‘Memories our most valued possessions’
Continuing our series on financial insights, Chris Smith of CMC Markets tells how he regrets selling shares for $21 each when they’re now worth $295.
What’s been your biggest money mistake?
It’s a big question when I consider all the amazing companies I should’ve never sold or should have invested in, being in front of the mark ets for the last 18 years. A given mistake is probably not buying property sooner, delayedgratification budgeting, or selling Australian blue chip company CSL for a small gain 15 years ago around $21, when it now trades at $295!
What are you most proud of financially?
I don’t really reflect on my own situation too much until I know comfortably I’m financially free. Having a few mortgages keeps you focused and motivated on goals.
‘‘Having a few mortgages keeps you focused and motivated on goals.’’
What do you wish you’d known when you were 18?
Lots of things.
While it’s important to have fun and be young, saving to buy an investment property or shares longterm will far outweigh new clothes and endless holidays. Delayed gratification is easy to say and much harder to do. Social media wasn’t around but must add huge pressure on millennials.
What’s your most prized possession?
I don’t really value tangible items that much. But if there was a fire at my house, I’d first retrieve my photo albums, as memories are the most important possessions we have. I also have an old Tag Heuer watch gifted to me by my good friend, which is sentimental.
Are you a spender or a saver?
I’d say I’m a spender, but in comparison to most typical spenders, I’d probably be more of a saver as I always prioritise investing first.
Are you a KiwiSaver member? Which fund are you with?
I’m a huge advocate for KiwiSaver and have been a member since its launch. I don’t let anyone run my KiwiSaver and instead run my own portfolio through Craigs Investment Partners.
If you have kids, what is your approach to teaching them about money?
I’m not sure yet, I’m still working on this. My daughter is only two years old, but I do know my teaching position on financial beliefs will have the greatest impact on her views. I’m a big fan of financial education in schools and hope it will become a more permanent fixture in the school curriculum by the time she goes to college.
What money lessons did your parents give you?
There’s not too many – other than work hard to buy and experience the things you want. I’ve worked since a very young age, and did small jobs like delivering the paper and a multitude of other part-time
gigs.
Chris Smith is general manager of CMC Markets in New Zealand.