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Don’t have the Raiz App? Download here<\/a><\/span><\/em><\/strong><\/p>\n <\/p>\n Australia is in the big league. According to the Bank of International Settlements (BIS) and the International Monetary Fund (IMF), we have the second highest household debt to GDP ratio out of 43 countries, with Switzerland getting the chocolates.<\/p>\n But while household debt has been rising, we should not think this is a new phenomenon \u2013 Australians have typically not been savers.<\/p>\n We\u2019re not alone in this. Indeed, if a study by researchers at Cornell University is on the money, it\u2019s an American trait, too. This piece of research contends that Americans are far more attuned to seeing opportunities to making money than saving it. It seems our \u201cgrey matter\u201d is very creative when it comes to making a buck, but not nearly so good at seizing opportunities to save a dollar.<\/p>\n What the study did was measure our attention to earning or saving money. According to a Wall Street Journal<\/em> article, participants had to identify colours shown quickly on a computer: one \u201cearning\u201d colour that let them gain 30 cents, a neutral colour that had no monetary e\ufb00ect and one \u201csaving\u201d colour that let them avoid losing 30 cents.<\/p>\n When the \u201cearning\u201d colour was shown, a staggering 87.5% of participants identi\ufb01ed it more quickly and accurately than when the \u201csaving\u201d colour was shown. Even in trials that framed \u201csaving\u201d as earnings that would come slightly later, participants were still better at immediate earning.<\/p>\n In the study\u2019s second part, participants had to identify which colour appeared \ufb01rst. Three out of four said they saw the \u201cearning\u201d colour appear \ufb01rst\u2014when in fact, the \u201csaving\u201d colour did. This suggests our \u201cearning\u201d bias may even be strong enough to warp our perception of time.<\/p>\n \u201cIt\u2019s such a powerful bias that it literally distorts the lens with which you see things. It\u2019s not like people don\u2019t care about savings,\u201d says Adam Anderson, an associate professor and co-director of Cornell\u2019s A\ufb00ect and Cognition Lab, who co-wrote the study and is quoted by the Wall Street Journal<\/em>. \u201cWe\u2019re kind of blind when those opportunities are presented.\u201d<\/p>\n Australians, I would argue, are like Americans. We are good at earning money, but not so good when it comes to saving it. Perhaps a key reason is the fact we spend much of our lives making our \u201chard earned money\u201d, and so little our lives considering, or working on how we can hold on to it and save it.<\/p>\n We need to spend more time training ourselves to save money.<\/p>\n At Raiz Invest, we would like to think we are playing a small \u2013 but significant \u2013 role in changing this thinking about savings<\/a>. Our App, which now has more than 235,000 active users, many of whom fall into the millennial demographic, is an easy and price-competitive way to automatically save and invest. For more information on Raiz fees, click here<\/span>.<\/a><\/p>\n In the process we are teaching Australians, especially young Australians, about saving, making it a daily part of life, just like working to earn it. In the end we are hopefully empowering them to have a far greater sense of control over their financial affairs, of which saving is such a big part.<\/p>\n It won\u2019t happen overnight. But it does need to happen, and with governments and regulators still only paying lip service to financial literacy education in the schools, we hope the Raiz Invest App<\/a> will be part of the solution to help Australian earn more, while saving.<\/p>\n <\/p>\n <\/p>\n Download it for free in the App store or the Webapp below:<\/p>\n <\/figure>\n Important Information<\/strong><\/span><\/em><\/p>\n The information on this website is general advice only. This means it does not take into account any person\u2019s particular investment objectives, financial situation or investment needs. If you are an investor, you should consult your licensed adviser before acting on any information contained in this article to fully understand the benefits and risk associated with the product.<\/em><\/p>\n A Product Disclosure Statement for Raiz Invest and\/or Raiz Invest Super are available on the Raiz Invest website and App. A person must read and consider the Product Disclosure Statement in deciding whether, or not, to acquire and continue to hold interests in the product. The risks of investing in this product are fully set out in the Product Disclosure Statement and include the risks that would ordinarily apply to investing.<\/em><\/p>\n The information may be based on assumptions or market conditions which change without notice. This could impact the accuracy of the information.<\/em><\/p>\n Under no circumstances is the information to be used by, or presented to, a person for the purposes of deciding about investing in Raiz Invest or Raiz Invest Super.<\/em><\/p>\n Past return performance of the Raiz products should not be relied on for making a decision to invest in a Raiz product and is not a good predictor of future performance.<\/em><\/p>\n Past return performance of the Raiz product should not be relied on for deciding to invest in Raiz and is not a good predictor of future performance.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":" Don’t have the Raiz App? Download here Australia is in the big league. According to the Bank of International Settlements (BIS) and the International Monetary Fund (IMF), we have the second highest household debt to GDP ratio out of 43 countries, with Switzerland getting the chocolates. But while household debt has been rising, we […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mi_skip_tracking":false},"categories":[1],"tags":[],"yst_prominent_words":[98,894,1993,1991,895,224,3261,1994,1992,97,82,117,166,125,239,3260,392,893,898,892]}
\nDon\u2019t have the Raiz App?<\/strong><\/h3>\n
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