Tuesday, June 20, 2017

Five Mistakes Mutual Fund Investors Should Avoid In This Market

Spare Cash – Equity Schemes – Long-Term Prospects

Several investors of mutual fund, particularly the new ones tend to be apprehensive since the market seems to be suspended around past pea. Discussions of expensive valuating, liquidity driven rally etc. tend to make them anxious with regard to their investments. Several of them have been probing with their advisors of mutual fund regarding their investments.

 As per the advisors, they have been cautioning their clients from engaging in certain errors which they state could occur in a risking market such as the prevailing one. When the market is said to be on an upsurge, several investors of mutual fund seem to get excited and if in a position to do so, would not hesitate to put their money in equity mutual funds particularly in the group that tends to offer the highest returns.

However, this could rebound greatly. It is advisable to stick to ones goals and allocation. If one tends to have allocated money to equity schemes for long-term financial goals, they should stick to it. It is not necessary to change your investment plan because the stock market has been crushed. You could invest spare cash in equity schemes which tend to have long-term prospects. You could also make planned allocation when the need for big correction arises.

Reversal Trends – Investor Panic

However, one should refrain from making huge changes to their original investment plan and go heavy on equity schemes. One need not get apprehensive when there is excitement in the stock market. Some of the investors seem to get anxious when there are talks regarding the performance of the market.

Even the smallest indication of reversal trend in the market tends to make these investors to panic from the market which is not the appropriate attitude for investment. If one intends to invest with a long prospect, they tend to go through several phases in the market scenario which cannot be avoided. One needs to be firm and stick to one’s financial plan.

The treat to Fed rate cut is expensive valuations, imminent correction and liquidity-driven rally. Market is never short of talking points and experts enjoy discussing every frayed topic. But an investor of mutual fund does not have to be perturbed by all this topics provided by experts. Most of the issues are relevant to clients only who tend to build position daily in order to en-cash on these types of news.

Essential Information Forming Knowledgeable Opinion

Most of these earth shattering events seem like minor problems when they are considered after a long period of time. Buying and selling should never been undertaken in an impulsive manner. Several of the investors tend to make it a habit of indulging in it immediately after an event or news breaks out and believes that it would change the luck of their investments.

These types of errors should be refrained. One needs to step back, consider the topic and get into discussion with your advisor, friends or colleagues with those who could be familiar with these sorts of issues. One should not involve in anything till you have all the essential information in forming a knowledgeable opinion.

Buying and holding is the only strategy which tends to work though it could also be a boring one for some and a segment of the market is always on the lookout for some fancy ideas which could be helpful. At times it tends to get difficult to resist from betting on the theme since it could be widely hyped as being the magic formula in multiplying money and one should refrain for the same.

Friday, June 9, 2017

Why is Cyber Insurance a Necessity in Today's Web World?

Cyber

Cyber Insurance – Rising Threat to Cyber Security

An awareness regarding cyber insurance should be brought about owing to the rising threat to cyber security. The increasing threat with attacks like WannaCry rising in numbers together with the higher dependency on the web has given rise to the need for another support in the insurance segment namely cyber insurance.

The purpose of obtaining your online business or data insured has been an unfamiliar concept to several people. With various insurance companies available offering package connected to cyber insurances the idea for the same has not yet started. We have overseas insurance companies who have been providing cyber insurance keeping their focus on advent of tech companies.

 However in India, the scenario tends to be different. The MD and CEO of Future Generali Insurance, KG Krishnamoorthy Rao has commented that `it is a comparatively new concept particularly in markets here. Abroad the same has been prevailing for three-four years. However as more and more transaction tends to occur online, especially financial, incidents of cyber fraud seem to be on the rise.

Cyber terrorism is also a new threat where people tend to extort others online with threats that their data will be destroyed if the ransom amount is not paid. He further added that even if an awareness of cyber insurance is not familiar, it needs to be known and then there will be a market for the same.

Transacting Online – Information not Misused/Leaked

Krisnamoorthy’s company is awaiting approval for the launch of their cyber insurance package for the people. The other markets too are in agreement that the awareness could be important to this problem. Shupoorna Chakarabarty from ACP-India First Life Insurance had informed that most companies had not taken up this policy so far and it is critical that when one is transacting online, their information is not misused or leaked.

