My Finance Times

What’s your rupee story?

2013-06-17T07:52:00.002-07:00

Sliding the slide or resting at the hill top?

What’s your rupee story?

The touchdown began at 57, dribbled its way till 58 and then just fell short of a 59 basket!

The sudden and quick depreciation of rupee that began a few days back has jolted the markets once again. But is the scenario as bad as it is being made out to be? Phenomenons of the financial world have never had only one implicit and inherent impact. They are blessed with the coin quality of being two faced, but are also cursed with the rainy-side-up always being highlighted.

So, which area do you lie in? Black, white or the modest grey? Let us understand.

Companies

Export oriented sectors and net dollar earners like the hospitality sector are amongst the ones that are benefitting. Thus, IT sector will benefit being export dependant. However firms like TCS and Infosys haven’t taken benefit of the situation as they have passed on the benefit to consumers by lowering prices. Pharmaceuticals will remain stable because of their product characteristics.

For the import sector, the impact will be mixed. Chemical, fertilizer, paper, metal processing will suffer.FMCG companies will be marginally affected and mostly will be able to pass this affect on to the consumers. However, the diesel and petrol recovery will become difficult in the face of a falling rupee. The pain of those firms who have huge amounts of foreign debt depends upon the undertaken hedging. For E.g. IDFC with full hedging will not be affected but most of the infrastructure firms without any on the book hedging are likely to suffer losses. Also, telecom companies like Bharti Airtel, Reliance Communications and Idea Cellular have been hit the most. The countries looking to raise funds overseas will benefit because the offshore loan and bond markets are highly liquid now.

Investors

The investors need to be choosy in the current season. IT and Pharmaceuticals are the safest bet. For the IT sector it maybe short term because the resultant increase in demand will either make them pass their rupee benefit to consumers by reducing their prices or will lose demand. Also, although the rupee is depreciating in terms of dollars, but is still very high as compared to currencies like Brazil Real, South African Rand, etc and thus, competition from those countries may start increasing.

Investors in foreign mutual funds would have gained in the current scenario after the conversion of the funds from dollar terms to Indian Rupees. However the funds that were invested by these foreign firms in Indian markets because of tax benefits will not lead to gains for investors.

Common man

The consumers shall stand on slippery ground because of increase in prices in the wake of costly imports, which will lead to rise in prices. Cars, home appliances, consumer electronics, mobile handsets are most likely to become expensive. Rupee depreciation increases the value of NRI remittances, thus encouraging them to increase such remittances.

Government

The current account deficit of the country may increase to the extent the Government absorbs the increasing prices of fuel imports. The inflation will also go up because of increasing cost of imports and rising fuel prices (because of rupee depreciation), making it difficult for RBI and Government to take a stand.

The Finance Ministry has shown confidence that the markets will improve in the weeks to come and that this was only a short term phenomenon. The Ministry believes that the main cause fuelling the depreciation was the misinterpretation of Ben Bernanke’s statement regarding quantitative easing and the resultant panic amongst the countries with current account deficit. There are signs that the markets will recover as the importers are being stingy regarding purchases, reserving the purchases to only the most immediate ones. NRI remittances have also gotten the clue and have significantly increased to gain from the fall. The Government and RBI are reducing gold imports and on the other hand are increasing dollar flow into the country through NRI bonds.

Thus, we can see that a financial phenomenon always comes with a grey area. The situation must always be carefully analysed in every respect to increase gains and mitigate risks to be able to benefit from the situation.

Personal Finance

2013-05-27T08:19:00.002-07:00

Not all of us are intrigued by the immense beauty of the financial world, given to the numerical and quantitative hurdles and we try our best to avoid it. But, as I have always stressed that Finance is woven into our lives and none of us can escape it, so that part of Finance is what we will deal with now, namely Personal Finance.

Finance can be defined in numerous ways but the most basic definition that sums up its working is the management of one’s assets and liabilities in the most profitable manner. This can be for a government, a corporation or merely an individual. We may realize it or not but we are the financial managers of our own lives. And if this scares you, then My Finance Times is here to guide you.

For some of us this financial management starts even before we become legally adults in the way of effectively managing our pocket money. But, as we start earning, maybe through our internships or jobs, this financial management becomes tougher and continues even after retirement.

So, in order to effectively manage your funds, there are many considerations for you to beckon upon:

Your age: You can be a student, an intern, a new recruit or the manager of a company. It is very important for you to consider your age in managing your funds as every age comes with its own set of requirements.
Position Statement : Assess your assets and liabilities and put them together to find out your net worth using the simple formula : Assets-Liabilities= Net Worth
Income Statement: This will consist of your incomes and expenses. Try to be as accurate as you can. Also keep in mind the variability of your income, whether it is stable or not.
Cash flow statement: This involves all the sources of cash and flow of cash to calculate cash in hand.
Future Contingencies: If you are a parent and you are contemplating a hike in school fee, you need to focus more on the cash in hand with you. On the other hand, if you are nearing retirement, probably you would want to increase your net worth before retiring.
Dependents: Whether you are earning for yourself or your family members are dependent on you is vital in deciding your financial goals.
Country: Your resident country is also a deciding factor. Every country has different governmental policies and framework, also the infrastructure, economic condition, inflation or deflation has to be taken into account.
Degree of required protection: Opting for a life insurance, car insurance, medical insurance, marine and fire insurance at the appropriate time in your life.
Tax Obligations: If you have a house, you have a house tax to pay, if you don’t you do not. So, not everyone will be subject to the same category of taxes and obviously not the same amount. Be sure to account for both direct as well as indirect taxes.
Time Value of Money: The last, but the most important is the time value of money. Always remember the value of money you hold now will always be greater today than tomorrow. This is a golden rule for every sort of financial planning

These factors will help you to decide:

The risk-benefit trade off that you are ready to absorb
Your Financial goals
The pathway between your current position and your goal
Help you make investment choices

According to your current position and your financial goals, you need to set up a plan. Such a process is known as financial planning.

Everyone can have different requirements based on the considerations mentioned above. Someone may need a higher cash in hand or someone may want a higher net worth. Accordingly, you can make your projected cash flow statement or position statement and then make a plan to achieve the projections.
The risk-benefit trade off will help you to decide on various investment options. Whether you want to go for Mutual funds, debt, equity, gold, real estate or simply a fixed deposit account.
Even simpler day to day measures like going for a cheaper substitute of your favourite grocery items, spending less on holidays must be incorporated. An Income-leisure trade off will help you to decide on such cuts in expenses and expenditure.
A careful analysis of the numerous insurance schemes and the selection of the most appropriate one is important. Insurance will cover unexpected future contingencies but at the same time, the payment of premiums will reduce the cash in hand. Thus, the trade off must be carefully selected.
Financial planning is a continuous process. So always keep in touch with the latest news of the finance world to make changes in your plan accordingly to mitigate losses.

