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VIX Doesnt Work as Signal for Stocks

Wed, 17 Mar 2010 22:08:00 -0400

(Bloomberg) -- Investors looking for clues about the U.S. stock market should probably ignore the Chicago Board Options Exchange Volatility Index, according to a study of the VIX by Birinyi Associates Inc.

Speculation that equity returns will be positive after the volatility gauge decreases and negative when it climbs has little basis in fact, Birinyi said. The VIX provides a summary of historical price swings and tends to move in lockstep with equities instead of forecasting their direction, the firm found.

The VIX is alleged to be an indicative indicator and has become a staple of analysts and journalists alike, Laszlo Birinyi and analyst Kevin Pleines wrote in a report to clients yesterday. We respectfully disagree and ultimately conclude it is a measure of current volatility with little or no predictive or indicative value regarding the course of the market.

The Standard & Poors 500 Index gained an average 0.1 percent in the month after the VIX slipped 20 percent below its 50-day mean on 12 occasions since 2003, according to data compiled by Birinyi. Stocks were 0.5 percent lower after two months and 3.3 percent higher after three, the data showed. When the VIX climbed 20 percent above its 50-day average on 18 occasions, equities increased after one, two and three months, then dropped after six, the study found.

Coincidental Indicator

The VIX is a coincidental indicator, Birinyi wrote. It details, perhaps better than other measures, the volatility of the market today but not tomorrow or the day after.

Traders use the VIX as a gauge of investor fear because its derived from the cost of options that insure against losses in the S&P 500. The research by Birinyi Associates in Westport, Connecticut, shows the VIX may work as a contrarian indicator, signaling investors should buy shares when it rises, though the correlation breaks down after three months.

Using the index to show when surging levels of concern may give way to rallies is a conventional tactic in securities markets, according to David Darst, the New York-based chief investment strategist at Morgan Stanley Smith Barney, which has $1.6 trillion in client assets.

Theres this famous phrase on the floor of the CBOE: When the VIX is high its time to buy, and when the VIX is low its time to go slow, Darst said in a telephone interview. Thats been a famous traders rallying cry for years and years.

Two-Year Low

The VIX fell 18 percent this year to 17.69 through yesterday, and slipped 5.3 percent to 16.75 as of 11:14 a.m. in New York today, the lowest level since May 2008. Thats below the average reading of 20.3 during the measures two-decade history. Options are derivatives that give the right to buy or sell assets at a set price by a specific date.

The S&P 500 has increased 4.5 percent in 2010 and is up 72 percent since declining to a 12-year low on March 9, 2009. The VIX has retreated 66 percent during the rally, according to data compiled by Bloomberg.

The index is supposed to gauge investor expectations for market swings over the next 30 days using a formula that incorporates implied volatility, a key measure of options prices, for S&P 500 Index puts and calls that are one or two months from expiration. Puts give owners the right to sell an underlying security, and calls convey the right to buy.

I wouldnt use it as a prospective forward-looking tool simply because the market is inherently unpredictable, said John Carey, a Boston-based money manager at Pioneer Investment Management, which oversees more than $200 billion. I look at the VIX and some of those other charts from time to time. Its certainly one of a number of measures of market mentality and market emotion.

Birinyi, a research and money-management firm that oversees about $300 million, analyzed the VIXs performance since September 2003, including six periods of extreme volatility. The following is a table of the S&P 500s average gain or loss during periods after implied volatility climbed above or fell below the 50-day average:

VIX Doesnt Work as Signal for Stocks is a post from: Before You Invest Your Money

Cotton Too Cheap to Draw Significant New Acreage

Wed, 17 Mar 2010 22:05:00 -0400

(Bloomberg) -- The global cotton market will remain tight through the next crop season as futures prices are too low to induce farmers to significantly boost the area that they devote to the fiber, Olam International Ltd. said.

The December contract needs to rise to about 85 cents a pound to attract the planting needed to produce a surplus big enough to replenish stockpiles, said Cliff White, senior vice president at Olam, one the worlds three biggest cotton traders. December cotton ended at 75.07 cents in New York yesterday.

The global cotton market has been in deficit since 2006, according to the Department of Agriculture in the United States, the worlds biggest exporter. Prices may remain high from May to June as the next U.S. crop is planted, said White.

The December price is too cheap for the new crop to attract significant acreage, he said in a phone interview from Richardson, Texas. White is also the president of the International Cotton Association, which groups more than 300 producers, buyers and traders.

The most-actively traded contract on ICE Futures U.S. has surged 90 percent over the past year as the global economy moved out of recession, and the May contract traded today at 81.45 cents a pound. Futures touched a two-year high of 84.6 cents on March 1 on growing demand from mills.

Cotton Too Cheap to Draw Significant New Acreage is a post from: Before You Invest Your Money

Organizing Tips for Small Business Success

Wed, 17 Mar 2010 20:02:00 -0400

If you discovered the bottom line in your business depended on the organization in your office, your reaction could range from complete composure to sheer terror. Organization certainly has an effect on your bottom line - and just as significantly - on your peace of mind. For the small business or home office professional, effective organizing can mean the difference between business failure and success. For the 11.1 million workers who have their offices at home, organization skills can have a significant impact on their personal lives as well.

