The Kelly+Partners Post - Issue 4 - April 2024
In this edition, Kelly+Partners' CEO and Founder, Brett Kelly, chats to basketball legend, Shaquille O'Neal, about how his family upbringing, personal values and commitment to teamwork have helped build a business empire valued at US$400million. Plus, get tips on managing financial stress and take a look at life lessons learnt from The Late Charlie Munger and former Hoyts CEO, Peter Ivany.
ISSUE 4
APRIL 2024
THE
HEALTHY
TIPS TO MANAGE
FINANCIAL STRESS
PAGE 5
WEALTHY
CHARLIE MUNGER’S
3 LIFE LESSONS
PAGE 9
WISE
‘GOT THE ITCHES
FOR A SACK OF RICHES?’
PAGE 14
POST
‘YOU CAN HAVE ALL THE MONEY
IN THE WORLD, BUT IF YOU DON’T
HAVE AN EDUCATION, YOU CAN’T
MAKE IT GROW.’
DR. SHAQUILLE O’NEAL
CONTENTS
Created by
BRETT KELLY
Edited by
ELLA MARTIN
Creative Directors
BRETT KELLY AND GARY CHESTNEY
Feature Writers
BRETT KELLY, JOSH THOMAS
KUN SINGH AND GARY CHESTNEY
Contributing Articles
JOHN BEVANS, MARCUS HAMILL
AND TRENT DOUGHTY
Art Director
GARY CHESTNEY
Graphic Design
LIZ PARICKA
Brand and Content Directors
BRETT KELLY, KUN SINGH
AND GARY CHESTNEY
Images
ADOBE STOCK IMAGE LIBRARY
CONNECT
WITH US
HOW WE
CAN HELP?
ISSUE 4 | APRIL 2024
KELLY+PARTNERS
WISE
WEALTHY
HEALTHY
3
Introduction
5
Financial Stress
6
Meditation
9
Charlie Munger
10
Wealth Strategies
13
Life Lessons
14
Shaq x Be Better Of Show
19
Kick-of Karnival
20
New Partners
21.
US Expansion
22
Locations
23
Community
26
Careers
Page 3
HEALTHY, WEALTHY AND WISE
ISSUE 4
Healthy, wealthy and wise is the format of our newspaper. It makes
sense to us at Kelly+Partners because we believe as a business that
helping people sort out their financial situation gives them time, peace
of mind and capacity to focus on the important things in life.
Brett Kelly
Founder and CEO,
Kelly+Partners Accountants
ISSUE 4
HEALTHY
Page 4
ISSUE 4
Page 5
5 PRACTICAL TIPS TO
MANAGE FINANCIAL
STRESS IN 2024
Many business owners are currently
experiencing the challenges of navigating
through tight financial waters. This period
can often present significant cash flow
hurdles for business owners alike.
A Treasury report in 2022 suggested
that Australian small and medium-sized
business owners are grappling with
deteriorating mental health and well-
being stemming from financial strains
within their businesses, particularly
pertaining to cash flow management
apprehensions.
Here are 5 practical tips on how business
owners can manage their financial stress
more efectively.
1. MONITOR YOUR WORKING
CAPITAL
Working capital is vital for businesses,
especially those reliant on debt and
hefty fixed expenses. Borrowed funds
may have been allocated for purchasing
equipment, leading to regular repayments
or lease obligations. In times of cash flow
constraints from customers, this can pose
challenges.
2. ASSESS YOUR BUSINESS
LANDSCAPE
Review your business environment on
a quarterly basis. This entails assessing
market dynamics, ensuring accurate
pricing, monitoring KPIs, and determining
an appropriate wages-to-revenue ratio.
Questions to consider include whether
wage increases align with sales price
adjustments and staying informed about
competitors’ strategies. Promptly address
profit impacts from supplier price hikes.
Evaluate profitability of products or
services and be willing to discontinue
unprofitable ones. Prioritise time and efort
based on financial value.
3. HANDLE DELAYED PAYMENTS
Some customers may delay bill payments,
so ofering various payment options
can help manage irregular payments.
Clearly communicate trade terms,
emphasising upfront payments to cover
staf and material costs. Minimise covering
staf wages before receiving customer
payments.
4. SET ASIDE FUNDS FOR TAXES
Insufcient funds for GST payments at
the end of a cycle can pose significant
challenges. Regular tax payments
are preferable to accumulating
insurmountable amounts. While having a
financial bufer is ideal, many SME owners
live paycheck to paycheck.
5. SEEK ASSISTANCE
Various factors can lead a previously
financially stable company into
significant cash flow challenges. While
online accounting services like Xero
are useful tools that can help, they are
not comprehensive solutions; accurate
data input is crucial. Remember to
ensure company accounts are properly
maintained for an up-to-date financial
picture. Business owners often lack
sufcient capital and may rely heavily on
cash flow for growth or seek investors for
scaling up. If facing insolvency, seeking
advice from an accountant and possibly a
commercial lawyer can be worth the fees.