Personal Finance is logic with oodles of common sense, however if not applied properly can run into tons of quantitative computations. So, if you want to avoid it, start planning now.

| Simran Ahluwalia |

Smoking is Injurious to "Wealth" Say Life Insurers

2013-04-24T21:52:00.002-07:00

This is a guest post written by Surabhee Gupta.

Well, you would have heard the age old adage of smoking being injurious to health which is definitely a fact but the habit can also make you lose money not only by making you spend money on cigarettes but also by spending more towards medical expenses.

You might be at ease thinking that you can always buy health insurance to pay for your medical bills just in case there is a need. But the fact of the matter is, given the risk factors associated with smoking, insurance companies charge higher premiums compared to those who don’t smoke. So if you happen to be a smoker and you want to buy an insurance cover, be prepared to out a significantly higher premium.

Why is Insurance Premium Costly for Smokers?

It definitely isn’t rocket science to figure out why insurance companies would charge you more if you are a smoker. Life insurance companies segregate policy holders into different categories or risk profiles based on a variety of factors such as age, overall health and lifestyle. The risk profiles may vary from a "preferred category" to "average" and eventually a "nonpreferred" risk category based on the factors mentioned above.

Based on your pre-purchase review, the insurance provider will accordingly allot you a specific risk profile based on which your premium would be decided. And when it comes to smokers, no matter how many cigarettes you smoke, you are more likely to be profiled in the high-risk category which would automatically lead to higher premiums.

For instance, take a look at the "sample" premium rates for smokers versus nonsmokers across an age group of 30 to 45 years for a pure term insurance plan. The difference in premium varies from 13% to over 20% which is significant considering the fact that the rates mentioned below are for term insurance plans which happens to be the cheapest insurance plans.

If You Are a Smoker – Be Forthright About It

Now if you happen to be a smoker, you might be toying with the idea of hiding the fact when you purchase insurance. Great idea, but don’t even think of trying it unless you want your policy request to be rejected. And even if you end up buying a policy, you would keep paying for insurance that has a high likelihood of running into claims related issues where the insurance company is entitled to reject your claim. So to put it in simpler terms, it is always advisable to be forthright and disclose about your smoking habits to avoid problems in the future with respect to claims processing.

What Happens If You Start Smoking After You Have Purchased Insurance?

Now this can be a tricky one but if experts are to be believed, if you start smoking after you had purchased a policy, you don’t need to necessarily disclose the same to the insurance provider. However, if you die due to a smoking related ailment, then the insurance company could take objection during claim settlement.

So what’s the Best Thing to Do to Avoid Any Sort of Confusion?

Well, the best thing to do obviously is to stop smoking altogether. Insurance providers during the application process ask people to disclose if they smoke or have used any other tobacco product in the last 12 months. If you have indeed used a tobacco product during the specified timeframe, go ahead and declare it. And if you have been a nonsmoker or have abstained from smoking for a really long time, then claims getting rejected due to smoking related ailments should be the least of your worries.

Qualities of an Ideal Financial News Channel

2013-04-12T04:53:00.005-07:00

When seeking a great source for your financial updates there are a variety of different outlets. Reliable financial news is hard to find as most local news resources are more biased or add in the entertainment news as filler that most people are not interested in. Another issue when looking for the perfect news outlet is that there is not enough international news on American television.

Your search for informative news broadcasts is of interest to all cable providers. Theirs is a competitive industry as they sort out their channel line up to persuade the public to subscribe. Cable TV deals and bundles are definitely the pattern today. Specials in the form of promotional offerings bombard you, the customer, in all media.

At one time in the not too distant past, the radio and television networks provided news reports that were for the most part non-partisan and non-biased. Today, however, you cannot find a truly unbiased news broadcast televised on any cable network. All too often, you must browse around to view news broadcasts from each network (and perhaps BBC America as well). Afterward, you then evaluate what you learned in your browsing and determine the probable truth summary of what the news announced. As far as international news American news channels don’t offer equal parts of international and local news.

In a way it’s called thinking for yourself but facts seem to be subjective these days.

The ideal financial news channel would be one unaffiliated with political agendas. A news channel should announce the news, not interpret it. Too often you must hear first the announcement of the event, and then the news journalist's opinion of what the event means. We have become a nation talked down to even in televised news broadcasts. This is not the American custom in news gathering, and it was once a definite dereliction of purpose and journalism if the news person was paid to give the news with a partisan slant or was proactive regarding a particular agenda.

Each cable provider now has the opportunity to change this unfortunate evolution of news broadcasting to news interpretations. The bastion of free press used to be in the safety net of multiple networks, but times have changed and public networks belong to their own partisan groups of advertisers and contributors. Your cable industry can bring the newscaster back into the fold of your heroes of yesteryear. The newscaster's word on the air was definite, a contract with you that the news broadcast was correct, concise, and you did not need to have it now "explained" to you.

Your news, whether global, national or local, should be accessible at little or no cost. Cable TV deals could provide this, especially if the providers would contract as a group to do so. CSPAN is one example of this working well. Your news should be a report that is your right to see or hear, and then to behave according to your personal beliefs and persuasions. You have your intact powers of deduction. You are sold everything from soap to fantasy on today's media, but your news reports should not be something available to the highest bidder.

The truth in broadcasting benchmark should be returned to the American news viewer. Your cable providers are able to affect this, if they should so decide.

Optimism remains high as Jordan tackles its economic difficulties

2013-04-12T04:53:00.000-07:00

It always seems to be a case of good news and bad news as far as Jordan is concerned. Yes, times are indeed tough with civil war raging just across its border with Syria. How the war eventually impacts Jordan's economy in the medium to long-term is a question which at the moment can only but remain unanswered.

Short-term, and with Syrian refugee numbers climbing above 250,000, international aid has been vital in helping provide some – but not all – of the costs of shelter, food and medical care for those fleeing the civil war. How long the Jordanian government can go on meeting the increasing aid balance is yet another unanswered question.

Yet optimism remains high both within government circles and among members of a dispirit business community always ready to explore new markets or pursue any potentially profitable venture or corporate opportunity. A strong and resilient banking sector continues to provide vital support along with useful products and services such as the business credit card, corporate account and payments and cash management services so necessary nowadays for commercial success.

But all of that aside, Jordan industry and trade minister Shabib Ammari is one who retains a positive outlook despite the problems afflicting the country. He told the Reuters news agency recently that while he expected foreign direct investment to shrink slightly this year, he could see figures for next year growing to between $2bn and 3bn.

Part of that inward investment will come from funds released by the IMF as part of a $2 billion loan deal – a Stand-By Arrangement (SBA) as the IMF call it – which was approved in August, last year. A second tranche of the SBA, worth around $384 million, has just been released following a mainly-positive review of Jordan's economic performance to date.

The hope is the IMF loan will support economic reforms aimed at maintaining macroeconomic stability and improving the fiscal and external positions, while protecting the vulnerable segments of the population and fostering stronger and more inclusive growth.