At no time in history has there been a greater need for getting organized. There are three major reasons for this:

Information is accumulating at a faster rate every day. The speed of the microchip doubles every 18 months - with no end in sight. Every day we are bombarded with new opportunities and challenges. Having the right information at the right time can turn a prospect into a client, a disaster into an opportunity.
Not only do we have more to organize, but the demand to organize it continually increases. Computers, fax machines, cellular phones, and on-line services enable us - and require us - to do more than ever before. If I can e-mail you a question in 20 seconds, why can't you respond with equal speed? And if you don't, I'll move on to your competition!
Small businesses owners rarely have sufficient cash flow to administrative assistants to keep them organized, so they are faced with organizing themselves. Support staff that are available are given more and more responsibilities. Many entrepreneurs have no support staff. Streamlining procedures and eliminating unnecessary steps to minimize personnel time required to complete each task is essential.

Organizing effectively requires continually asking the questions: "Is this the best way to do this?" "Is this the best time?" "Are these the best people?" Let's look at six aspects of organizing any small office or home office:

People
Finances
Information
Things
Space
Time

Identifying the right person to do the right job is a key component to reaching your desired goals. That assumes, of course, that the desired goal is clearly defined and measurable! (If not, return to "Go!") If your company has a "staff of none," you have to wear a lot of hats. Outsourcing aspects of your business, from word processing, mailing, or bookkeeping to sales, marketing, or project management, is often very cost effective, and good organizing skills will significantly increase your ability to use that avenue. Using family members in your business can be a good strategy - and tax deductible. (My children started doing my filing when they were 10 years old!)

Lack of capital is often cited as one of the biggest causes of failure in a small business. Great ideas and products without solid financial planning, and more importantly, effective execution of that plan, will never reach the marketplace. It's often easier to save money than to earn it - keep those overhead expenses at a minimum. And it's cheaper to keep a client than to get a new one, so take good care of the ones you have (unless your client is expecting you to give an unrealistic discount because of longevity - in which case you may be better off finding a new!)

Research shows that the average person spends 150 hours a year looking for misplaced information. Identify what information you need to provide the products and services your company offers. Take a proactive approach. Don't wait until the filing cabinets are too full to file, but there's no time to make decisions about what to throw away! A few hours with an organizing consultant before there is a problem can prevent weeks of grief later on.

Many offices are filled with things no one uses, while unnecessary time and energy is spent looking for things you really need. Identify a "Office Organizing Day" - wear comfortable clothes and order pizza for lunch for everyone. (Give that old printer to a school or non-profit organization that doesn't have any - and, as a bonus, write it off as a tax deduction!) Repeat the event annually as a good business practice.

Offices everywhere are getting smaller. Organizing space requires arranging things in such a way that everyone can easily use the right thing at the right time. The best source of additional space are often the walls. Bookshelves, open shelf filing systems, and workstations with "working walls" can be a major boon to the perennial space problem. If you're working at home, make sure your "home office" is a place you love.

Creative minds (a requirement for any successful business) always have more ideas than the physical body can carry out. Recognize that fact and spend time planning to identify the most crucial activities. Working smarter, not harder, is in the best interest of business and family. The carpenter's axiom - "Measure twice; saw once" - is good advice for any business.

My definition of organization is very simple: Does it work? Do you like it? And, if what you do effects other people (and it will if you plan to stay in business), "Does it work for everyone?"

How long will it take to get organized? It doesn't matter - just start! The longer you wait to begin, the more time it will take, and the more difficult it will be. Remember that in any organizing process, things will sometimes feel worse before they feel better. To manage change is difficult. Human behavior is not like computer software, it cannot be installed. It has to be nurtured. It takes time to learn new behavior patterns. Forgive yourself when you miss the mark. The rewards of good organizing skills will be well worth your efforts!

Future Africa Recommends Strategic Planning for Business Africa and Consulting Change Management Consultants Africa

Author:
Barbara Hemphill is the author of Kiplinger's Taming the Paper Tiger at Work and Taming the Paper Tiger at Home and co-author of Love It or Lose It: Living Clutter-Free Forever. The mission of Hemphill Productivity Institute is to help individuals and organizations create and sustain a productive environment so they can accomplish their work and enjoy their lives. We do this by organizing space, information, and time. We can be reached at 800-427-0237 or at www.ProductiveEnvironment.com

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Miami lawyer who orchestrated a $1.2 billion Ponzi scheme helped federal agents nab a reputed Italian mafia figure living in Florida

Wed, 17 Mar 2010 07:32:00 -0400

Miami lawyer who orchestrated a $1.2 billion Ponzi scheme helped federal agents nab a reputed Italian mafia figure living in Florida, authorities said.Scott Rothstein, 47, set up Roberto Settineri, who is wanted on organized crime charges in Palermo, Italy, The Miami Herald reported Tuesday.Settineri, 41, was arrested last week at his home in Miami Beach.Wearing a wire that linked him to federal agents, Rothstein allegedly talked Settineri into destroying two boxes of documents and laundering $79,000 from Rothstein's investment scheme, a source close to the case told the Herald."He knew Settineri. He was able to chat up Settineri," the source said, speaking on the condition of anonymity.Settineri allegedly has ties to the Palermo crime family and the Gambino mob family in New York.Rothstein's cooperation could enable him to receive special protection inside a federal prison when he is sentenced May 6 for fraud and money launderingMarc Nurik, Rothstein's lawyer, could not be reached for comment and Settineri's lawyer, Jeffrey Weiner, declined to comment.