 It is often the banking sector or payment wallets which tend to need cyber insurance urgently. Though the loss owing to a cyber-attack is unavoidable, it could certainly be reimbursed. The cyber insurance offers a number of safety nets on any online business. Rao informed about some of the damages which tend to be covered within cyber insurance.

He informed that economic loss suffered by a client due to cyber-attack could be eligible for insurance and the insurance company is accountable in making up for the loss incurred. Moreover the transmission of data due to an e-threat, where the data tends to get destroyed is also covered by the policy. Another significant aspect is when the data is lost, the expenses in restoring the data is covered by the insurance agent.

Expert Intervention Needed

Though there are not several challenges while handling cyber insurance, Rao has mentioned that expert intervention was needed in handling these cases. He further added that when a client tends to claim a loss or damage, a cyber-security expert is essential in verifying the same.

The damages may not be easy to determine and tends to take a longer time. The issue prevailing so far is that in India, several of the people are yet not aware that they can claim this. He says that in India, we have not yet evolved to a point that we can sue a company stating that my information has been leaked.

Tuesday, June 6, 2017

Tips for Protecting Your Farm from Unnecessary Risks

If you run a farm, then odds are good that you've experienced the unpredictable nature of the profession. Whether crops are ruined because of poor weather, or you've had difficulty with managing the health of your livestock, there are many things that can go wrong in the day-to-day operation of a farm. Despite its reputation for difficulty though, there are actually a few tips that can help you get a better handle on your farm and protect your business from undue or unnecessary hardships. With that in mind, here's a look at some of the best tips for protecting your farm.

Protect Yourself With Insurance 

Insurance can be a powerful tool for many different areas of life, but it's especially important for farmers. Insurance companies like Ark Agency regularly offer farmers the opportunity to get equine and livestock insurance in order to protect themselves from any issues following an accident involving their cattle or other livestock. Given how crucial these animals can be to the success of a farm, if something unexpected happens to them, it can leave you without any other potential recourse. With that in mind, there are a variety of different livestock insurance policies out there, which can be tailored to your specific needs and circumstances. If you have highly valuable livestock, and haven't gotten an insurance policy for them yet, then now might be the time to do so.

Use Environmentally Safe Chemicals 

While everyone continues to debate on the reality of climate change, the truth is that farmers should still be trying to use environmentally safe chemicals above all else because it also has a direct effect on themselves. Studies have linked specific chemicals to health issues in farmers who regularly handle them, and it's worth noting that similar effects can also take hold in animals. If you regularly use pesticides and other chemicals on your farm, but aren't sure of their effects, then you might want to start doing your research. If you can find an similar, but more environmentally friendly, chemical, then you might want to consider making the switch.

Although these tips can't fully protect you from unexpected accidents while on the farm, they can at least keep your prepared in the event of one. No one wants to see all of their hard work get wasted due to a simple mistake, or an unexpected event, so these tips should give you the best chance of avoiding them. As always, hard work and determination can help you overcome anything, but it doesn't hurt to have a little help as well.

Thursday, June 1, 2017

Machine Learning Promises to Shake Up Large Swathes of Finance

economist

Machine-Learning – Compliance/Risk Management/Prevention of Fraud

Machine-learning has been enhancing in fields right from trading to credit assessment to fraud prevention. It has begun shaking up finance wherein a subset of artificial intelligence –AI tends to excel in locating patterns as well as making forecasts, which it utilised in preserving the technology firms. Towards 2019, those seeking to aspire being a `chartered financial analyst’ or desire distinction in the industry would be requiring, AI proficiency in order to be successful in his exams.

 Machine-learning, regardless of the uncertainty of several inclusive of some `quant’ hedge funds which tend to specialise in algorithm based trading, is said to be poised in having great impact. New fintech firms together with some quick officials have begun applying the system to everything right from scam protection to discovering new trading policies, capable of up-end not only of the labour of the back office but also the more honest glamorous stuff.

 Machine learning has already been utilised for task like compliance, risk management as well as the prevention of fraud. A British firm known as `Voice’, tends to sell machine-learning driven speech transcription tool to huge banks in order to monitor the phone calls of traders for any indications of wrongdoing lime an insider trading.