Original Article by Gill South:
https://blog.myhr.works/en-au/5-
practical-tips-to-reduce-financial-stress-
in-2024
Imagine if your email didn’t have a spam filter and, for every relevant
message, you had to sift through hundreds of messages related to Nigerian
money scams, Viagra and offers from Chinese printing companies.
Meditating helps filter out the internal and external ‘noise’ and negative self-
talk, providing us with the clarity of present-moment awareness. As we learn
to quieten the ‘monkey mind’, we quickly become less stressed, more creative,
more productive and more adaptable to the demands of life, making
meditation a proven competitive advantage in business and in life.
TIME TO TURN ON YOUR
MENTAL SPAM FILTER
ISSUE 4
Page 6
1.
THERE’S NO NEED TO
SWAP THE SUIT AND
TIE FOR ROBES
Meditation can be done anywhere – in an
office chair, on the bus, in your car (while
a passenger or parked of course) on a
lounge, sitting up in a bed. There’s no need
to tie yourself in knots like a pretzel. Just sit
comfortably with
your back supported.
2.
WHAT TO THINK
ABOUT THINKING
One of the most common misnomers about
meditation is that the mind needs to be
silent. The fact is thoughts will come for even
the most experienced meditator. Instead
of fighting thoughts, just observe them and
bring yourself back to your breath. The more
you practice this, the easier it gets and the
sooner you discover that the key to silencing
the mind is being completely indifferent to all
of your thoughts.
3.
IT’S AS SIMPLE AS
BREATHING
Close your eyes and take a few deep
conscious breaths. Now allow your breath
to fall into its own natural rhythm. Keep your
gentle awareness on the breath, noticing the
way your stomach expands and contracts
and the way your breath feels as it goes in
and out of your nostrils. Thoughts will pop
up and that’s completely OK. If thoughts
come, just smile inside and gently bring your
awareness back to the breath.
4.
IT’S NOT A STILLNESS
COMPETITION
If you need to scratch an itch or shift to get
comfy, you can. There’s no right or wrong
way to do it, so just sit comfortably and relax.
5.
DON’T TRY TO
MEDITATE
Meditation might be the only time in life
where not striving hard for a goal is actually
beneficial. When we meditate we’re not
trying to achieve anything or get anywhere.
The process is the goal. We’re not interested
in trying to control the mind or stop the flow
of thoughts.
6.
START SHORT
To start with, practice this simple meditation
technique every morning for five minutes.
As you become more comfortable you can
slowly increase the time to 10/15 minutes.
7.
GO FOR QUANTITY
OVER QUALITY
No, that isn't a typo. When it comes to
meditation, the saying ‘quality over quantity’
doesn’t apply. Instead, you should practice
being completely unconcerned about the
quality of your meditations and instead strive
for quantity. In other words, be as consistent
as possible. The quality of your life will
improve the more you sit.
8.
PUT IT ON YOUR
‘NOT TO DO LIST’
For many people the thought of adding
another thing to the ‘to do list’ is
unfathomable. Rather than thinking of
meditation as another thing we have to do,
try reframing it as 10 minutes to ourselves
with absolutely nothing to do.
9.
WE’RE NOT
PRACTICING TO GET
GOOD AT MEDITATING
We don’t meditate for the experience that
we have during the meditation. We meditate
because it enriches our life in every way.
10.
MEDITATION IS
NOT MEDITATION
There is a myriad of different meditation
techniques out there, with differing degrees
of difficulty and results. If you want to go
deeper with your practice, it’s good to find a
technique and teacher that suits you.
Marcus Hamill is a filmmaker,
writer and meditation teacher.
For more info visit
www.mh-meditation.com
10 SIMPLE MEDITATION TIPS
TO GET YOU STARTED
ISSUE 4
Page 7
ISSUE 4
WEALTHY
Page 8
On November 28, 2023, the investing world
mourned the loss of Charlie Munger, the
esteemed vice chairman of Berkshire
Hathaway and longstanding collaborator
of Warren Bufett. Munger, a luminary in
the realm of investing for decades, was
celebrated for his sharp wit, profound
insights, and enduring wisdom.
In light of his legacy, here are three
enduring lessons drawn from the illustrious
Charlie Munger, applicable not only to
enhancing one’s investing prowess but also
to enriching life in general.
1. EMBRACE CONTINUOUS
LEARNING
Munger championed the ethos of
perpetual learning. He believed in the
imperative for individuals striving for
success in any field, be it investing or
otherwise, to go to bed each night a little
wiser than they had awakened. Central to
this philosophy was the habit of reading:
‘In my lifetime, I have encountered no wise
individuals (across a broad spectrum of
subjects) who weren’t voracious readers
– none, zero. You’d be astounded by the
amount Warren reads – and by how much
I read. My children jest at me; they regard
me as a book with a pair of legs sticking
out.’