Miami lawyer who orchestrated a $1.2 billion Ponzi scheme helped federal agents nab a reputed Italian mafia figure living in Florida is a post from: Before You Invest Your Money

This Day in Wall Street History 1915: FTC is founded

Tue, 16 Mar 2010 21:32:00 -0400

President Woodrow Wilson's first two years in the Oval Office were marked by a whirlwind of activity: the reform-minded former governor of New Jersey pushed an armload of programs through the legislative chain. One such initiative was the Federal Trade Commission (FTC), which, after being devised in 1914, officially began its operations on this day in 1915. Officially charged with curbing corporate actions that blocked competition and the free flow of international trade, the FTC also served to strengthen the ties between business and government. Not only did the agency aid exporters by keeping tabs on tariffs, it also threw its weight behind legislation that would sanction monopolies and trusts in the field of foreign trade. As some historians have noted, the FTC fulfilled Wilson's vision of a global fiscal order led by the United States and facilitated by "open" trade channels. Along with its far-reaching economic impact, the FTC also marked the further consolidation of power in the executive branch of the government, a trend that had been initiated earlier in the century by Theodore Roosevelt.

-Source: www.history.com

This Day in Wall Street History 1915: FTC is founded is a post from: Before You Invest Your Money

10 Step To Startup Success

Tue, 16 Mar 2010 19:51:00 -0400

Nothing is certain in business. Even with your great idea, thorough research and hours of work this rule will remain true. There is no way of telling if a new product will succeed, how investors will receive a start-up idea or whether a company will last past the one-year mark. However there are ways of increasing the chances of your business
success.

Whether it is trying to turn a web visitor into a customer, getting a purchase order out from a cold sales call or maintaining a stress-free lifestyle, you'll face a series of challenges and opportunities to make the leap to success. These steps will help you increase the odds of you beating the odds.

1. Build to Last

According to the SBA Office of Advocacy, over 50 percent of companies don't survive past four years. This is better that the outdated notion that 90 percent of start-ups fail in the first year. But the odds can still be against you, even if you plan for the long term.

However, serious startup entrepreneurs don't let those kinds of statistics stop them from realising their dreams. By staying focused and keeping the passion that runs in all entrepreneurs, you can survive through the bad times when others fail.

You can further improve your odds of lasting by building a strong management team. The foremost weakness many entrepreneurs have is they don't have strong, deep experience in the industry they are entering. You can overcome this shortfall by recruiting experienced team members, or getting experience yourself by working in your chosen field for a while before starting your business.

2. Get Investors

Venture capitalists fund just one of every 100 business plans they receive. Improve these odds by approaching the right investors. Check venture firm website to see if they invest in your industry and in companies at your stage of growth. If possible, get a reputable person to personally deliver your proposal. Someone the firm respects will get the attention of the venture capitalist, and the business plan
will at least get looked at carefully. Also, ensure that the presentation you give your investors is welled planned pout and delivered with passion. That will help you stand out from the pack.

3. Develop the Right Products

Most new products fail, primarily as a result of companies not paying enough attention to customers. You may develop a technology that does something faster or a little cheaper or maybe in a more high-tech way, but people don't buy products for those reasons. They buy products because they're the right tools for them. Research and talk with customers in depth and on an ongoing basis to find out what they need and, just as important, how to craft a story that convinces them your product is the one for them

4. Make Cold Calls

Only about 4 percent of cold calls are likely to turn sales. To beat these odds, you can generate better leads by carefully searching the market and warming up cold class with a blended marketing campaign of e-mail, regular mail and other channels. That should mean 12 percent to 20 percent of sales calls produce a hot prospect likely to buy. But sales will still come down to pure persistence. Finally, instead of just plowing through your cold calls, take time to listen to your prospects and allow them to express their needs.

5. Convert Web Visitors to Buyers

For every visitor who buys from the typical e-commerce website, 40 leave without ordering. Conversion rates for most websites are stuck in the low single digits. For the past few years they have been hovering around the 2.5 percent. What entrepreneurs need to do is build visitors' confidence and trust while measuring and testing to find ways to make navigation more intuitive. Also, highlighting key information areas such as shipping and return policies can increase conversion rates.

6. Reduce Turnover Costs

To replace an employee lost to turnover, it can cost from 50 percent to 300 percent of that employee's annual salary. Costs can be less for lower-level employees and highest for senior executives, but which ever way you look at it, turnover is no bargain.

If the area where you're business is located is sparsley populated or if you don't think the staff you are hiring will work out, and so you don't train them properly try outsourcing. Hiring well-trained motivated contract workers from around the country is one way of coping with a high turnonver.

Another way to reduce turnover costs is by training and cross-training employees thoroughly and developing career paths to keep them engaged.

7. Finance Yourself

Many a start-up entrepreneur has asked a bank for a loan only to leave shaking his or her head with the new-found knowledge that banks wont readily loan to companies that aren't established. Breaking this paradox requires starting small with whatever you can raise from other sources, growing gradually and building up both assets such as accounts recievable and your own personal equity in the business. This will then put you in an attractive position in the eyes of the banks.

8. Raise Your Net Profits

The average sole proprietorship returns just 21.5 percent of revenue as net profit. But startups can boost profitability by picking industries with better-than-average margins. Look towards emerging industries where demand exceeds supply and where they typically have high profit margins. An good example is the PC industry in the early years.

9. Put the Banker on Your Side

According to the U.S. Government Accountability Office,minority- and women-owned startups are significantly more likely to be denied credit. One way around this obstacle is to find a banker you can relate to and develop a personal relationship.

Recruiting a banking advocate can help overcome a lot of red tape and inertia.