Near Actual Tracking – Risk Disclosure

The other specialist such as Xcelerit or Kinetica seem to provide the banks as well as investment firms with near actual tracking of any risk disclosures enabling them to display their capital needs constantly. Machine-learning tends to surpass in noticing strange patterns of operation that may display fraud. Start-ups firm such as Feedzai – for payments, or Shift Technology – for insurance to behemoths like IBM have been providing these services and some have been developing the skills internally.

A British banking start-up – Monzo had built a model, swift enough for stopping the would-be fraudster from implementation of a transaction thus bringing down the fraud rate on its pre-paid cards in June 2016 from 0.85% to less than 0.1% by January 2017. The natural-language processing wherein AI-based system have been released on text, has begun to have a great effect in document-heavy portions of finance.

JPMorgan Chase, in June 2016, had organized software which can scrutinize through 12,000 commercial-loan contracts within seconds in comparison to the 360,000 hours the lawyers and loan officers tends to utilise in reviewing the contracts.

Automated Financial Decision

Besides this, machine-learning is also said to be good for automated financial decision irrespective of assessing credit worthiness or eligibility for an insurance policy. Zest Finance being in business of automated credit-scoring right from its foundation in 2009 had earlier in the year rolled out a machine-learning underwriting tool to support lenders in making credit decisions as well as for people with little conventional credit-scoring information.

It tends to scrutinize through huge amount of data like the payment history of people or how they seem to interact with the website of lenders. A tech savvy insurance start-up, Lemonade, has been utilising machine-learning to sell insurance policies as well as to manage claims. The latest boundary for machine-learning probably is in trading wherein it is utilised to bite on market data and also to select and trade portfolios of securities.

At Goldman Sachs, the quantitative-investment strategies division tend to utilise language processing motivated by machine-learning in order to go through thousands of analyst’s reports on the companies. Here it complies an aggregate `sentiment score’, depending on balance of positive to negative words. Goldman had also invested in Kensho which is a start-up utilising machine-learning in predicting how events such as natural disasters tend to affect market prices centred on data on similar events.

Restricted Useful Applications

A Toronto-based upstart, Castle Ridge Asset Management has attained annual average returns of 32% since its establishment in 2013. It tends to utilise a cultured machine-learning method such as those used in modelling evolutionary biology in making investment decisions. The chief executive, Adrian de Valois-Franklin, claims that it is very sensitive that it picked up 24 acquisitions before they had even been announced.

On the other hand, Man AHL, which is a well-established $18.8bn quant fund provider, had been conducting research in machine-learning for the purpose of trading since 2009 as well as utilising it as one of the techniques in managing client money since 2014. Martin Lueck of Aspect Capital seems to find the system exaggerated stating that his firm had observed only restricted useful applications for the same. However in other fields machine-learning has the possibilities of game-changing and there is no reason in expecting finance to be changed.

 As per a machine-learning fund manager, Jonathan Masci of Quantenstein, years of work on rules-based approaches in computer vision, telling a computer on how to recognize a nose for instant were instantly eclipsed in 2012 by machine-learning processes which enabled computers to `learn’ what a noses looked like from examining millions of nasal pin-ups.

Likewise a machine- learning procedure, according to Mr Masci has to beat conventional trading strategies depending on rules set by humans.

Friday, May 12, 2017

How will GST Impact the Indian Real Estate Sector

GST

Impact of The Goods & Service Tax - GST 


The most ground-breaking tax connected reforms in some decades to be seen in India is the Goods and Service Tax – GST that will eradicate the incompatible as well as mounting taxation arrangements which have confused various industries over the last few decades.

 It would positively tend to have a deep effect on the economic prospects of India. An individual indirect tax covering the goods and services would tend to increased tax collection in the long run by making it simple for retailers together with many other businesses in complying as well as regulating the overall taxation stages. The favourable outcome of this new taxation administration would only become apparent within 2-3 years after its implementation.

 In spite of the announcement of the tax structure of the goods and services tax – GST, a lot of speculation would be there with regards to tax rate being applicable to the real estate as well as construction industry. It would be untimely to comment at this point of time since the tax rate has not yet been decided. Prospects for the real estate would be in the bracket of 12% but the GST rate does not seem to be the only significant element.

