TALKING FINANCE with Michelle Higgerson of Baiocchi Griffin Private Wealth FLOOR PLAN OR FINANCIAL PLAN Renovators rejoice! Our favourite competition reality show is back on our screens. This season of The Block we find ourselves in the foothills of the Great Dividing Range of Victoria, in the wellbeing and wellness capital, Daylesford. While the premise of The Block is to appeal to Australian's love affair with property, the truth is there are many comparisons that investors can draw between this show and investing via the share market, an alternative which can deliver equally fruitful returns. When broken down, a share portfolio and a property each possess a basic structure, but something unique must be created in order to succeed. Other similarities include: 1. Same Starting Point, Different Outcomes On The Block, each team starts with the same shell of a house, but the finished spaces look completely different. Similarly, investors may begin with the same amount of money or access to the same markets, but their strategies and results depend on their goals, preferences, and decisions. 2. Tailoring to the End User Contestants don't renovate for themselvesthey design with potential buyers in mind. Some buyers want luxury, others practicality. In investing, the "buyer" is your future self. A retiree may want stability and income, while a young accumulator might prioritise growth. Just as no two homes appeal to the same buyer to the same degree, no two investors need the same portfolio. 3. Balancing Budget and Style On the show, teams work within strict budgets and must decide whether to splurge on a wow factor or save for essentials, like landscaping. Investors face the same trade-offs-deciding between high-risk, high-return assets and safer, lower-growth options. Striking the right balance is crucial to long-term success. 4. Adapting to Setbacks Renovation rarely goes to plan. Contestants deal with surprise costs, tradespeople going AWOL, or design mishaps. Markets behave the same way-unexpected downturns, interest rate shifts, or global events can disrupt even the best-laid investment strategies. Flexibility is key in both scenarios. While there is much debate over which investment strategy delivers superior performance, in reality the returns are comparable. Arguably, however, the share market return is achieved with less drama, blood, sweat or tears; something your wellbeing and wellness will thank you for. BAIOCCHI GRIFFIN PRIVATE WEALTH Level 1, 462-464 Peel St, Tamworth NSW 2340 6766 9000 AFSL No 424658 This article is general in nature and does not take your individual situation into account. You are advised not to act on anything contained herein, or discussed as a consequence of the contents of this document, without receiving financial advice from a suitably qualified person such as a financial planner, lawyer or accountant. 3334 Follow us on Twitter @Baiocchi Griffin Find us on Facebook facebook.com/BaiocchiGriffin Private Wealth www.bgprivatewealth.com.au TALKING FINANCE with Michelle Higgerson of Baiocchi Griffin Private Wealth FLOOR PLAN OR FINANCIAL PLAN Renovators rejoice ! Our favourite competition reality show is back on our screens . This season of The Block we find ourselves in the foothills of the Great Dividing Range of Victoria , in the wellbeing and wellness capital , Daylesford . While the premise of The Block is to appeal to Australian's love affair with property , the truth is there are many comparisons that investors can draw between this show and investing via the share market , an alternative which can deliver equally fruitful returns . When broken down , a share portfolio and a property each possess a basic structure , but something unique must be created in order to succeed . Other similarities include : 1. Same Starting Point , Different Outcomes On The Block , each team starts with the same shell of a house , but the finished spaces look completely different . Similarly , investors may begin with the same amount of money or access to the same markets , but their strategies and results depend on their goals , preferences , and decisions . 2. Tailoring to the End User Contestants don't renovate for themselves they design with potential buyers in mind . Some buyers want luxury , others practicality . In investing , the " buyer " is your future self . A retiree may want stability and income , while a young accumulator might prioritise growth . Just as no two homes appeal to the same buyer to the same degree , no two investors need the same portfolio . 3. Balancing Budget and Style On the show , teams work within strict budgets and must decide whether to splurge on a wow factor or save for essentials , like landscaping . Investors face the same trade - offs - deciding between high - risk , high - return assets and safer , lower - growth options . Striking the right balance is crucial to long - term success . 4. Adapting to Setbacks Renovation rarely goes to plan . Contestants deal with surprise costs , tradespeople going AWOL , or design mishaps . Markets behave the same way - unexpected downturns , interest rate shifts , or global events can disrupt even the best - laid investment strategies . Flexibility is key in both scenarios . While there is much debate over which investment strategy delivers superior performance , in reality the returns are comparable . Arguably , however , the share market return is achieved with less drama , blood , sweat or tears ; something your wellbeing and wellness will thank you for . BAIOCCHI GRIFFIN PRIVATE WEALTH Level 1 , 462-464 Peel St , Tamworth NSW 2340 6766 9000 AFSL No 424658 This article is general in nature and does not take your individual situation into account . You are advised not to act on anything contained herein , or discussed as a consequence of the contents of this document , without receiving financial advice from a suitably qualified person such as a financial planner , lawyer or accountant . 3334 Follow us on Twitter @Baiocchi Griffin Find us on Facebook facebook.com/BaiocchiGriffin Private Wealth www.bgprivatewealth.com.au