Following discussions on Jordan by the IMF Executive Board, Ms.Nemat Shafik, Deputy Managing Director and Acting Chair, said, “The authorities have managed a difficult environment by taking appropriate policy actions under their Fund-supported economic program. Their efforts have mitigated the adverse impact of regional political instability, higher energy import prices, and a large influx of refugees from Syria.”

The removal of fuel subsidies last year accompanied by a cash transfer to compensate lower and middle income groups was, she said, an important step toward a stronger fiscal position and improved social equity. This, together with other revenue and expenditure measures, had paved the way for higher capital spending in the current budget. Looking ahead, it remained important to further improve tax administration and the public financial management.

Ms.Shafik said the central bank had managed pressures on reserves well by raising interest rates and maintaining the attractiveness of dinar-denominated assets. Its focus on further building foreign exchange reserves and containing inflation remains warranted.

She added, “The planned increase in public investment will support growth. Additional reforms to boost competitiveness and reduce unemployment remain nonetheless essential. Recent measures to improve access to finance for small and medium enterprises, strengthen banking supervision, develop capital markets, and promote youth employment are welcome steps in the right direction.”

The full IMF statement can be seen here .

Tips for getting a car loan

2013-03-09T04:42:00.001-08:00

Buying a car often involves a lot of money. However, there are a handful of those who can afford to pay such huge sums to bring home their chosen sedan. If you too have been eying a car but don’t have the funds to buy it, consider getting a car loan for the purpose. However, to ensure that you choose the right one, here are some tips to remember:

· Check and compare finance schemes: Different banks and financial institutions offer different finance schemes with varying interest rates and discounts. You may even find some car dealers, who have tied up with financial institutions or banks to offer you such loans. With so many schemes to take your pick from, it becomes important for you to check and compare a few shortlisted ones to make a wise decision.

· Evaluate loan features: You should assess factors like interest rates, loan term, reputation of the lender etc to ensure that you get a good deal.

· Go for a higher down payment: If you can make a larger down payment, you will end up paying less on account of interest rates. In case you don’t have the money to pay such a huge sum, you may consider taking a small personal loan to use the money for your car’s down payment.

· Be careful to take note of the fine print: Read the fine print of your loan document carefully to ensure that no additional fees are charged, which you might be unaware of. There are many instances where people don’t look into the fine print related to establishment fees, early repayment fees, annual fees or additional charges for defaulting on a payment. So, read carefully to avoid problems in the future.

· Get car insurance: You can get insurance for your car, thus reducing your risk greatly, especially if some unfortunate incident were to befall you. In such cases, the insurance will effectively lessen the trouble, which might have otherwise been a big burden on your family. Some lenders may even insist on getting disability insurance or life insurance to ensure that the applicant’s family is able to repay the money should something untoward happen to the main applicant.

So, follow these tips as mentioned above and you will find that lack of funds no longer hold you from laying your hands on those coveted car keys. After all, it’s a delight to drive your own car!

Summary: If you are thinking about getting a car loan, read about some tips which can help you make an informed choice. Remember – lack of cash in hand doesn’t mean that you can’t buy your sedan since different banks and financial institutions offer loans for the purpose.

How can I be wise in selecting the Private Wealth Management Services?

2013-03-09T04:37:00.000-08:00

“A penny saved is a penny earned” are you aware of this little sentence which holds a great value in your life , yeas you read exactly correct your life as without money you can’t live a life ? I know you have considered to use and spend wisely that’s the sole reason you are reading this post. Congratulations for at least helping yourself to take this decision of managing you so called wealth, which is of prime importance in this century as well.

You may have a lot of reasons that now you are looking for Private Wealth Management Services. May be you were among the lucky ones who got an inheritance and now are searching for a reliable wealth manager. Is it like you are not satisfied with your current banker and it’s hard to make that decision of change? Mandy of you really do not know how to go about this in a proper way.

How to choose your Private Wealth Management Services?

The following are a few yet important points you need to keep your mind on:

Self analysis - the first step is to choose the right bank for you

Go and make your list of the candidates who seem to have potential

Putting the candidates through paces will help you

Analysis of the investment proposal with keen eye to detail is a must

Finally select the best wealth manager, or you can go for a few among the top listed

We will discuss some Portfolio Services. These are accounts with in the investment portfolio which are mostly managed through a professional wealth manager. These accounts can be molded according to the specific objectives and needs. If you are investing in the Portfolio Management Services, you are likely to own an individual security which is not possible with a mutual fund investor as they own units of the whole fund. With a PMS you posses the freedom and also a good amount of flexibility as you are enabled manage and alter your portfolio in order to address the personal preferences and your financial goals too.

Now if you are investing in a stock market it can be quite risky when you don’t know how and when to make an investment in the market. The sole reason for opting stock brokers is this. A stock broker will assist you to make your investment. He will give you the knowledge to make it in the right time and in the most right place. Helping you to manage your investments along with your money in the Indian stock market is also their job. As they have an experience of the stock market for years, you can trust them as they know the best way to earn you money. They also help you to build your portfolio and also provide assistance to manage it.

10 Things to Know Before Buying Life Insurance

2013-03-09T04:00:00.001-08:00

Being risk averse and ensuring adequate life insurance coverage is a critical aspect of an individual’s financial planning and investment objectives. One needs to consider a variety of factors before zeroing in on the right kind of insurance coverage that would help in meeting the immediate or future needs. Here is a list of 10 things one should be aware of before buying life insurance.

BE ADVISED THAT INSURANCE IS NOT AN INVESTMENT

Every individual looking to buy life insurance should understand that insurance should not be considered as a means of investment. Rather it should be considered as a means of security to help take care of any unforeseen circumstances in the future. You might find things to be hunky dory today but what if you are not there today. Who do you think will take care of the requirements of your dependents? This is exactly the reason why you need adequate insurance.

EVERYONE NEEDS INSURANCE

It’s a myth that if you are young and just beginning to take care of responsibilities, you don’t need insurance. As a matter of fact, insurance is a very critical aspect of financial planning and securing your future and you need to ensure the safety and security of your near and dear ones no matter what phase of life you are in.

HOW MUCH INSURANCE DO YOU NEED?

Next up, you need to decide the amount of insurance coverage you would need. Reviewing your current lifestyle and expenses, the immediate and future needs of your dependents as well as your current liabilities should give you a good indication of the amount of insurance or risk cover you would need. You can also make use of any of the online calculators that will help you arrive at an initial estimate. Consulting a specialist to understand specific requirements would also be a good idea.

TYPE OF INSURANCE

Next up, based on your investment needs and the applicable risk coverage, you need to determine the type of insurance that is best suited for you. There are a variety of insurance schemes available starting from pure term insurance plans that provide high-risk cover for a fairly low cost; ULIP plans and endowment plans that provide you the dual benefits of investment and insurance; and lastly the health insurance and annuity plans that help you take care of healthcare needs and retirement planning respectively. You should pick and choose the schemes that best suits your needs.