GST – Tax Neutral/Tad Adverse

It is a known fact that real estate sector tends to play a vital part in employment generation in India and ranks second after agriculture. The significance of real estate segment is comprehended with its average 5-6% GDP contribution as well as stimulating demand for over 250 subsidiary industries.

The real estate segment is said to have a considerable growth of about 22% in its private equity reserves from 2015 to 2016. During the third quarter of 2016, there was an increase of 9% in investments for residential properties from previous quarter.

The reduction rules for developers applicable under service tax system together with the input tax credit facility would be determined if the effective tax incidence on real estate would be lower or higher under GST. Meritoriously the composition system enables reduction against the cost of land up to 75% of the cost of the house for residential units at a price under I crores IND and less than 2000 sq.ft. tends to make the effective rate at 3,75%.The reduction in other cases seems to go below 70% thus making the effective rate at 4% which will go a long way in defining whether GST would be tax neutral or tax adverse in the case of real estate.

Uncertainties to Rental Housing Market

Some clarity on reduction for under construction houses as well as input tax credit benefit for developers has been offered by the government. Considering the residential property sector, the sales have not only been obstructed by tax rates but also by sentiment as well as on account of the trust deficit that the Real Estate Regulation & Development Act or RERA, it now seeks to report. Under GST, if cost tends to go higher, the lower prevailing current home loan rates to some extent could ease the impact.

Investors and buyers together with the developers are reasonably anxious that the final ticket size of the homes would escalate if the Government levies GST at 12% as against the prevailing service tax rates. Further clarity on this is anticipated by the developers though they are aware that it is in the interest of their business in keeping ticket sizes range-bound.

Developing market dynamics have already made a change in a way the developers tend to work. Other uncertainties relate to the rental housing market that would logically be the obstructed if the Government tend to tax residential leases under GST.

Rental Profit/Capital Value Appreciation

The common anxiety is that should this occur, the rental housing segment would see a big slump over the medium-term as residential leases are not taxed at all presently. It is appropriate to note that the residential leasing could be an essential demand that would not disappear just by increased taxes.

 Undoubtedly, we could be viewing at rental lack of progress or marginal decline while the market readapts to the new dynamics that GST would permeate. Rental housing demand however tends to be sticky and end-user-driven in nature. Hence we are certainly not watching for major slump in this sector due to GST even if it does not tend to tax residential leases.

Nonetheless it is true that most of the investors in the residential segment do not tend to invest for rental profit but for capital value appreciation and so reduced rental profits would not freely control sentiment. With regards to the impact of GST on the commercial office real estate market, with the prevailing service tax for commercial leases at 15%, GST overall would be probably neutral.

Presently reasonably priced housing has been exempted from service tax and it is possible that the government would come out with a clarification with regards to the applicability or tend to continue the exemption under the GST.

Tuesday, May 9, 2017

How Can I Enhance My Company's Conversion Rates?

One of the business owner's primary concerns is determining how to optimize the company's conversion rates. If you're currently thinking about strategies you can implement to enhance your organization's bottom line, it's important to remember that there are hundreds of options available to you. Here are three of them:

1. Utilize Consulting Services.

One of the best ways to improve your company's conversion rates is by utilizing business consulting services. These services will ensure that you have a team of business experts carefully analyzing every element of your company to ensure that it is functioning optimally. Any errors detected will be corrected so that your organization can maximize efficiency. Once this happens, you can expect to see a substantive increase in your conversion rates. Companies such as Predictive Service are pleased to offer clients dynamic reliability consulting services to keep their organizations going and growing.

2. Invest In Digital Marketing Services.

In addition to utilizing consulting services, make sure that you start investing in digital marketing services. This step is immensely important because we now live in a digital world. Given that people are now using mobile devices and PCs to shop and purchase items online, you want to be able to connect and convert people through the internet sphere. Some of the digital advertising services that may prove particularly beneficial for your organization include:

  • web design and development
  • social media optimization
  • online reputation management
  • search engine optimization
  • blog work

Another digital advertising service that can be particularly beneficial for your organization is content marketing. This service is empowering because it ensures that all of your online content is innovative, information-rich, and engaging. Some forms of online content that you'll want to optimize include blog posts, web articles, and videos.