10. Balance Work and Life

After staring a business, entrepreneurs are often challenged to maintian a life. A 2005 survey by Wells Fargo Bank and The Gallup Organization found that 57 percent os small-business owners work six days a week; 20 percent work seven days. The average workweek was 52 hours, and 14 percent took no vacation. But entrepreneurs can beat stress, as 67 percent were content with their work-life balance, and 84 percent would do it all over again.

Involve family and friends to create a support group, and join local organizations where you can find kindred spirits, such as your chamber of commerce or the National Association of Women business Owners. Build work-life balance into your business plan by knowing your work tolerance and picking a suitable business. If the industry norm is working seven days a week then make sure you are aware of that.

Future Africa Recommends Strategic Planning for Business Africa and Consulting Change Management Consultants Africa

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Northern Trust CEO Waddell paid $11.9M, a 42% hike

Mon, 15 Mar 2010 22:55:00 -0400

(Crain's) Northern Trust Corp. CEO Frederick "Rick" Waddell saw his total compensation for 2009 rise 42% to $11.9 million, including a $2-million cash incentive plan payment.

His 2009 salary increased to $900,000 from $856,250 in 2008, when that salary was the only cash payment Mr. Waddell received. Total compensation for the CEO in 2008 was $8.4 million.

Northern Trust has remained profitable throughout the financial crisis with the exception of the third quarter of 2008, and it reported record net income of $864.2 million last year.

In June it repaid $1.58 billion in preferred shares sold to the Treasury Department under the Troubled Asset Relief Program. Most banks that remain subject to the TARP program have interpreted federal compensation restrictions tied to it as precluding them from paying cash awards to senior executives beyond salary.

In addition to the cash payments, Mr. Waddell received restricted stock in 2009 worth $2.6 million and options worth nearly $5 million.

Northern Trust was founded in 1889 by Byron Laflin Smith and was run by his descendants until 1979. The Smith family continues to hold a substantial equity stake.

Northern Trust CEO Waddell paid $11.9M, a 42% hike is a post from: Before You Invest Your Money

Bank Chief Accused of TARP Fraud

Mon, 15 Mar 2010 21:49:00 -0400

The former president of New York's small Park Avenue Bank was arrested on fraud charges, one of the first such cases involving a TARP recipient. The bank was shut Friday.

Charles J. Antonucci Sr., the former president and chief executive of the Park Avenue Bank of New York, made false statements to regulators in an effort to obtain about $11 million from the U.S. government's Troubled Asset Relief Program, prosecutors said. He is the first person to be charged criminally with attempting to defraud TARP, the bank bailout program passed as the nation teetered on the verge of an economic meltdown in 2008, prosecutors said.

http://online.wsj.com/article/SB10001424052748703909804575123672347495854.html?mod=WSJ_hps_LEFTWhatsNews

Bank Chief Accused of TARP Fraud is a post from: Before You Invest Your Money

Love Your Business More Than Your Family

Mon, 15 Mar 2010 18:20:00 -0400

Centuries ago when I attended Harvard Business School, I took a course on entrepreneurship. The professor was a brilliant contrarian whose ideas have guided the creation of hundreds of successful and innovative businesses. He said something on the first day of class that has stayed with me ever since.

He asked us, "Will all the married students please stand up?"

About half the class got out of their seats, and the professor asked them to leave. He told them that a family would get in the way of their success, so there wasn't much point in them taking his course.

In the end he let them stay, of course, but he wasn't kidding. That was his way of making an important point: If you're going to be successful, you've got to love your business more than anything else--even your family.

I've been thinking about that lesson recently because Valentine's Day is coming up. It's a lovely idea--an entire day devoted to expressing how much you love the people closest to you. By all means, make it an occasion to show your spouse, kids, loved ones that you care. Then get your behind to the office because that's where you need to be. Your family will still be there when you get home.

The same goes for other special days, like birthdays and anniversaries. You should absolutely make note of them--but not by taking long visits to the country with your spouse or going off on weekend getaways. That's what jewelry is for. Or treat everybody to a steak dinner. It takes less time, so you can get on with running your business.

I think of that old professor of mine every time I meet clients who fail to be fully committed to the success of their business. If you are not focused--if family, friends and loved ones fill up your busy weekly schedule--you are probably failing to deliver real profits for your company.

Your cell phone is for keeping in touch with clients and sales managers in the field, not for taking calls from your spouse throughout the day about what groceries to pick up on the way home. Cutting out early to take your kids to baseball practice three times a week, or picking up your Aunt Tilly or Uncle Ned from the airport, are unacceptable interruptions to success.

You can keep doing these things and waste dozens of hours each week. Or you can focus on the financial future of your business and work all day, every day. You are the only person responsible for fixing your business and making it better, and that isnt going to happen while you take 14 personal phone calls a day and attend local Cub Scout meetings three-times a week.

Your husband or wife might squawk when you shut off your cell phone during meetings, and tell them only to call for an emergency. Johnny and Suzy might stamp their feet or pout when you don't make it to the baseball game or the ballet recital. But here's a news flash: They'd much rather enjoy great financial security than see you struggling for the rest of your life to make money that never comes.

Sometimes people who work from home tell me they have the best of both worlds; they get work done and spend time with the family. But I have found that, when pushed, they admit they are doing it half-heartedly, while watching a football game on TV with the kids or cooking the family dinner. If you can't be focused while working from home, don't bother.

Of course you have every right to a life, if you don't care about making money that is. You have your priorities, and I understand that. If you don't want to put your business before all other considerations, then prepare yourself for a life of financial mediocrity.