CLOSELY REVIEW THE CHARGES

Know the type of charges you would be expected to pay during the life cycle of the policy. There are a variety of charges or fees applicable based on the type of polices you opt for. Do ensure that you review the charges appropriately before signing on the dotted line.

DISCLOSE ALL FACTS

When you sign up for an insurance policy, ensure that you are not withholding any facts related to your health/medical history. Withholding critical information can lead to problems in the future when you attempt to claim the insurance benefits.

KNOW THE TENURE OF THE POLICY

Knowing the duration of the policy is an important aspect to consider when buying an life insurance policy. Life insurance plans come with a variety of tenures that cover different stages of one’s lifespan. While premiums are lower when you are young, it tends to increase overtime as you grow older. The bottom line here is to try and get the maximum tenure or coverage for your insurance policy.

KNOW ABOUT POLICY EXCLUSIONS

It can get quite boring to read through the policy terms and conditions but nevertheless it’s important that you go through the exclusions or aspects not covered under the policy in detail before you sign up for a policy.

COMPARE PLANS

Once you decide up the type of insurance, it’s time to review and compare the pricing and features of policies on offer by different insurance providers. There are many websites who provide tools to quickly run a comparison of different insurance products. Also, do not always base your decisions on the amount of premium you need to pay as there can be various other factors that impact the costing, features and benefits of an insurance policy.

SURRENDER OPTIONS

The last but not the least aspect to check is the policy surrender option. Check if you can surrender the policy prematurely if you feel the product you have chosen is not as per your liking. Review the applicable charges and also the terms and conditions governing surrendering an insurance policy.

4 Easy Ways to Gain Debt

2013-03-04T05:32:00.004-08:00

It is so easy to gain debt, that people often are unaware of this fact. Actually the economy makes it almost inevitable that we end up borrowing money whether because an emergency take us by surprise before the payday, or just to cover expenses that were not considered in our monthly budget. Nonetheless, it is possible to avoid gaining too much debt if you identify common sources that contribute to building it up.

Borrowing Money Is Not Always a Good Idea

Depending what your cash need is, you may think of taking out payday loans, or applying for an imbalanced loan, none of which is a good idea. In fact, the easiest way to gain debt is getting a payday loan, with high interest rate, which is usually a financial burden that people easily see going out of their hands. Imbalanced loans that are not refinanced timely equally accrue high interest rates that may turn your debt into an unmanageable state.

Financing Your Expenses with Credit Cards

In today's world, it is necessary to get at least one credit card to pay for certain expenses that only accept this payment method. Other than this, credit cards are often the most expensive way to finance your expenses, leading you to gain debt in no time, particularly if you repay only the minimum that your creditor asks for. The more time takes to repay this debt, the higher it will go due to interest rates that dramatically increase when you take cash advances from an ATM.

Forget About Investing on Behalf of Your Children

Although, it is comprehensible that you think of your children's future, one big mistake that parents make is investing money on their behalf to finance their future education. Naturally, it is advisable that you start a money fund for your children, but the problem that parents face is wanting to make this money grow by investing in the volatile stock market, or buying debt funds claimed to pay high dividends, but usually contribute only to increasing your debt.

Avoid Membership and Subscription Upgrades

Whether you use your credit cards or pay with cash whatever subscription or membership that you or your family have, the companies behind them are experts to get people going for "upgrades" based on premises such as saving money or obtaining in exchange further benefits. Even though, it is likely that what you gain by accepting the upgrade is gaining more debt than you can repay.

Avoid debt as much as possible, regardless the source that generates it because gaining debt is easy, repaying it not at all.

4 Small Loans Traps

2013-03-04T05:32:00.001-08:00

Many people think that the clever solution to get the money they need consists of applying for small loans rather than taking out a large one. Among the reasons, they cite, as the "clever" way to go, probably avoiding getting lenders doing a credit check is the main one, particularly because an individual that considers small loans as a financial solution is a person with a credit history already damaged to apply for different type of loans. So that, it is advisable that you learn what are those small loans traps you may fall into to avoid them before is too late.

Say No to Payday Loans

One of those debt traps lurking around the corner is applying for paydayloans. Also known as Fast cash loan lenders, most payday loan lending companies will offer your the cash that you need and will do their best to remove all those obstacles that you can find when applying for a regular loan, but at a price. Their price is never revealed during the application process, because it is often the fees and interest rates that they will charge, that often make your debt grow insanely.

Say No to Small Loans

Payday loans are not the only loans that allow you to borrow small amounts of money. There are short-term loans that, without being a payday loan secured by a paycheck, are still offered based on small amounts of money that people can borrow, but that may require a good credit history to have the application approved. Nonetheless, the imbalanced high interest rates of these loans make it hard to predict when one can fall into a default payment, and therefore head into another loan debt trap.

Avoid Mixing and Matching

Similarly, many people may recommend that you borrow the lest amount than you can from different lenders, including payday loan lenders and secured or unsecured small loan lenders. This way, you can get more money that the maximum amount you can borrow by law in your state of residence, but diverse high interest rates when combined make a high debt flammable cocktail.

Loans and Cash Advance Must not Be Confused Credit card holders many times can borrow cash from their own credit cards, taking this money as a sort of personal loan that they are borrowing from themselves. Big mistake, the money that you could take from your credit card, usually known as cash advance, is not a small loan, but it generates as much high interest as a payday loan.

4 Ways to Make Sure Your Loan Is Safe and Secured

2013-03-04T05:31:00.002-08:00

Borrowing money is the last step we make when a money need reaches us. You may think of several solutions to get the money you need before actually borrowing money from family, friends, or a lending company. From taking a second part-time job to selling items that you no longer use, the possibilities to get that money are also available, but perhaps time is running against you. When you need to borrow money, it is important to make sure your loan is safe and secured, so stop for a moment to reflect on this fact.

Payday Loans Are Easy to Secure

Among the many sources you can look at to borrow money, probably the most immediate is shopping around for a payday loan. Payday loan lending companies do not ask for too many requirements to get an application approved and you can rest assured because your payday loan is safe and secured with your paycheck. Therefore, there is no need to figure out how to repay the debt, but the drawback is that the high interest rates asked for this type of loans surpasses your capability to repay this way.

Secured Personal Loans

On the other hand, there are many lending companies that can approve your application for short-term personal loans. These types of loans may not require a credit or a credit history in good standing, but to pledge an asset as collateral to get your loan secured and safe. The type of asset that you need to get your loan backed up depends on the amount of money that your are borrowing and the conditions of the lending company in the ultimate case.

Securing Unsecured Loans?

Since unsecured loans cannot be secured against your personal assets, the only closest way to get these loans safe and secured from the lender's side is applying for high interest rates to cover the financial risk that is being taken. Unsecured loans lending companies use your credit history to determine such risk, but your good credit score has no effect on getting lower interest rates or to prevent the lender pursuing legal action against you for default payments.

Other Safe and Secured Loans Options When your credit history is not good at all, you can get a small loan safe and secured trying other options such as approaching Credit Unions, Peer to Peer Lending companies, or your family and friends to arrange the best possible solution to borrow the money you need.