3. Implement Customer Relationship Management (CRM) Software.

One final conversion rate optimization technique that you may want to implement is the use of CRM software. This software helps your sales and marketing staff optimize interactions with customers, thereby increasing the likelihood that they will make purchases and be loyal to your brand. For example, CRM software enables your employees to keep detailed records of each conversation they have with clients as well as the purchases made by the customer. This information will help them market new products more effectively!

Don't Delay: Start Optimizing Conversion Today!

There are millions of things you can do to increase your company's bottom line. Three conversion optimization strategies you may want to consider implementing include utilizing consulting services, investing in digital marketing services, and implementing CRM software!

Wednesday, May 3, 2017

GST not to increase compliance burden, says Hasmukh Adhia

Hasmukh Adhia
GST Not to Increase Compliance Load

Hasmukj Adhia, Revenue Secretary has informed that the GST would not increase compliance load on assessees, regarding the same are misdirected. He had stated while addressing netizens on Facebook that several people are of the opinion that the implementation of GST would end in increase in compliance cost which is totally misplaced.

 While explaining the basis he had said that people need tto keep various law books for the purpose of filing return for different taxes such as VAT, Excise etc in the prevailing taxation system. He went on to added that with the roll out of GST, there would be individual tax as well as accounting for which it would be quite easy.

It could be done via an offline excel form provided by the GST Network and if one intends to utilise this form for the purpose of maintaining record on the purchase and sales, he could utilise this for filing return and hence compliance would be reduced. Adhia leading the implementation of the Goods and Services Tax – GST had mentioned that the finance ministry has been gearing up for its roll out and a training comprising of five days has been already given to the officers.

GST to Be Implemented in July

He has also informed that an IT training is in the process for them. The intention of the government is to implement the GST from July 1 and the GST Council controlled by Finance Minister, Arun Jaitley had settled four rate classifications of 5%, 12%, 18% and 28% on merging levies such as central excise, service tax and VAT.

 Addition would be done by calculating the overall incidence of present taxation - central plus state levies and thereafter placing the good or service in the tax bracket nearest to it. Adhia also informed that the indirect tax load would come down in the new GST system. He said that there would be several goods and service that would be out of GST and would therefore offer advantage to common man with regards to taxes and the roll out GST would be tax neutral or there could be decrease of tax burden.

Regarding traders, he also informed that the tax filing would begin from the starting point level of Rs 20 lakh where the registration below the inception limit would not be essential.

No Harmonized System of Nomenclature 

He also informed that under PAN within one state only one registration would be permitted. For one business, no other registration would be permitted though there would be a need of single registration with regards to supply of production for more than one state.

For the purpose of coding, he mentioned that no Harmonized System of Nomenclature – HSN code would be needed in case of business turnover of Rs 1.5 crore. The Revenue Secretary also mentioned that on petroleum as well as alcohol products under GST, would not be under the new tax system till the time the GST Council tends to impose a rate. He added that in the near future, if the state agrees then petrol, alcohol together with natural gas would be coming under GST.

Tuesday, April 11, 2017

The Benefits of a 360 Degree Employee Survey

Let's face it, you don't always like getting feedback about your job performance. Even when you know it's coming, it can be hard to face the truth from your fellow employees. Add the process of taking a survey and it becomes even less appealing. You would think that great leaders are the best people at getting feedback, but this is definitely not the case.

Think about who gets told the most what they are doing wrong at your company. If it's anything like most other businesses, the higher you go up the totem pole, the less feedback you are going to get. Thanks to all of this, a 360 degree employee survey can be a huge benefit to your company. Here are just a few of the reasons why.

  1.  Puts how over what - Just because an employee is getting all of their work on time doesn't necessarily make them a great employee. They need to be doing it in a way that benefits both them and the company without cutting corners or taking the easy way out. One thing this type of survey does is ensure that each employee is following protocol correctly in their daily tasks because an organized company is a healthy company. 