Love your business more than your family--it's not an easy or popular attitude to adopt. Often you will feel tremendous pressure to take time away from your business to devote to family matters. But in the end, the best thing you can do for them is to create the legacy of a business that is thriving and financially sound. When you're retired, wealthy, and able to spend Valentine's Day and other special occasions with your kids and grand kids at your winter home in Hilton Head, you'll be glad you devoted so much of your time to your first love: your business.

Future Africa Recommends Strategy Consulting Services Africa and Strategic Planning Resources Africa

Author:
George Cloutier is the author of Profits Aren't Everything, They're the Only Thing: No-Nonsense Advice from the Ultimate Contrarian and Small Business Guru (HarperCollins, Sept. 2009). He is the founder and chairman of American Management Services, a management firm that specializes in turning around small and mid-sized businesses.

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Toyota casts doubt on mans speeding Prius claim

Mon, 15 Mar 2010 16:41:00 -0400

Toyota cited "inconsistencies" Monday in the story of a man who called police for help saying his Prius vehicle was speeding uncontrollably down a California highway.

The story made national headlines last week after a local television station capture images of the blue 2008 Prius being towed away and the car's owner spoke to reporters about his harrowing experience.

The case added fuel to criticism that Toyota has failed to address potential electronic problems with its vehicles and that the mechanical fixes it is installing on more than eight million vehicles recalled worldwide due to problems with sudden acceleration.

"While our analysis is not finalized, Toyota believes there are significant inconsistencies between the account of the event of March 8 and the findings of this investigation," Toyota spokesman Mike Michaels told reporters.

"We're not calling him a liar and we're not judging what he did or did not do," Michaels said.

However, an analysis of the vehicle found that there were no problems with the car's brake override system which should have shut the engine throttle down if James Sikes had applied sufficient pressure to the brakes.

An analysis of the vehicle also found that the brakes became overheated after they were repeatedly tapped lightly while the accelerator was also depressed, Toyota said.

Federal safety regulators said earlier Monday that their analysis of the vehicle had failed to find any problems which could have caused the Prius to speed out of control.

Toyota casts doubt on man’s speeding Prius claim is a post from: Before You Invest Your Money

Arrelano Felix Organization (AFO) also known as the Arrelano Felix Family is a criminal enterprise based in Tijuana, Baja California, Mexico

Mon, 15 Mar 2010 14:55:00 -0400

Arrelano Felix Organization (AFO) also known as the Arrelano Felix Family is a criminal enterprise based in Tijuana, Baja California, Mexico. For more than 20 years, the AFO has shipped hundreds of tons of cocaine and marijuana to the United States; laundered hundreds of millions of dollars in drug proceeds; kidnapped, tortured, and murdered numerous persons, including informants and law enforcement personnel; and paid millions of dollars in bribes to government officials. The cartel nearly collapsed in 2002, after Ramon Arrelano Felix was killed by the police, and Brother Benjamin was taken into custody. However, the cartel has since seen resurgence in strength, power, and violence. And, with the recruiting of U.S. Government agents and others, the cartel continues to be a major player in all organized crime in Baja California.The remarkable thing about this case is one of the defendants is a high ranking current or former United States Government agent with ICE, little known fact that has not been brought to the attention of the public by U.S. Authorities. One high ranking Mexican official pointed out that they (the U.S. Government) may not realize it themselves.
Duarte was close to, and worked with, another corrupt U.S. ICE official Richard Padilla Cramer. ICE officials conspired as they murdered, or caused others to be murdered, as they invested cash in global drug deals endangering the lives of U.S. and Mexican law enforcement. Furthering the danger, they sold secret U.S. Government information to Mexican Drug Cartels (MDCs) and to the Mexican Government and ran huge cocaine trafficking operations. Feds reported Cramer joined the cartels full time after he retired from ICE. A former U.S. Government internal affairs agent who wants to remain anonymous told the U.S. Border Fire Report that defendant Armando Martinez-Duarte, was Cramers boss at ICE, may still be an employee of ICE and has been for years. The internal affairs agent claims that it is possible Duarte is acting covertly as a double agent.

Richard Padilla Cramer, a 26-year veteran of the U.S. anti-drug complex was arrested by DEA agents last month and is behind bars in Florida awaiting the results of a Federal Grand Jury investigation. Cramer was arrested and jailed after U.S. Government officials accused him of directing a massive cocaine shipment to Spain via the United States, and selling important information in law enforcement databases to a vicious Mexican Drug Cartel.
Cramer, as a high-ranking U.S. anti-drug official, held front-line posts both in the United States and in Mexico in the War on Drugs. Cramer, sometime later, was investing in drugs and trafficking as a full partner in Mexicos murderous drug cartels. According to records made available to this reporter, he led an office of two dozen agents in Arizona and others as the attach officer for Immigration and Customs Enforcement in Guadalajara, Mexico. Both Duarte and he, worked with the U.S. Mexican Embassy in Mexico City and U.S. Consulate offices in Guadalajara and other Mexican cities.