Is Life Insurance Worth the Life Investment?

2013-03-02T03:40:00.005-08:00

Are you considering purchasing life insurance, but are not sure whether or not it will be worth your investment? Life insurance can be a great investment, depending upon your situation. There are multiple things that need to be taken into account throughout the process in order to ensure that you are not only getting a good deal, but are covering yourself and helping to provide security for your family in the event of your untimely demise. Three reasons why life insurance is a good investment for most families include;

Security for Your Family

If you are the one member of your family that brings in a large portion of the income, it is only natural that you would be worried about something happening to you. Everyone wants to be sure to provide for their family, even in the event of their untimely demise. A life insurance policy is an excellent choice, because it allows you to ensure that your family will be cared for, even if you were not able to do so yourself. Most life insurance policies that are paid out payout far more than you would ever pay into the fund. Of course, most people never capitalize on their term life insurance, which is how insurance companies are able to turn a profit. For that reason alone, life insurance could be a smart investment for you.

Peace of Mind

If you find that the welfare of your family ways heavily on your mind, a life insurance policy may be a great purchase. A life insurance policy ensures that your family will be cared for when you are gone, and allow you to feel good about that fact in the present. It is hard to put a price on peace of mind, but that is exactly what a good life insurance policy secures for you. In order to take some stress off of you, and provide you with peace of mind, life insurance can be an excellent investment.

Always Be Prepared

If you are someone that truly values preparation, life insurance can be an excellent purchase. Preparing for the worst ensures that the worst will never happen to your family, and that they will be able to bounce back from your own untimely passing. Life insurance can provide you with some real benefits, and also allow you to ensure that you and your family are always prepared, no matter how dire the situation.

Dangerous Ways to Get Fast Cash

2013-03-02T03:40:00.001-08:00

Money needs do not recognize how the human brain processes the request, so every individual may go to find a solution to cope with such necessity in so many different ways including dangerous solutions. You would probably have been hit by the need to borrow money sometime in life, perhaps just right now. If this is your case, please be aware of some dangerous ways to get fast cash that you should avoid to avoid falling into a debt trap.

Danger Ahead; Beware of Credit Cards

The easiest way to get fast cash when you are in need is using your credit card to withdraw money from an ATM. Most credit card issuers allow the credit card holder do this in the knowledge that they will earn extra interest from your movement. If your credit card interest rate is high, and usually is, sum up interests over the interests that withdrawing cash advances from the credit card generates.

Payday Loans, As Easy as Dangerous

After the credit cards, the next following easy way to get fast cash is taking out a payday loan. This is also the favorite resource that people with bad credit or poor credit use, as many of them have no access to credit cards. However, payday loans are the loans with the higher interest rates of all credits you can shop around for and may jeopardize your payroll check when you fall into default payments.

Twisted Fast Cash Solutions

Although illegal, there are people willing to lend you money. They are not licensed lenders but regular individuals with a stash of money hidden under their coach in the living room, just to say it in a figurative way. Even though, these individuals lend money as a private matter making use of usury practices that not being allowed by law, are sometimes the only (dangerous) solution that people find to borrow fast cash when it should be avoided.

Love Money May Slap You

One easy way to get fast cash is asking your family and friends for a chance to get them lending you such money. Whenever this is possible, love money, as this type of lending is known financially, may slap you badly if you let your affection blind you. Many times, they lend you money without asking for collateral to secure your debt or anything else, but when a love money lender makes you sign a document (usually a blank sheet) you might be facing the worst danger among all those that borrowing fast cash may put in your way.

How to Get Out of a Sticky Financial Situation

2013-03-02T03:39:00.004-08:00

When your financial burden is leading you to money conflicts that you cannot resolve, chances are you are facing a sticky financial situation that has to be resolved soon. Oftentimes the problem is that you are aware of the situation, but you cannot find a solution to get out of it. However there is a solution, but it requires a personal review to identify those bad habits that you have when it comes to your money and have the willingness to move in the right direction.

Develop and Analytic Money Sense

Many sticky financial situations result from your wrong idea to save money when you are doing exactly the opposite. Splitting bills in a situation where you are the party that consumes less or pays less when it is done individually, as an example, when going to a restaurant with your co-workers, they order a full meal, and you only eat a sandwich. The only way to get out this sticky financial situation is analyze if there is really a benefit for your behind "practical" solutions like this.

Breaking Up the Payday Loan Habit

A recurring sticky financial situation often takes place when you become "addicted" to payday loans. You know it is very easy to take out a payday loan and you often say to yourself, "It is only a small amount of money that I am borrowing". You are unaware that you are developing a bad financial habit that will eventually eat up too much of your money by paying those high interest rates that payday loans generate regardless how much you are borrowing.

Spreading the Word About Your Financial Wealth

Contrarily, if you are in good financial standing, but you had never borrowed money from family and friends, it is understandable that you may want to help by lending money when others may be in need. However, some people may not repay the money if they think you are too wealthy to need it. Your kind heart can make this a sticky financial situation and you had better get out of it before being broke.

Breaking the Bad Habit of Not Having a Budget

Many sticky financial situations may occur due to a single factor; you have never sat down to make a budget. Making mental projections on how to use your paycheck or your savings is usually not enough. You may end up spending more than you can and having to borrow money to catch up your expenses. So, probably the best solution to get out of most sticky situations in life is enclosed in a well-planned budget.

Sensex smiles at 20,000: Oil’s well that continues well

2013-01-26T08:39:00.001-08:00

The Indian equity market is at a two-year high.

With the Sensex crossing the psychological 20,000 mark, investor interest is gaining, especially among retail investors. A lot of the rise can be attributed to the global cues which have been positive since the start of the year. The setting aside of the fiscal cliff worries brought renewed strength to markets world over and India is no exception.

Foreign investors pumping in over Rs90bn already in 2013

While the Sensex and Nifty have clocked decent gains, there is increasing interest in stocks which are not in the main indices. The FIIs (Foreign Institutional Investors) have been pumping money into the Indian equity market and have already brought in ~Rs90bn this calendar year.

The government on ‘reform’ mode

The government appears to be making the right noises in pursuing fiscal consolidation. Should this continue, the current momentum is likely to be sustained. Corporate results have been encouraging as many large companies have beaten expectations. These include the likes of Reliance Industries and Infosys. Among the major triggers for the rise in the stock market has been the deferment of GAAR and the partial decontrol in diesel prices.

Why fuel reforms is a game-changer

Let’s understand a bit on why the much-awaited fuel reforms initiated by Government of India are game changer for the Oil & Gas industry.
The bad news for the general public is be that diesel prices will continue to rise for some months till the loss per litre incurred by the oil marketing companies is covered. The good news is that the companies and the investors in these companies will benefit. If the current trend of increasing diesel prices continues, the diesel subsidy, which is a cost incurred by the Government will be minimized if not eliminated in the coming years.