  2.  Accountability - Everyone at a company should be held accountable for their job in the same way. Just because you have been promoted and advanced to a higher level in the company doesn't mean that you aren't held to the same high standard that you were when you were new.
     


  3.   Performance Enhancing - One great thing that a survey does is remind people of what the job requires, especially helpful for long-time employees at the business that may have grown stagnant and bored with their job. The survey can act as a refresher course that inspires them and makes them perform better in the future.

     
  4.  Improves Intra-office Relationships - Employees that are open and honest with each other build trust and the best way to do this is through an open dialogue.
     

These are just some the reasons that a 360 employee survey can be beneficial to both a company's leadership and lower-level personnel. Those looking into having a survey done at their place of business should contact a professional consulting group like Key Group Consulting. They have the knowledge and facilities to complete a survey for a company of any size.

Monday, March 6, 2017

How Fintech Is Increasing Financial Inclusion after Demonetisation

Fintech
Prospect of Personal Finance – Cashless/Paperless/Presence-less

Prospect of personal finance and money is being fashioned into three consequences namely cashless, paperless and presence-less. Due to demonetisation together with succeeding steps involved ever since attempts have been done by the Indian government in making the economy more digitized and less cash-dependent and the banking system is made more accessible.

 Being digital seems to be the quickest means of speeding up financial presence, ensuring that more individuals are brought under the domain of formal banking scheme, Moreover they can also take advantage from the linked benefits of insurance as well as investment. India has been a home to almost 50 crore million people who do not seem to involve themselves in formal banking either through saving account or a cell phone based payment scheme.

Digital execution means having a bank account and hence the challenge here is how you could get more individuals in opening bank accounts to provide them with digital benefits together with subsidies. When the government had been directing the country towards a reduction in the use of hard cash, people would need to have an account with the bank, together with internet connection as well as cell phone to operate the digital transaction. It is here that the roles of Aadhaar as well as the cell phone tend to get crucial.

Pilot Project through RBI

From the population of about 125 crore, around 109 crore have enrolled for Aadhar with at least 100 crore having cell phone number which is quite a large number than those having bank accounts which according to estimates would be around 70 crore.

With the combination of Aadhar together with cell phone it is advantageous of bridging the gap by around 30 crore unbanked individuals.The government has aided a pilot project, through the RBI which would quicken the opening of fresh bank accounts with the support of cell phones and Aadhaar.

Limited- functionality bank accounts can be opened by the customers utilising this system without the need of the usual stress of visiting a branch and submission of documents in completing the KYC process. With the aid of the Aadhaar linked cell number, their KYC can be completed by authenticating themselves via an OTP and one can open an account digitally, instantly, cashless, paperless, without the need of being physically present.

Process – Convenient & Easy 

This tends to be convenient and easy for the individual to complete the process in the comfort of his home and it is also great for financial service providers since the cost of customer acquisition tends to get condensed by relying on digital platform which have the capabilities of processing millions of account opening application simultaneously.

This will progressively be the type of account opening developments in insurance as well as investment sectors. Insurance providers have already been depending on the OTP system in authenticating new accounts through Aadhaar.

This development would be enhancing with the increase in internet penetration together with the availability of cheap smart phones. India has about 35 crore people, presently who are linked to the internet which tends to double every two to three years on an average and it is expected that by 2020, there would be around 70 crore Indians utilising the internet.

Monday, February 6, 2017

That Chip on Your Credit Card May Not Be Stopping Fraud After All

Credit Card
It's a different world, where the science and technology have registered some of the most magnificent developments and innovations, which are potentially, help the society in having a massive growth in almost all sectors. The advent of the computer and the internet are one of the major inventions of the scientific development, which have changed the world to a great extent and today we can find some sort of touches in almost all products and issues in our existing society.

While the primary sectors are getting huge supports from the computer technology; the financial sector also has seen some of the major breakthroughs in the operation and management of the financial instruments and data. The Credit card is considered as one of the important issues in the financial market, which is now being used by millions of users, throughout the globe, for ease and comfort.

Today the credit card or debit card are using as the avenue of the cashless transaction, which safeguards the malpractices and helps in efficient accounting purpose. It can be noted that the safety of using the credit card is getting the highest priority and several measures are being taken to get the utmost safety of the cards, which are often found quite inadequate and vulnerable.