United States Attorney, Karen P. Hewitt, announced today that, within the last week, Jesus Chuy Labra-Aviles, Efrain Perez, Jorge Arrelano Felix, and Armando Martinez-Duarte pled guilty in United States District Court to charges arising from their leadership of the Arellano-Felix drug trafficking organization (AFO).
The defendants entered their guilty pleas before United States Magistrate Judge Cathy Ann Bencivengo, subject to final acceptance of the plea by United States District Court Judge Larry A. Burns, at the time of sentencing. The details of the defendants pleas are not known but here is what we do know:

Jesus Chuy Labra-Aviles: On October 15, 2009, Labra-Aviles pleaded guilty to conspiracy to distribute cocaine and marijuana and agreed to forfeit $1 million. Under the plea agreement, the United States will recommend 40 years of imprisonment. As part of the plea, Labra-Aviles admitted that from the 1980s to 2000, he was a senior partner in the AFO who frequently joined with Benjamin Arellano-Felix and Manuel Aguirre-Galindo to invest in and distribute large shipments of cocaine and marijuana. Labra-Aviles also admitted that he served as an organizer and leader of the AFO and that AFO members paid millions of dollars in bribes to law enforcement officers, government officials, and military officials. Sentencing for Labra- Aviles is set for January 4, 2010, 9:30 a.m., before United States District Judge Larry A. Burns.Armando Martinez-Duarte: On October 16, 2009, Martinez-Duarte pleaded guilty to conspiring to conduct the affairs of an enterprise through a pattern of racketeering activity. As part of his plea, Martinez- Duarte admitted that from the 1990s to April 2002, he was a federal law enforcement officer in Mexico who was paid by AFO leaders to leak information about AFO investigations, intervene with other law enforcement officers on the AFOs behalf, escort and protect AFO members and drug shipments, and help place certain individuals in ranking law enforcement positions in areas under AFO control. Sentencing for Martinez- Duarte is set for January 11, 2010, 9:30 a.m., before Judge Burns.Efrain Perez: On October 19, 2009, Perez pleaded guilty to conducting the affairs of an enterprise through a pattern of racketeering activity and conspiring to invest illicit drug profits. Perez also agreed to forfeit $1 million. Under the plea agreement, the United States will recommend 30 years of imprisonment. Perez admitted that from the 1990s to June 2004, he and Ismael Higuera-Guerrero, the top lieutenant to the Arellano-Felix brothers, were responsible for receiving large drug shipments in Mexico and smuggling them into the United States, coordinating the distribution of drug shipments within the United States, collecting drug proceeds, and policing Tijuana for enemies, suspected informants, and uncooperative government personnel. Perez also admitted AFO members killed numerous persons in furtherance of the enterprise. Sentencing for Perez is February 8, 2010, 9:30 a.m., before Judge Burns.
Jorge Aureliano Felix: On October 21, 2009, Felix pleaded guilty to conducting the affairs of an enterprise through a pattern of racketeering activity and conspiring to invest illicit drug profits. Felix also agreed to forfeit $1 million. Under the plea agreement, the United States will recommend 30 years of imprisonment. Felix admitted that, like Perez, from the 1990s to June 2004, he ranked as a top AFO lieutenant. Sentencing for Felix is set for January 11, 2010, 9:30 a.m., before Judge Burns.
According to federal officials the guilty pleas by Labra-Aviles, Perez, Felix, and Martinez-Duarte bring to eight the number of high-ranking AFO leaders who have been convicted since 2006 in the Southern District of California of federal drug trafficking and racketeering charges.
These four guilty pleas of top leadership figures in the Arellano-Felix Organization are the product of outstanding investigative and prosecutorial work over more than a decade. In achieving this success, we appreciate the cooperation provided by the Government of Mexico during the extradition process. But our work does not end here. The U.S. Attorneys Office remains committed to seeking justice against all drug traffickers attempting to exploit the southwest border, said United States Attorney Karen P. Hewitt.

With this guilty plea today, all agencies involved in this investigation have dealt a significant blow to the leadership of the Arellano Felix Organization, said Special Agent in Charge Ralph W. Partridge of the DEA San Diego. This should send a message to the traffickers that with the outstanding cooperation of the Mexican government, there is no place to hide, they will be brought to justice.
FBI Special Agent in Charge Keith Slotter commented, Todays guilty pleas are a result of thoughtful investigative work and cooperation between law enforcement agencies and we are pleased with the efforts of the prosecutors to see justice brought to these individuals.

Arrelano Felix Organization (AFO) also known as the Arrelano Felix Family is a criminal enterprise based in Tijuana, Baja California, Mexico is a post from: Before You Invest Your Money

First Chicago Bank ordered to raise capital

Mon, 15 Mar 2010 13:47:00 -0400

(Crain's) The Federal Reserve Bank of Chicago has entered into a written agreement with First Chicago Bank & Trust requiring the commercial lender to boost capital, only months after the California private-equity firm that owns the bank injected $43 million into it.

The March 8 agreement, which was reached jointly with the Fed and the Illinois Division of Banking and released Monday, also bars the bank or holding company from paying dividends or interest on subordinated debt or trust-preferred securities without prior approval from the regulators.

The $1.2-billion-asset Chicago bank also is ordered to reduce its concentrations of commercial real estate loans and stop accepting brokered deposits.
The agreement is the latest setback for First Chicago Bank & Trust, which is run by well-known Chicago banker J. Mikesell Mike Thomas and owned by Castle Creek Capital LLC, a California private-equity firm managed by First Chicago vets John Eggemeyer and William Ruh.

The bank posted a net loss of $93 million in 2009, $44 million of which was due to the writeoff of goodwill associated with Castle Creeks purchase in 2006 of Chicagos Labe Bank and Bloomingdale Bank & Trust to form what was later named First Chicago.

