TALKING FINANCE with Justin Baiocchi of Baiocchi Griffin Private Wealth It's got a light inside! We recently bought a new fridge to replace the existing second fridge which lived in the laundry. Yes, what very exciting news - if you weren't already thinking that a little nap was in order, after reading that first sentence you're no doubt thinking about taking off your shoes and plumping up the pillows. Stick with me however, it does get more interesting. The old fridge was one that was left behind by the previous owners of our house, who obviously decided that the value of the fridge was dwarfed by the effort which would be needed to move it to their new property. And what an effort it would have been- the fridge was evidently one of the first fridges ever made in Australia, if not the world. A time when every part of the fridge was fashioned out of metal and not a hint of plastic in sight. It even had metal drawers for the fruit and vegetables, which is a practice which was abandoned sometime after World War 2. The real reason we wanted to replace it (besides the fact that it weighed north of two tons and required the assistance of a crane any time we felt like moving it), was that it was obviously lagging a little when it came to meeting modern day efficiency standards. I am sure that whenever we turned the fridge on, a small power station somewhere in Victoria or Queensland would have to kick into life in order to meet the sudden drain on the national power grid. This 'free' fridge was no doubt costing us many hundreds of dollars a year in electricity bills, so it had to go. The replacement fridge, despite being made almost entirely of plastic, seems to do the job. It even has the modern convenience of a light inside the fridge! What luxury! As with fridges, the range of investments and investment approaches is constantly changing and being updated. What was once an appropriate investment strategy, may now be as clunky and as expensive to run as our old fridge. Technological advancements have made what was once impossible, just an everyday event. Algorithmic rebalancing, instantaneous reinvestments, global equity exposures...what we take for granted today was not even a pipe-dream some twenty or thirty years ago. To be fair, not every change has been a welcome one and the number of opportunities to lose money have probably grown even faster than opportunities to make money. That said, when was the last time you looked at your financial arrangements? Glossy stainless steel, running quietly and cost-effective? Or noisy, costly and impossible to budge? Which fridge are you? 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. Follow us on Twitter @BaiocchiGriffin Find us on Facebook facebook.com/BaiocchiGriffinPrivate Wealth www.bgprivatewealth.com.au AW7403937 TALKING FINANCE with Justin Baiocchi of Baiocchi Griffin Private Wealth It's got a light inside ! We recently bought a new fridge to replace the existing second fridge which lived in the laundry . Yes , what very exciting news - if you weren't already thinking that a little nap was in order , after reading that first sentence you're no doubt thinking about taking off your shoes and plumping up the pillows . Stick with me however , it does get more interesting . The old fridge was one that was left behind by the previous owners of our house , who obviously decided that the value of the fridge was dwarfed by the effort which would be needed to move it to their new property . And what an effort it would have been- the fridge was evidently one of the first fridges ever made in Australia , if not the world . A time when every part of the fridge was fashioned out of metal and not a hint of plastic in sight . It even had metal drawers for the fruit and vegetables , which is a practice which was abandoned sometime after World War 2. The real reason we wanted to replace it ( besides the fact that it weighed north of two tons and required the assistance of a crane any time we felt like moving it ) , was that it was obviously lagging a little when it came to meeting modern day efficiency standards . I am sure that whenever we turned the fridge on , a small power station somewhere in Victoria or Queensland would have to kick into life in order to meet the sudden drain on the national power grid . This ' free ' fridge was no doubt costing us many hundreds of dollars a year in electricity bills , so it had to go . The replacement fridge , despite being made almost entirely of plastic , seems to do the job . It even has the modern convenience of a light inside the fridge ! What luxury ! As with fridges , the range of investments and investment approaches is constantly changing and being updated . What was once an appropriate investment strategy , may now be as clunky and as expensive to run as our old fridge . Technological advancements have made what was once impossible , just an everyday event . Algorithmic rebalancing , instantaneous reinvestments , global equity exposures ... what we take for granted today was not even a pipe - dream some twenty or thirty years ago . To be fair , not every change has been a welcome one and the number of opportunities to lose money have probably grown even faster than opportunities to make money . That said , when was the last time you looked at your financial arrangements ? Glossy stainless steel , running quietly and cost - effective ? Or noisy , costly and impossible to budge ? Which fridge are you ? 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 . Follow us on Twitter @BaiocchiGriffin Find us on Facebook facebook.com/BaiocchiGriffinPrivate Wealth www.bgprivatewealth.com.au AW7403937