What did the Government announce?

• Oil marketing companies are now allowed to raise retail diesel prices by 0.5/litre per month today. Bulk diesel, which forms 18% of total diesel volumes sold, has been deregulated.
• The upper limit on subsidised cylinders has been raised from 6 to 9 per household per year.
Who gains, who loses?
The IIFL institutional research team has in a recent report highlighted the impact of the government’s move on various stocks and sectors. Following are the key highlights: Upstream companies (ONGC, OIL) will be key beneficiaries of the reforms. OMCs will benefit from improved visibility on cash flows and lower interest costs. Commercial vehicles will be hit hard due to diesel price hikes. With a slowdown in the economy for a long time, freight demand has reduced. This is turn has hurt freight rates as a result of which there is less demand for these vehicles.
Telecom players will also be impacted. This may surprise you but energy costs are also huge for telecom companies which have diesel sets running at various towers and leading telecom firms spend anything between Rs13 billion to Rs20 billion per annum on diesel costs.
Cement companies will get impacted to some extent but they will always be in a position to pass on the additional burden of around a rupee or so per bag on to the end consumer.
The sector which could benefit to a large extent is the gas utilities segment. With fuel prices rising, CNG and Piped Gas will be in the limelight. So companies which are gas utilities could benefit from this constant increase of diesel prices as people will gradually look at moving to this segment to cut costs.

What equities promise for retail investors in 2013

2013-01-09T05:03:00.000-08:00

We promise according to our hopes, and perform according to our fears. - Francois Rochefoucauld

The Year 2013 has got off to a promising start. While the fag end of the year saw equity markets undecided over the fiscal cliff issue, some last-minute negotiations resulted in the US managing to avoid across-the-board tax increases and government spending cuts, which could have triggered a recession in the US.

As investors, you would be aware that the US in a recession could have major implications on global trade as well as foreign institutional fund flows or FII inflows. Let us look at what lies ahead for Indian equities this year. A number of headwinds remain but chances are that the positives will outweigh the negatives. The government has seen some pro-active and reactive measures especially since Finance Minister P Chidambaram was brought back in into the crucial ministry. The worst appears over for the Indian currency and the interest rate cycle appears to have peaked out. Repo rate cuts could begin as early as this month.

The Nifty valuations are reasonable for now and the room for much further upside remains. Predicting the market is a waste of time and in case you put your money betting on some short term targets, chances are you could end up losing money. To begin with, write down your financial goals. Equity has been one of the best performing asset class over a long period of time and you cannot afford to miss out a decent allocation here. How much you allocate depends on your risk appetite and your calendar of events.

Let’s look at some ways to benefit from the stock market.

Trading with a well thought-out, thoroughly researched, patiently tested and rule-based trading plan.
Don’t rely on market rumors. Chances are by the time you fall prey the stock may resume its downward journey.
Keep emotions away. Don’t hold on to losing counters just because of some gut feel. Admit your mistake and get out with minimal losses instead.
Some initial success may prompt people to take huge bets with money that they cannot afford to lose. Exposure to equity market should be done in limits.
Do not put money kept aside for a near-term education, marriage ore medical expenses hoping to make quick bucks. Besides the financial loss you will end up emotionally drained.
Do not do complicated trades you cannot understand just because you heard some success stories. Remember, success stories are broadcast loudly.
Keep a stop loss on your trade and a target so that you can reallocate your assets when you achieve the same.

Stay in tune with news on the economy, government and of course the companies you invest in and that will help you take informed decisions. After all- Knowledge is the Edge.

The importance of a benchmark for mutual funds

2013-01-09T04:59:00.000-08:00

A scheme’s benchmark is an index that is decided by its fund house to serve as a standard for the scheme’s returns

While investing in mutual funds or any other financial products, we seek opinion from our relatives or friends and then invest. Hardly do we understand the importance of making informed decisions. Most of us do not understand the significance of using a benchmark for the purpose of effective comparison. Capital market regulator SEBI (Securities and Exchange Board of India) has made it mandatory for fund houses to declare a benchmark index.

Benchmark returns will give you a standard by which to make the comparison. It basically indicates what the fund has earned against what it should have earned. One can say that the benchmark’s returns are the MF schemes target and the scheme is expected to have done well if it manages to beat its benchmark.

A scheme’s benchmark is an index that is decided by its fund house to serve as a standard for the scheme’s returns. Some well-known benchmarks are the BSE Sensex and NSE Nifty for funds that invest in large-company stocks. A benchmark gives lay investors an opportunity to compare the performance of their investments with that of the broader market. Similarly, a fund house can also set target returns and try hard to perform better than the benchmark index. A fund's returns compared to its benchmark are called its benchmark returns.

When the market rises or falls, the fund will be impacted. Assume fund ABC is a diversified equity fund which is benchmarked against the Sensex. Thus, returns of fund ABC will be compared with those of the Sensex. Suppose, markets are doing well and the Sensex is gradually moving upwards, then anything less than excellent returns from fund ABC would actually be upsetting.

If the Sensex rises by 12% over one year and the fund ABC’s NAV (net asset value) grows by 10%, then fund ABC has outperformed its benchmark. On the other hand, if the NAV of the fund rises only 6%, then it has underperformed its benchmark. Thus, if the fund does better than Sensex, it has outperformed the benchmark and vice-versa.

Now, if the Sensex declines 8% over one year and during the same period, the fund’s NAV declines 6%, then the fund is said to have outperformed the benchmark.

Outperformed or underperformed

If fund performs > Benchmark = Fund has outperformed
If fund performs < Benchmark = Fund has underperformed

Remember, the duration to judge the benchmark should be at least one year. Also, the difference between the fund and benchmark performance should be considerable. You can’t say that a fund has underperformed its benchmark just because its returns were 10%, while the benchmark rose 9.8%. The difference between the fund and benchmark performance is not considerable.

Checking whether the fund has outperformed its benchmark is not the only criterion to select the scheme. But it is one of the important factors to invest in mutual fund schemes. You should verify if a mutual fund has outperformed its benchmark over several years with considerable difference.

Bill Ackman's epic takedown of Herbalife

2012-12-31T01:32:00.001-08:00

Activist investor and Founder CEO of Pershing Square Capital, Bill Ackman made public his short position in Herbalife, a company that sells weight management and nutritional supplements in USA, on December 19.

His massive short position is to the tune of 20 million shares that are borrowed to sell in the market, to the tune of $1 billion.

Herbalife's stock rises after initial fall

Bill Ackman delivered a 342 slide presentation, taking down the company and terming their business opportunities as a pyramid scheme that sells premium products through a wide chain of direct sellers. He explains how the company has no real advantage or premium over competing brands, and direct sellers earn more from 'recruitment' of other members than from commissions through selling the final products, weight management and nutrition supplements.

His attack grew intense as Pershing put together a site giving the real facts of Herbalife to internet users, and also targetted Google Ads, shown on the right.

