiSaver government contribution and contribution amounts. Please note this episode was recorded prior to recent changes to the government contribution, and the figures mentioned may no longer be current. For the latest eligibility criteria and contribution amounts, we recommend checking official government guidance or speaking with a financial adviser about your individual circumstances.(00:01:17) What Australian super is and how it compares to KiwiSaver(00:01:32) Why transferring Australian super to New Zealand can be beneficial(00:02:05) Clearing up misconceptions about diversification and investment returns(00:02:25) What happens to your Australian super when you return to New Zealand(00:03:03) The scale of lost and unclaimed super in Australia(00:03:24) How Stewart Group helps clients transfer Australian super(00:03:55) Accessing the Australian portion of KiwiSaver before age 65(00:04:46) How long the Australian super transfer process usually takes(00:05:01) KiwiSaver explained and how it works for retirement(00:06:20) Conservative, balanced and growth KiwiSaver investment options(00:07:51) What the ACI fund is and how it works alongside KiwiSaver(00:08:43) When to review your investments and speak to an adviserPaula Enticott is a Financial Adviser at Stewart Group, a Hawke's Bay and Wellington-based CEFEX-certified financial planning and advisory firm. Stewart Group provides personal fiduciary services, Wealth Management, Risk Insurance & KiwiSaver solutions. The information provided, or any opinions expressed in this article, are of a general nature only and should not be construed or relied on as a recommendation to invest in a financial product or class of financial products. You should seek financial advice specific to your circumstances from an Authorised Financial Adviser before making any financial decisions. A disclosure statement can be obtained free of charge by calling 0800 878 961 or visit our website, www.stewartgroup.co.nzThe information provided, or any opinions expressed in this show, are of a general nature only and should not be construed or relied on as a recommendation to invest in a financial product or class of financial products. You should seek financial advice specific to your circumstances from an Authorised Financial Adviser before making any financial decisions. A disclosure statement can be obtained free of charge by calling 0800 878 961 or visiting our website, www.stewartgroup.co.nz

DIY investing is easier than ever, with ETFs and online platforms giving many New Zealanders confidence to manage their own portfolios. Returns can look strong, and progress can feel real, but this episode asks a critical question: Are you actually building wealth once tax is taken into account?Rory and Tim explore the gap between gross returns and what you keep after tax. They unpack bracket creep, overseas investment tax rules, and why multiple income sources can lead to unexpected outcomes. The discussion highlights why coordination matters, why splitting advice can create blind spots, and how focusing on after tax outcomes helps investors make more intentional long-term decisions.(00:00:18) Welcome to Advisor Talk: DIY investing rise and the question of actual returns vs perceived success(00:01:57) Why DIY investing has become popular with New Zealanders over the past decade(00:02:53) Gross returns vs net returns: What investors naturally focus on and barbecue bragging rights(00:03:20) Behavioural finance and herding mentality around investment trends(00:04:04) Tax bracket creep explained: Why it catches people by surprise at tax time(00:05:04) Cash flow issues from unexpected tax bills and the role of financial advisors(00:06:04) FIF rules (Foreign Investment Fund): Common misconceptions about overseas investment taxation(00:07:14) Problems with splitting money across multiple advisors: Tax and advice perspective issues(00:08:41) Key mindset shift: Working with independent financial advisors for real after-tax wealth(00:08:54) Russell Investments survey: 4.7% value of financial advice over market returns(00:09:57) Big takeaway: DIY investing isn't the problem, but the rules have changed(00:10:47) Final advice: Reach out to independent financial advisors acting as fiduciaries(00:11:01) Closing: Podcast wrap-up and disclaimer informationThe Adviser Talk is available on all major streaming platforms, including Spotify and Apple Music.Rory O'Neill is a Financial Adviser as well as the Director and General Manager at Stewart Group, a Hawke's Bay and Wellington-based CEFEX-certified financial planning and advisory firm. Stewart Group provides personal fiduciary services, Wealth Management, Risk Insurance & KiwiSaver solutions. The information provided, or any opinions expressed in this show, are of a general nature only and should not be construed or relied on as a recommendation to invest in a financial product or class of financial products. You should seek financial advice specific to your circumstances from an Authorised Financial Adviser before making any financial decisions. A disclosure statement can be obtained free of charge by calling 0800 878 961 or visit our website, www.stewartgroup.co.nz

When ideology replaces analysis, the locusts arrive.From sparrow eradication to interest rate shocks, Nick draws parallels between Mao’s disastrous Four Pests Campaign and modern Kiwi property investing. Rising interest rates, disappearing equity, and the danger of doubling down on beliefs instead of data. If you own property or plan to, this conversation matters.Time stamps:(00:00:00) Intro: From sparrows to mortgages, setting up the investing analogy(00:00:58) Crusades, history and modern parallels(00:02:19) Confidence over competence, modern Kiwi investing mistakes(00:02:39) The New Zealand property mantra, safe as houses under scrutiny(00:04:49) Falling equity, negative equity and why mobility disappears(00:05:39) Mao’s Four Pests Campaign and the war on sparrows(00:06:38) The unintended consequences, sparrows gone and locusts arrive(00:07:35) Doubling down on bad ideas, ideology replacing science(00:08:30) Soviet science, Lysenko and the dangers of false fundamentals(00:09:34) Debt serviceability and stress testing interest rates(00:09:36) Yield versus cost and Minsky’s concept of Ponzi finance(00:10:45) Supply, demand and zoning changes impacting property values(00:11:55) Demographic shifts, migration and changing buyer demand(00:13:05) How to avoid being the sparrow killer, testing assumptions(00:13:45) Wise counsel, ignoring hype and keeping investing grounded(00:14:10) Closing reflections, fundamentals always winNick's book recommendation: Crusades by Dan JonesMusic: One Country – Midnight OilThe Adviser Talk is available on all major streaming platforms, including Spotify and Apple Music.Nick Stewart (Ngāi Tahu, Ngāti Huirapa, Ngāti Māmoe, Ngāti Waitaha) is a Financial Adviser and CEO at Stewart Group, a Hawke's Bay and Wellington-based CEFEX-certified financial planning and advisory firm. Stewart Group provides personal fiduciary services, Wealth Management, Risk Insurance and KiwiSaver solutions.The information provided, or any opinions expressed in this show, are of a general nature only and should not be construed or relied on as a recommendation to invest in a financial product or class of financial products. You should seek financial advice specific to your circumstances from an Authorised Financial Adviser before making any financial decisions. A disclosure statement can be obtained free of charge by calling 0800 878 961 or visit our website, www.stewartgroup.co.nz