Following Castle Creeks $43-million capital injection last fall, the bank has enough to qualify as well-capitalized. But the banks holding company, First Chicago Bancorp, was undercapitalized as of Dec. 31, signaling the need for Castle Creek to raise more equity.

The written agreement orders the holding company to submit a plan within 60 days to maintain sufficient capital at Bancorp. Among the items the plan must address is the source and timing of additional funds to fulfill the consolidated organizations and the banks future capital requirements.

First Chicago Bank ordered to raise capital is a post from: Before You Invest Your Money

MannKinds Insulin Afrezza Fails to Win Approval

Mon, 15 Mar 2010 11:38:00 -0400

(Bloomberg) -- MannKind Corp., the biotechnology company run by billionaire inventor Alfred Mann, failed to win approval from U.S. regulators to market its inhaled insulin drug, Afrezza, for people with diabetes.

The Food and Drug Administration asked for more information about the medication, Valencia, California-based MannKind said today in a statement. While the regulators didnt cite any safety concerns, they did request updated safety data, the company said.

More than 20 million Americans have diabetes, which occurs when a patient doesnt have enough of the hormone insulin used to convert blood sugar to energy. Many of these patients take insulin and the company is betting that an inhalable product will have greater appeal to diabetic patients than injections.

We think the issues raised by the letter are completely addressable, said Matthew Pfeffer, chief financial officer, in a telephone call after the equity markets opened in New York.

Mannkind shares fell 90 cents, or 8.6 percent to $9.58 at 10:06 a.m. New York time in Nasdaq composite trading. Trading was initially halted on the stock, as the shares tumbled as much as 37 percent. That was the biggest percentage decline since April 9, 2008, after Eli Lilly & Co. dropped development of an inhaled insulin product.

Medtone Inhaler
The FDA raised issues about whether the inhaler used by Mannkind was comparable to the Medtone inhaler, Pfeffer said. Mannkind had planned to submit a new drug application for a next-generation inhaler in the second quarter, he said.

If we are allowed to incorporate this information on the inhaler in our response, we can stay on schedule for the commercial launch, the CFO said. He said both the timetable for the FDA to respond to the new information the company would submit or to a new application would be six months.

Mann formed MannKind from three other companies in 2001 and has lent the company almost $1 billion to finance clinical trials and make Afrezza the companys first marketed product. His efforts to gain approval and find a marketing partner for the drug have been complicated by the failure of other companies to develop viable inhaled insulin products.

New York-based Pfizer Inc., the worlds largest drug company, abandoned its inhaled insulin, Exubera, due to lackluster sales and later disclosed that some patients developed lung cancer in clinical trials.

Novo Nordisk of Bagsvaerd, Denmark, the worlds biggest insulin producer, dropped its effort in January, 2008, saying its inhaled insulin didnt offer significant advantages over new forms of injected insulin and had limited sales prospects. Eli Lilly & Co. of Indianapolis followed suit, abandoning its product two months later.

MannKinds Pfeffer said the company is in ongoing discussions with pharmaceutical companies that could partner with the company to market the drug.

Analysts are split on the companys prospects. Four of 10 analysts who cover MannKind recommend selling its shares and five urge buying, according to data compiled by Bloomberg. The one-year target price for the shares ranges from $1 to $26.

MannKinds Insulin Afrezza Fails to Win Approval is a post from: Before You Invest Your Money

How to Avoid Being Scammed

noreply@blogger.com (Everything Finance) — Mon, 15 Mar 2010 08:52:00 -0400

One sure-fire way to avoid being taken in by an unsolicited recommendation is to ignore itregardless of how it comes in. Someone claiming to be an unbiased observerwhether in a fax, email, text message or blog postcould very well be a paid promoter or con criminal. Especially online, a single person can use multiple aliases to create the illusion of widespread interest.

To steer clear of potential scams, follow these tips.

Consider the source. Never rely solely on information you receive in an unsolicited fax, email, text message or tweetor in a blog post or online thread. It's easy for companies or their promoters to make glorified, unsubstantiated claims about new products, lucrative contracts, or the company's revenue, profits, or future stock price.

Always ask: "Why me?" Another tip-off that you're potentially being scammed is that the message is unsolicited, which raises the obvious question: Why would a total stranger tell you about a really great investment opportunity? The answer is that there is no such opportunity. In many scams, those who tout the stock are corporate insiders, paid promoters or substantial shareholders who profit handsomely if the company's stock price goes up.

Exercise some skepticism. Scammers are very adept at making their pitches appear real, including the use of slick videos and Web sites. Be extremely wary of any pitch that suggests immediate pay-offs, especially if the investment involves a start-up company or a product or service that is still in development. Even technologies that show promise might be years or decades away from coming to marketlet alone turning a profit.

Find out where the stock trades. Most unsolicited recommendations involve stocks that cannot meet the listing requirements of a major national exchange, such as The Nasdaq Stock Market or the New York Stock Exchange. Instead, these stocks are usually quoted on the OTC Bulletin Board (OTCBB) or in the Pink Sheets. There are important differences between the OTCBB and the Pink Sheets and The Nasdaq Stock Market or a stock exchange. For instance:
There are no minimum financial and other quantitative standards that must be met by a company to have its securities quoted on the OTCBB or in the Pink Sheets. While OTCBB issuers must remain current in their filings with the SEC or applicable regulatory authority, many Pink Sheet companies have no obligation to file annual or quarterly reports or to publicly disclose current material information.

Many of the securities quoted on the OTCBB or in the Pink Sheets don't have a liquid market. Instead, they are traded infrequently and can jump up or down in price quickly. This can make it difficult to sell your security later.