Google Ads of Herbalife

It seemed like a one-sided battle (for Bill Ackman) but with his short position going into the third trading week, the stock is up 15% from its ~40% fall following Bill Ackman's presentations, and turning the battle between Herbalife and Bill Ackman into a fight between smart investors buying up shares (for a variety of reasons) and Bill Ackman.

The above is a classic case of publicly listed companies being taken to task by activist investors. Is there any incident in India that resembles the case? What is the fate of the Indian subsidiaries of likewise direct selling companies such as Herbalife and Amway? Do let us know and we'll post your view on the next blog post!

The Best Ways to Manage your loan

2012-12-06T04:32:00.002-08:00

You may have taken a loan for funding your education, or buying your first car or simply a credit card loan for Christmas shopping. While you've made good use of the loan amount, you must make sure you are committed to repaying it on time. Here are a few pointers on the best ways to manage your loan.

1. In Time
Make regular payments on time. You must organize your finances and take stock of the entire debt amount that you need to repay. Make a repayment schedule, and make payments before each due date. Also get a friend or mentor to ensure that you don't fall back on your debt payments.

2. Build a spreadsheet
Write down the different loans that you owe, alongwith debt amounts, interest rates, and how many payments you have done for each loan. Also calculate how much you need to save up in the next few months in order to meet upcoming payments.

3. Contingency Fund
It would be advisable to build a contigency fund for loan repayments of 4 months, in case you switch jobs or find yourself with little cash due to sudden expenses. It will take time to build a contigency fund - using public transport, taking up a second job, or minimising expenses for a few months should build a good nest for you to bank upon in times of crisis.

4. Using Loans Responsibly
While education and car loans are important for building a career, and ensuring transportation to work and other activities respectively, travel/holiday loans and credit card purchases for expensive products that you cannot afford is not the prudent thing to do. Act responsibly and use loans that are the most important to you.

5. Consolidating Debt
If making a spreadsheet and following up on different repayment confuses you or previous loans were taken at expensive interest rates, loan consolidation could combine all your loans into one and increase your repayment period, therefore reducing your monthly repayments. This would not be an ideal situation to be in, but if it eases your financial problems, then go for it.

5 Tips for Saving on Your Home and Auto Insurance

2012-10-10T08:53:00.002-07:00

Shop around

Despite what many people think, not all insurance companies are created equal. Rates can vary by hundreds of dollars per year for identical coverage. The general rule is to get at least three quotes when shopping for insurance. This will allow you to compare multiple rates and choose the insurer that provides you with the most coverage at the lowest price. When in doubt, it’s helpful to call and speak with an insurance broker, who, for a fee, can help you find the best deal.

Bundle policies with one carrier

Buying your home and Auto Insurance with the same company can help you take advantage of a multi-line discount and save up to 15% on your monthly premiums. Nonetheless, you should always compare rates from multiple carriers to make sure the combined cost is lower than purchasing separate policies from different companies.

Increase your deductible

Your deductible is the initial amount you must pay toward a claim before the insurance company begins to cover costs. This number greatly affects monthly premiums. If your deductible is low, you will pay more for your insurance. If it is high, your rates will be lower, but you will have to pay more in the event you need to file a claim. Thus, you want to make your deductible as high as possible, but it should never exceed an amount that you’re not comfortable paying out of pocket.

Make your home safer

Most home insurance companies will give you discounts for making your home more resistant to disasters, theft and other threats. This includes installing a home security system, purchasing storm shutters, adding an automatic sprinkler system, etc. Make sure to speak with your agent to learn about additional ways to protect your home.

Maintain good credit

Your credit score is a numerical ranking that indicates how likely you are to repay your debts. Insurance companies have been checking credit scores for many years because policy holders with negative credit ratings are less likely to pay their premiums on time and more likely to file a claim. These factors make customers with poor credit riskier to insure, which ultimately results in higher premiums. So make sure to work on improving your credit score. A good credit history will not only help you save on your insurance, but also make it easier to meet other financial goals, as well.

Boomers: Tips on how you can lead a long and frugal retirement

2012-09-17T08:40:00.004-07:00

One of the last things you want to be concerned about when you finish working is the amount of money you have. There are so many other more important things to enjoy in life, especially once you are in retirement. However, in order to avoid burdening yourself with concerns over money it is wise to think about what you can do to reduce the amount of money you are spending. It is almost inevitable that retirement will mean living on a smaller income compared to when you were working. This need become as much of a problem as it perhaps first appears….and here is why…

Your mortgage should be paid off

Hopefully if you bought your house early enough your mortgage should be paid off by the time you reach retirement age. This should drastically reduce the amount of money you need to spend as a mortgage is on most occasions the biggest monthly outgoing for any household. Looking at this chart from Project America, the average US family spends 30% of their income on housing. Once this cost is removed, you should be substantially better off each month.

Your outgoings should fall naturally

Working, travelling to work and being out of the house each weekday normally means certain costs will pile up each month. These can include…

Paying for Gas/Petrol
Car maintenance
Buying lunch
Toll fees
Socialising after work

…to name but a few. Hopefully these costs can be reduced once you are retired. You may also want to consider getting rid of one or more car (s) if you no longer require them.

You can start to make savings

Being retired you will have more free time available. You can put this advantage to good use by making savings. How can this be done you might ask? Well often people pay a premium to use services and consume goods during times that are convenient. For example booking a vacation outside of the school holidays is cheaper as demand is lower. Restaurants often offer deals midweek which when you’re working may not always be practical. On top of this, just by having more time on your hands will assist you in making savings. An example of this is that you will be able to collect and organise money saving coupons for use with everyday purchases.

You can always supplement your pension

Whether you are receiving an employer’s pension or you bought an annuity, your income can always be supplemented by additional part time work if necessary. One note of advice on annuities, make sure you compare providers using sites such as 123annuityrates.co.uk before you buy one as not comparing rates can be a lower income.

If you try all of the above and still find you have less money than you need, you can always supplement your income with a home-based business. Typical ideas for a business in retirement include being a handyman, gardening, car washing, dog walking and babysitting. All of these can be started with minimal amount of money; in some cases there are no start up costs at all.

Ins and Outs of Obtaining Production Insurance

2012-09-12T08:15:00.001-07:00

Filmmakers who are preparing to make a film cannot begin work without first obtaining production insurance. This insurance protects the production company in case anything goes wrong on the set. The production company is legally and contractually obligated to ensure that they are insured. Special entertainment insurance firms specialize in this unique form of insurance.

Production insurance covers the filmmaker in case of loss or damage to production equipment and ensures that if anything happens to delay or stop production, the film's backers will not lose their money. This insurance also encompasses workman's compensation.

Types of production insurance policy vary -- there are short-term policies which are used for a short, single production such as commercials, long-term policies which cover the production over a longer duration of time or an annual policy which is taken out for ongoing projects such as documentaries.

Production policies include general liability insurance, video equipment insurance and errors and omissions insurance.

