Building Wealth Efficiently: Financial Freedom & Passive Income || The $1000 Project || SugarMamma


40 thoughts on “Building Wealth Efficiently: Financial Freedom & Passive Income || The $1000 Project || SugarMamma

  1. Glad to see you incorporating a gearing strategy! I’ve been using my line of credit for some time (very low LVR) in addition to my cash savings.

    What calculator are you using in the video Canna? x

  2. You already hold GEAR shares(an ETF with a built in margin loan), I think I saw it in a previous video.
    They pay their interest at an institutional rate which is lower than a home loan rate, maybe 2-3%.
    The margin loan interest rate is going to be high, around 7%

  3. This sort of thing goes over my head. Do you have to pay the loan like a normal personal loan? To me it is scary getting a loan to invest.

  4. This strategy can prove lucrative if you have the fortitude to bear high levels of volatility and fully understand the financial product and know what's going on – that is, what can go right and what can go wrong. Margin Loans have mostly been used by sophisticated investors with high risk profiles and plenty of cash assets. Please read https://www.moneysmart.gov.au/investing/borrowing-to-invest/margin-loans

  5. I think you've achieved such incredible things so far on this channel, it's such a realistic breath of fresh air. I'm not against borrowing to invest in fact when done correctly it can be extremely effective, my main concern is the current market landscape. Borrowing near the middle or bottom of the market reduces this type of risk is significantly, however at all-time highs (which we are seeing currently in the United States, India and China etc… I worry this loan might slow your growth over the short term if we were to experience a downturn). I really hope we can keep pushing for 12+ months, which would hopefully let you settle the loan and come out in front.

    By the way, I found your channel about three hours ago and you've had me since, awesome work 🙂

  6. Considering you're a finance channel with a slightly better informed audience i'm disappointed you're using the old income gap as a talking point. Considering men pay 2/3 of all taxation and only receive 1/3 of all gov spending (data available on the governments tax website) a supposed professional like you would have had a more insightful approach. Poor Rocko

  7. I had an investment home loan for an Index Fund. It certainly grew our investment portfolio a lot quicker but I could not wait to be free of this debt. Now that we are debt free I never want to use debt again to grow wealth. We have more than enough cashflow to build abundantly for financial freedom, fun and retirement. The peace I feel being debt free is priceless. I admire you presenting this concept but I think you may be assuming a lot about the financial intelligence of your viewers. This is not a simple idea and it concerns me you are presenting it in an uncertain lending climate in Australia (aka Royal Commission recommendations into lending). I also feel you downplayed the risk involved in margin lending. I prefer your videos where you teach people to manage their own money rather than encouraging taking premature risks with investment lending.

  8. I’m finally buying T$1,000P today on the iPhone book app (I wanted to wait until I was done school and working again) and I can’t wait to start saving in June! Also doing frugal June to help.

  9. No risk no reward. I'm sure you've done the maths before deciding to go with it so all the power to you. So funny how people are so ready to negatively gear on properties worth $500k+, but when someone mentions they're taking out a relatively safe loan, all hell breaks loose when the dividends you're getting from the shares generally are fully franked and so you keep more of the money; whereas in property you lose a dollar to get back 37c. And yes I do own investment property also, but I've been on both side and I know which one I prefer 😛 I'm aware there's deductions on paper with property, but when something goes wrong with property there goes your profits or it'll be coming out of your bank account

  10. I made a "Sugar Mamma Look for Less" video, inspired by your beautiful style! Feel free to share! Link here: https://youtu.be/iQHEX_PzNic

  11. Can't believe the amount of flak you're getting in the comments here Canna! A $50k loan is what a lot of people would consider normal or necessary for that nice new car that's going to depreciate in value as soon as they drive it off the lot…
    Anywho thanks for the vid! Margin lending definitely isn't for everyone as you have mentioned but I'm excited to learn more about it in your future videos and see how it all plays out. Others have already mentioned it but a little more info on the basics and maybe the pitfalls would be much appreciated 😊

  12. Canna thank you for mentioning the Super gap, a very real phenomenon unfortunately – a trap I fell into as a housewife. I am coming into a small amount of money shortly & this vid is timely & intelligently presented. Much appreciated

  13. Hi Sugga mama, great video I learn a lot from your financial advise. I find you stunning despite your age, I’m part Italian handsome man, fit body with Roman God look, golden skin, well endowed “meaty” penis, I want to be your sugar man baby. I’d like to get in touch with you I live in Melbourne, promise to give you a time of your life beyond anything you can imagine.

  14. I use the equity in my house to invest in the market, then that money taken out to invest I can also claim the interest on 🙂 happy days I'm all for borrowing to invest over the long term. My goal is to retire in 3.6 years

  15. Hi Canna! Thank you so much for this video. You really have helped increase my money mindfulness and I am so looking forward to your new book. I know your heart is to help people and you have certainly helped me. Your books, Instagram posts and videos are greatly appreciated. Happy Mother's Day from the United States!

  16. Which LIC holds 1600 stocks?
    Really interested in this strategy change, just set notifications for future posts. My partner and I really enjoy your vids and you have sparked our minds to alternative strategies also. People here are all adults and can make their own decisions, including not to watch if they choose. Keep up the great content. Thanks

  17. Great vid, very informative. I had no idea about ETF, LICs until i started watching your channel. Thanks so much for opening my eyes. Unfortunately, we're not taught this in school (algebra is more important apparently). I aim to pass on this knowledge to my kids 🙂 Also what did you use to create that graph?

  18. Next time you sell some of your ASX shares via your ANZ ShareTrading account, could you screen-capture it and make a tutorial about "How to Sell Shares on ANZ ShareTrading"? Still not sure how to SELL and how it all works (eg: will you guaranteed get the price of that share at the time of the sale vs you only get the price someone else is willing to buy it for on that day and you very well could get less than the current share price)

  19. Thanks for sharing Canna! This makes sense, but how much interest would you pay on the loan? Or does it work differently. Would the $50k be paid slowly over 5, 10 or 20yrs etc. Or use all/part of your dividends to close that loan! A genuine question, that is the only part I'm struggling to understand 🙂

  20. From what I've read the gender pay gap is a myth, one reason it exists is because of the same reason that women have less super than men. Women also don't do the same jobs as men, and it's not because they're not allowed to.

  21. From what I've read the gender pay gap is a myth, one reason it exists is because of the same reason that women have less super than men. Women also don't do the same jobs as men, and it's not because they're not allowed to.

  22. From what I've read the gender pay gap is a myth, one reason it exists is because of the same reason that women have less super than men. Women also don't do the same jobs as men, and it's not because they're not allowed to.

  23. Hi Canna, I've come back to this video for another look. Just wondering where the 7.5% interest number comes from? X

  24. Hi Cana , which is a good loan for investment? Margin loan or property equity line of credit? Is intrest on the margin loan tax deductible? Can you please do a video on this? Thanks

  25. Thanks Canna, another great video. I would love to know more about your donation strategy. When giving a reasonably significant amount do you do it as a lump sum or spread it across multiple charities?

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