Credit Card and Relevant Issues

It is now known to everybody that the transaction through these cards are quite popular among the people, especially in the younger generation, and there are lots of chips and other devices are being used in order to check potential frauds. But at the same time; the fact is that there are some problems inherent in these chips, which are essentially meant for the safety of the credit cards. In the present scenario, the security chips are widely used in the financial world and it becomes a bit difficult for the criminals to counterfeit any debit or credit card.

But in recent days, the fraudulent activities are on a rise and various criminals are now pilfering cash from the plastic card by using some different mode of operation, which is considered as a great threat to the general people, who are using the credit card for convenience and safety. The new study, done by the renowned research organization, Javelin Strategy and Research, has made some unique revelations in the frauds of the credit card, which are as follows:

  • The most common identity fraud has been rose about 16% in the year 2016, which cost individual an all-time high of USD 16 billion; 
  • About 15.4 million people are affected by this kind of fraud, which is about 6.15% of the total consumers and a 2 million more from the earlier year i.e. 2015;
  • While the study was not been done exclusively for the credit cards, but the researchers made it a point that the majority of these identity thefts are predominantly linked with to the credit cards; 
  • This escalation in fraudulent activities, which is about USD 700 million more than the previous year, seems to be unspecified.

Wednesday, February 1, 2017

Use These 12 Steps For Success With Your Regulation A+ Capital Raise

Capital Raise
In any business, the resource mobilization is a crucial and most important issue and people try their best to have some positive solution of this problem. The most natural form of resource mobilization is being done by the help of IPO, Venture capital or bank syndication, the Regulation A+ is helpful in getting the right kind of support in mobilizing the fund.

There are some steps to be followed for achieving Regulation A+, which are as follows:

  1.  It is always a tough issue in front of any business or project; as the seasoned investors are usually quite skeptical about investing in new ventures. Therefore, using the Regulation A+ could be the best option to get the required fund; 
  2.  The provision of dividend or royalty to the investor, broaden up the scope of getting fund from the targeted organization. Interest payments have been considered as a major issue in the Real Estate sector; 
  3.  These days, the crowdfunding is considered as one of the most encouraging and effective forms of resource mobilization and to get it done, one has to appoint a 360-degree marketing agency for this specialized job; 
  4.  It would be a great deal if a partnership can be cemented with a syndicate of broker-dealer, which could be helpful in getting an inroad into the world of potential investors at a single move; 
  5.  The required "Testing of water" has to be done for a short period of time, otherwise; the very essence of testing the market can be jeopardized, which will eventually not been helpful in getting the financial support from the investors; 
  6.  It is often found that some auditors delay the process by taking abnormal time to get things ready, therefore, the selection of the auditor has to be done with special care, which might be of great help for the funding; 
  7.  This can be noted that the SEC use to allow the company to go for "no-minimum" offerings, which is a great advantage for the company to get at least some forms of capital investment, which might not be possible if there is any minimum level being set;
  8.  It is always been suggested that the intended company should go for the offerings; once they have sufficient fund in hand to go forward, otherwise, the move can be disastrous and harmful; 
  9.  One should not be confined their approach in the domestic market, on the contrary, an international exposure is always a very good option for mobilizing the fund and may at a lower financial cost; 
  10.  The complex terms and conditions are usually being avoided by any potential investors, therefore a simplistic and transparent approach in this regard, is always helpful in getting the support from the investors; 
  11.  The important part of the Reg A+ is the minimum level of opportunity that is being offered to the potential investors, which any investor from any part of the globe to invest, as per the capability, to the project or business; 
  12.  Try the tier 2 of Reg A+, which provides the opportunity to raise from Zero to $50 million per year for the company.

Monday, January 23, 2017

Bitcoin exchange Coinbase gets money transmitter license in New York

Bitcoin
With everything getting digitalized, the life of every individual is also becoming digital. Internet has given the power to everyone to avail anything they want that too by just sitting at your house. So, digitalization has captured every sphere of the human life. Whether it is about paying bills or opting for shopping you can manage anything and everything from anywhere and in every situation, that’s the power of being digital. Cashless is also not a problem in this era of digitalization. I believe the world is getting powerful day by day with this new technique that allows you to overcome every obstacle.