Where to Go

To obtain production insurance the filmmaker must contact a film insurance company. These companies have experience with the issues and complexities of filmmaking and can provide the right production insurance for each situation. Filmmakers who have experience with this aspect of the production process suggest that a representative of the film's budget staff obtain quotes from several production insurance companies and then add a little extra onto that quote because the price often changes in the months between the initial organization for the film and the time that the actual filming begins.

Industry consultants suggest that a film company obtain a policy that covers at least one million dollars for locations and equipment. If a claim is filed this insurance will be paid out only after the deductible is paid so money should be set aside in the film's budget to account for any necessary deductibles. Errors and Omissions insurance is obtained after the film is completed.

More info about production insurance...

Oracle Continues To Lead The Pack

2012-08-28T07:20:00.002-07:00

Since its inception in 1977, Oracle Corporation has been a leader in the technology field, supplying consumers with databases, search solutions, and numerous other integrated business management applications. Originally founded by Larry Ellison, Bob Miner and Ed Oates as Software Development Laboratories, the company name was eventually changed to Oracle Corporation in 1995. Over the years, Oracle has had many effective presidents, most notably Charles Phillips who served during some of the company’s most lucrative years.
Charles Phillips of Oracle is a software industry analyst, joining the Oracle team in 2003 as Executive Vice President. He was promoted to President in 2004, also serving as a member of the Board of Directors. He was in charge of global field operations, including sales and marketing, as well as corporate strategy. After seeing a radical increase in company profits during his tenure, he resigned his position as President in September 2010, after agreeing to stay through the Sun Microsystems integration. He then became CEO of Infor, a business software company.
With a continuing business model that acquires competitor’s products and invents solutions to produce multiple integrated layers for cloud based enterprise applications, Oracle is able to provide cutting edge solutions using a wide array of platforms. Based on open architecture standards, Oracle provides the end user choices for individualized enterprise solution systems.
Traditionally providing information management systems to obtain and amalgamate data, Oracle has been working to seamlessly integrate hardware, middleware, and applications for business over the internet.
In Oracle’s characteristic style, recent acquisitions this year compliment Oracle’s already tightly integrated cloud-based business solution hardware and software systems:
February 9, 2012: Oracle acquires the cloud based Taleo for $1.9 billion to add talent recruiting and management products and services. This expands Oracle’s powerful enterprise package to include additional human resources, allowing companies to manage and retain employees.
May 23, 2012: Oracle continues its expansion of cloud based platforms by acquiring Vitrue, a social marketing firm that allows marketers tools to create and manage social marketing campaigns.
June 5, 2012: Oracle announces the acquisition of Collective Intelligence, a market intelligence company providing cloud based solutions to work with social media networks such as Twitter, YouTube, and Facebook. It allows sales teams of companies to utilize social media platforms more effectively, interacting with customers through social conversations.
Oracle has encapsulated their already impressive Oracle Social Network with its most recent acquisition, the social marketer firm Involver in July 2012. Utilizing Vitrue for publishing, Collective Intellect to connect with prospects, Right Now for customer service solutions, and Involver to integrate branding into social media, Oracle is on the front lines in business management information systems and solutions through cloud computing.
The competition is fierce, with Salesforce.com and SAP within a few percentage points of Oracle in CRM market share. The Oracle Public Cloud will need further integration of its applications to be able to set pricing that is not only competitive with but more enticing than its competitor's products and on-premise systems.

UCLA Launches Lowell Milken Business Law School

2012-08-28T07:19:00.001-07:00

UCLA law students who are planning to specialize in business law will benefit from the new Lowell Milken Institute for Business Law which has recently opened at the UCLA School of Law. A $10 million gift, granted by educational pioneer Lowell Milken, is geared towards allowing the school to continue to function as a leader in enhancing ethics and values as they relate to the integration of business and law.

Lowell Milken and the UCLA administration envision that the new Institute for Business Law and Policy will serve as a recognized center for the study of law and business. The Center is expected to develop new strategies for improving the problem solving abilities and transactional skills of law students as they combine the study of law with business models.

Lowell Milken expects that the new Institute will support additional centers and institutes which inform public policy as they relate to the business world. This effort includes providing financial assistance to law students who demonstrate leadership skills in the fields of business law and policy. Lowell Milken anticipates that the expanded curriculum and the enhanced training in real-world transactional skills offered through the Institute can subsequently expand to the broader business communities.

The UCLA Law School is recognized as a leader in the study of business law and enjoys a long tradition of interdisciplinary collaborations. This background convinced Milken, a 1973 UCLA Law School graduate, to fund the UCLA Institute. UCLA Chancellor Gene Block says "Through groundbreaking research, as well as symposia and conferences, the Lowell Milken Institute will facilitate the kind of sustained dialogue with policymakers and practitioners that is UCLA's hallmark as a public university."

The Lowell Milken Institute will strive to deepen the UCLA Law School's influence and impact on the energetic LA business community with which it already enjoys a strong relationship. The program will prepare students to integrate business and law by providing them with training and skills to meet the challenges of today's global business economy.

3 Ways to Fund Care Home Costs

2012-08-21T10:48:00.002-07:00

Prices of everything today are rising and home care costs are certainly no exception. The average cost of care for those living in care homes is expected to be around £33,000 per year per person by 2025. This makes many wonder how they are going to fund these costs and what options are available to them. It becomes important that you know just what to expect as far as care home costs and how you may be able to take care of these costs now so that you are prepared for your future. Thousands upon thousands of UK elderly are not eligible to receive formal support for care homes. This leaves these people wondering what else is available to help. If you are forced to fund your care home costs yourself, you should understand what assistance is available and whether or not you can count on this assistance to help you in your later years.

1. NHS – NHS Continuing Healthcare is an option if you are in need of care home services due to poor health. In order to qualify, your health will require that you have constant health care available to you. Those who are eligible for NHS Continuing Healthcare will have been diagnosed with a condition that is not expected to improve. In order to deem your eligibility, you should contact a GP to learn how you can be assessed. If you are not eligible, there may still be hope. You can also apply to be considered for NHS funded nursing care which will provide financing for nursing home care.

2. Local Authority – Local council is required to assess anyone who seems to need community care. Your needs will be assessed and eligibility will be determined. The criteria for eligibility can vary greatly from region to region but if you do qualify, you could receive assistance for care home funding. You should note that your finances will be checked and if you have assets that total more than £23,250, you will not be eligible for assistance.

3. Equity – If you have equity in your home, you can release it and finance your care home costs. This should be considered only as a last resort however. You may not want to part with your home equity just to find care home costs although more and more citizens are being forced to consider this option. This is not something that you should go into without some serious thought. If and only if you simply cannot find funding in any other way, you should consider an equity release but you should be certain that you do a bit of research and look for other ways to fund your costs. If you do choose this option, ensure that you are safely releasing your equity so that you are not hit with high payments that you cannot afford in the future.

This article was written by Cheselden Continuing Care, the leading review specialists of care home claims in the UK.