Many who work in financial services have lost touch with reality. Too quickly they forget what it’s like being unfamiliar with banking and accounting terms.This can leave many people feeling like they need to have a translator present in order to decode and decipher what they are being told, let alone explain how it affects them when making big decisions.
The recent oil price drop is one example. It can be made to sound terrible, featuring headlines containing “Throwing the world into turmoil” and “Australian shares hit as oil price plunges further”. But what does this mean for us? It means a drop in the cost of transportation of goods, which will lead to lower prices for almost all goods and services you purchase in Alice Springs. It means you will spend less money on the cost of fuel each week. It will mean many local businesses will be able to sell their goods at a lower cost, selling more and strengthening the local economy.
While you probably lost a small amount of your Super Fund because it contained some Oil Producing companies, most companies are Oil Consuming. Therefore, they should all be better off with lower costs, which should lead to stronger long-term growth. There is even the possibility that with lower costing goods across the economy, there is added pressure for falling interest rates. This is good news for most families in Alice Springs with relieving mortgage pressure.
Having always had a solid interest in math, money and business, I studied Economics & Finance at RMIT to better understand what the professionals were saying, and how it affected me in my life. After finishing my degree and consistently enjoying giving simple advice to friends and family, I decided to make a career out of my passion and joined a boutique financial planning firm. Later I moved to Alice for love and became a self-employed home mortgage broker to help people with one of the biggest financial decisions they make!