Jose came to New Zealand from Colombia 4 years ago to study a master of engineering at the University of Auckland. We spoke to him about his investing journey, philosophy, and what advice he gives his friends.
How often do you think about money per week?
Everyday. Ha! But seriously, while I feel pretty confident with money, there’s still so much more I want to learn. When I studied my degree, I didn’t learn anything about finances or wealth management, so I got really curious about it, and I took the time to read everything I could, from articles in newspapers to every book I can get my hands on. But I also spoke to a good friend of mine who I knew was into investing. I called him up and was like, tell me everything! Since then I’ve read a bunch of books on and by big investors like Soros and Buffett. Then I started learning more about Forex and individual shares. It’s been an educational journey. Maybe it doesn’t seem like much, but I’m studying every day, and I’m confident I can make the right choices when I use Hatch because of this foundation of knowledge.
What’s your go-to website for investing information?
In my opinion, the best website is Investopedia. There’s just so much great information, and I’ve learned a lot about investing strategies there. For me, value-based investing is what I’m into, but that takes a lot of time to research. I work full-time, but I try to dedicate at least 4 hours every day to learning. It’s hectic but worth it.
Why did you start using Hatch?
As soon as I became a New Zealand resident, I decided to open my first broker account... with Hatch!
I had checked out ANZ and ASB but they only had NZ securities and the cost to buy and sell was so high. After a bit of research, I came across Hatch and it was so colourful that I was immediately drawn to it. The clincher was going to Auckland University’s Investor’s Club seminar on investing, and the guy hosting it (I can’t remember his name!) said that Hatch was easy to use and the interface was amazing.
Do you have any other investments?
I have some properties back in Colombia that I share with my family, but that’s it.
What’s your investing philosophy?
I work 40 hours per week, so when I get paid, I have to pay my bills first. I try to save as much as I can. Basically, I try to save 40% of my income – some of this goes into short term savings, but the rest I put into Hatch. I definitely have a long term investment view. For instance, last week I just bought Goldman Sachs (GS), and I plan to hold onto this for many years. I like to look back at its history and analyse where the stock is going.
I don’t currently invest in exchange-traded funds. I love the whole experience of jumping into a company’s website, investigating, reading the news, researching which companies look good. I feel passionate about doing the research on what companies I want to invest in. Oh, and I love the Hatch Investors’ Club group on Facebook.
What kind of financial advice do you give your friends?
I can’t believe how many have a short term view. There’s so much more that people can be doing today, but I don’t judge them. My friends come to me to ask for advice, and because I know how hard it is to start out, I always take the time to respond. I tell them that the small habits you make are the ones that make the most difference at the end of the day. Changing a single bad habit can be very powerful.
Don’t overspend. It sounds basic, but it’s all about thinking about the long term. I’m a simple person, so I’m not interested in wearing Gucci. I’m happy with my stuff, and I’m satisfied with my life. So, I tell my friends to think about the future and where they want to be in the long term.
And if you were to share a tip with Hatch investors?
Act like you're broke. Then save and invest as much as possible.