The effect of digitalization can be mostly felt in the zone of finance. New firms have come up to become a part of the world market holding hands of digitalization. One of the major company that has joined in with the New York’s Financial system is Coinbase. Recently, The Department of Financial System, New York has declared that it has given license to Coinbase for genuinely transmitting currency and money. Coinbase is one of the renowned companies famous for its dealings in terms of currency operating in almost 32 countries. Maria T. Vullo, the Superintendent of Financial Services had made this announcement that Coinbase has maintained its record of efficiency in terms of technological developments and thus New York’s Financial Services Department have decided to incorporate the company in their money and currency transmitting process.


A review of Coinbase’s technology was conducted by Department of Financial Services which involved the companies laundering process regarding anti-money, capitalization, protection of consumers against any piracy and also policies in terms of cyber security. The company Coinbase is constantly under the supervision of Department Of Financial System for offering services such as buying, selling, sending, storing bitcoin and receiving.


The company’s Chief Executive Officer Brian Armstrong declared that their first and foremost priority is to provide the safest and easiest way of currency exchange that too in a digitalized manner. So, that the customers can rely on them and do not have to experience any discrepancies from the company’s end. It is their way of maintaining a good relationship with its customers. Since, Coinbase in now a part of New York’s Financial System, hence, it has become a much known company in the field of currency transfer. The users can feel free to use them in times of their need and they assure you to provide satisfaction from all ends.


With the increasing need of transmitting currency, The Department OfFinancial System, New York has given license to several other money and currency transmitting firms like Ripple and Circle Internet Financial and trust charters to Gemini Trust Company, Winklevoss brothers are its founders and also itBit Trust Company. The Department before granting them license have fully enquired about these respective companies and after being satisfied have granted them license. These companies have come up to provide the best answer to digitalization and will add up in making life much easier for every human being.







Monday, January 9, 2017

Dollar retreats from 14-year highs, investors unpack Fed minutes

dollar
 
As the value of dollar fell against euro and yen the investors became cautious regarding increase in bets on greenback without any hints with respect to the economy of U.S. and the hike in rate of interest. The very first day of trading in 2017 for several investors was full of expectations as they met with U.S. manufacturing data which was way different from the previous days. Since, the depreciation of dollar was the highest till date.

The Federal Open Market Committee that met in December, had warned everyone of the risk of increase in inflation after President Donald Trump’s proposal of fiscal influence standards that would shift dollar and will push up euro to $1.0499, which is its highest value declared. But as the investors changed their ways, euro started tracing profits to some extent.

Joe Manimbo, a senior market analyst at Western Union Business Solutions in Washington has intended that this decrease in the value of dollar in comparison to euro and yen have led to mixed reactions as in a way it sounds optimistic in terms of the economy, and on the other way it suggests a demoralized power of dollar.

Research have shown that the last time the value of euro increased by 0.6 percent at $1.0465. The current data shows that such a quick increase in the value of euro in December was unexpected and the surveys prove that due to this the growth in business have reached new heights in more than five years.

The dollar was last seen to be down by 0.2 percent against yen at 117.51 after an overnight hike of 118.17 yen. After Trump was elected as the President dollar has increased against many currencies with an expectation that administration under him will push up inflation, leading the Federal Reserve to follow up through a hike in rate of interest.

The Mexican peso was found to be striking the lowest level against the greenback, it fell more than 2 percent to 21.62 pesos per dollar with an intention that Trump’s policy might allow the protectionist U.S. trade policy to become a reality.

The Chinese yuan was increased to 6.8707, which was its highest value recorded against dollar since 6th December. As a result China went into both onshore and offshore markets to increase the depreciating yuan for the second time. China was also found to set the onshore middle point rate much lower than the market actually expected from it which lead many investors leaving the ground, who were intending more upcoming weaknesses in the currency, positioning in the negative direction, this was propagated by Greg Anderson, who is the global head of foreign exchange strategy at BMO capital Markets.

Thus, we can relate that how the marketing strategies as well as the position of investors are subjected to change with fluctuating value of currencies that on a longer run effects the entire economy of the country both positively and negatively.