For those seeking to enhance their
investing acumen, consistent reading
remains paramount. This may entail
perusing Securities and Exchange
Commission (SEC) filings of companies
of interest, delving into historical business
literature, or immersing oneself in the
works of investing luminaries like Benjamin
Graham’s ‘The Intelligent Investor’ (a
personal favourite of Bufett’s). While the
journey of mastering investing, finance,
and business may appear daunting
initially, by adopting Munger’s methodical
approach and maintaining consistency,
one can gradually amass substantial
knowledge.
2. RECOGNISE YOUR CIRCLE OF
COMPETENCE
Another invaluable lesson from Munger
applicable to all investors is the principle of
staying within one’s circle of competence
– in other words, understanding one’s
limitations.
Remaining within this circle entails
identifying stocks, businesses, and
industries beyond one’s expertise and
refraining from venturing into them with
investments. A pertinent example, often
relevant to many investors, is the realm
of biotechnology and pharmaceuticals,
characterised by its scientific complexity
and necessitating specialised knowledge
for informed investment decisions.
A cursory glance at Munger and Bufett’s
investment portfolios over the years reveals
a consistent pattern: a focus on sectors
within their sphere of deep understanding,
such as consumer products, financials/
banks, and energy. With steadfast
adherence to this principle, the duo seldom
strayed beyond their areas of expertise.
Beyond investing, this principle holds
relevance in choosing a profession. While
one may lack musical aptitude, they may
excel in a trade like electrical work. Munger
advocates for aligning one’s profession
with their areas of expertise to thrive, as he
did with professional investing.
3. CULTIVATE PATIENCE
Munger often lamented the pervasive
impatience among investors. Many
succumb to the temptation of hasty
buying and selling or seek rapid wealth
accumulation. He advocated for patience
in investing, emphasising the importance
of betting on long-term outcomes:
‘It takes fortitude
to hold onto cash
and refrain from
action. I didn’t reach
where I am by
pursuing mediocre
opportunities.’
Munger underscores the difculty in
exercising patience as an investor, yet
he champions it as the most efective
means to wealth accumulation. Investors
subscribing to Munger’s philosophy exhibit
patience, awaiting opportune moments
to make substantial investments over time,
perhaps only once per year. This approach
avoids over-diversification, ensuring
focused investments rather than scattering
funds across numerous ventures.
This principle extends to the realm of
compound interest, where gradual wealth
accumulation often yields substantial
returns over time. As Bufett famously
stated, ‘Nobody wants to get rich slowly,’
yet it remains one of the surest paths to
wealth. Munger’s wealth accumulation
was a testament to his extraordinary
patience.
This principle of patience transcends
investing, permeating various aspects of
life, from skill acquisition in one’s profession
to nurturing relationships with loved ones.
Munger contends that embracing patience
allows the compounding efect – whether
numerical or metaphorical – to work its
magic over time, fostering a fulfilling life for
oneself and those around them.
ISSUE 4
CHARLIE MUNGER
3 LIFE LESSONS
Inspired from: https://www.nasdaq.com/articles/3-investing-and-life-lessons-from-the-late-great-charlie-munger
Page 9
ISSUE 4
MODERN WEALTH
MANAGEMENT
STRATEGIES
In an ever-evolving financial landscape,
the art of wealth management has
become increasingly intricate. At
Kelly+Partners Private Wealth, we believe
it is imperative to navigate through
complexities while adhering to core
principles that drive consistent returns
and safeguard capital for our clients.
The below explores the principles of
wealth management, outlines portfolio
construction strategies, and explains the
core and satellite investment approach as
a viable strategy for Optimising investment
portfolios.
Wealth management goes beyond just
investment management. It encompasses
a comprehensive approach towards
preserving, growing, and transferring
wealth across generations. Kelly+Partners
Private Wealth tailored investment
management solutions designed for
wholesale clients, encompassing:
•
Personalised investment strategy and
asset allocation advice
•
High-touch service with regular
portfolio reviews
•
Portfolio administration and reporting
•
Collaboration with professionals such
as accountants and estate planners
•
Comprehensive risk management
assessments, including personal
insurance
Our primary focus is assisting clients in
achieving their desired outcomes with the
highest likelihood of success and minimal
risk.
Kelly+Partners Private Wealth ofers clients
four core oferings:
Page 10
Investment Management
+ Investment Strategy and
Portfolio construction
+ Portfolio Administration and
Management
+ General Advice
+ Wholesale and Sophisticated
Clients Only
KP Alternative Investments
+ Access to diferentiated
investment opportunities
+ Income and Growth focused
+ Portfolio diversification
+ Wholesale and Sophisticated
Clients Only
Personal Insurance
+ Life, TPD, Income Protection
and Truma
Foreign Exchange
+ 20 currencies, no fees or
comissions
KP Direct Invest
+ Self-directed, no advise
investment portal
+ 5 portfolio Options
+ Digital enabled, cost efective
+ Available to all clients
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