Read a company's SEC filings, if available. Most public companies file reports with the Securities and Exchange Commission (SEC). Check the SEC's EDGAR database to find out whether the company files with the SEC. Read the reports and verify any information you have heard about the company. But remember that the fact that a company has registered its securities or has filed reports with the SEC does not mean that it will be a good investment.

Check out the person touting the stock or investment. A legitimate investment salesperson must be properly licensed, and his or her firm must be registered with the Financial Industry Regulatory Authority (FINRA), the SEC or a state securities regulatordepending on the type of business the firm conducts. To check the background of a broker, use FINRA BrokerCheck. For an investment adviser, use the SEC's Investment Adviser Public Disclosure Web site. Also, be sure to call your state securities regulator. You can find that number in the government section of your local phone book or by contacting the North American Securities Administrators Association (NASAA).

If a Problem Occurs
If you believe you have been defrauded or treated unfairly by a securities professional or firm, please send us a written complaint. And if you suspect that someone you know has been taken in by a scam, be sure to give us that tip. Here's how:

Online:
File a Complaint (for you)
Send a Tip (for others)

Mail or Fax:
FINRA Complaints and Tips
9509 Key West Avenue
Rockville, MD 20850
Fax: (866) 397-3290

Source: Finra.org

Some Ideas of A Successful Small Business

Sun, 14 Mar 2010 18:51:00 -0400

You surely know that a small idea can lead to a great business success. The first movement is to think of an idea that would be suitable for the business market. After coming up with the idea, the next step is to put that idea into action. Of course, this is a very difficult step and having the idea is only the start of the journey. After that you will have to face many obstacles before being able to carry on with your business project. This is just the beginning of this process and there is a lot of questions you will have to answer before even start.

Some of the main aspects you have to concentrate on when you have business ideas are the abilities and gifts you can pour into the business. It is very important for you to be identified with your business project. Those ideas should be based on activities and actions you take pleasure in doing. For example, if we suppose that you dislike working in the open, landscaping business would not suit you. On the other hand, if you like working with children, setting up baby-sitting or tutoring business would be an excellent idea. In this case, without any doubt you business will be more successful because you will have put your mind, effort and also your heart on it.

Another vital step is to analyze the needs of a specific product or service in your region before setting up your business. Do people of your area need your product? Are there other business like the one you are planning to start? You should ask yourself whether or not you are the only one offering that service or product. If you are not, you will have to analyze the competence you will have to face. You have to think whether the service you are offering is one that customer would repeat, or if it is a one-time specialized service. Obviously, the former are more likely to succeed than the latter.

There are other aspects you have to take into account. These aspects are described below:

One of them is that if the idea is unique, you will reign the market. But if there is much competition, it will be difficult to enter into the market.
A second point would be if you can offer quality from the very beginning, otherwise, you won't succeed.
Finally, you have to think about your capital to start your own business. There are many business ideas that require little investment and bring great profit. Some demand research, such as daycare service, and others need a large amount of money to begin the business. So take this recommendation into account before investing all your money in a small business idea.
Finally, you have to think about your capital to start your own business. There are many business ideas that require little investment and bring great profit. Some demand research, such as daycare service, and others need a large amount of money to begin the business. So take this recommendation into account before investing all your money in a small business idea.

Future Africa Recommends Business Modeling Africa and Project Management Business Consultancy Africa

Author:
Nikita Vadodariya, Did you find this article useful? For more useful tips and hints, points to ponder and keep in mind, techniques, and insights pertaining to Internet business, do please browse for more information at our websites. http://www.allhottips.com http://www.bookstoretoday.com

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Best Banks in India Career Wise

Sat, 13 Mar 2010 23:36:53 -0500

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Pros and Cons of having Credit Cards

Sat, 13 Mar 2010 23:35:11 -0500
Credit Cards are issued by banks and financial institutions. The card holder will be allowed a maximum credit line. The card holder can use it to purchase whatever he wants from the shops where the card is recognized. The price will be deducted from the card holders account on the due date, if the bill [...]
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Two Of The Biggest Keys In Creating The Online Business Success

Thu, 11 Mar 2010 18:36:00 -0500

Every day, there are hundreds of people that want to start a small online business. So they come onto the internet and try to figure out what they need to do to make some money. But most people seem to miss 2 of the biggest things about how to start a small online business. Let me explain.

People come online and start doing some things but they are totally clueless about what they need to do so they just start doing everything that they hear about. This leads us to the first key thing needed to start a small online business and have it become successful. You need to make sure that you are getting training from someone that actually knows what they are talking about.

There is lots of different training material out on the internet for someone to get a hold of but most of it is just crap. It is theories and ideas that have never really been tested or it is something that has worked once for one person but then never has been duplicated. This is not something that all that great if you are putting your time and money into learning this. So make sure that the system works.

The other thing that people seem to really have a hard time with when they want to start a small online business is that they build a website that is not conducive to making money online. Most of the sites that are out on the internet are not sites that are all that good for selling things, they are more of a brochure than an actual sales funnel.

And that is what you want when building a small online business, sales. You want products to sell and if the sales funnel that you have set up does not sell your product all it does is just talks about your product, you are going to have a hard time making money.

So the two biggest keys in creating online success is getting the right training and building sales funnels that actually sell your product. If you take those two things and apply them when you start a small online business, you will see the success that you are wanting.

Future Africa Recommends Essential Business Process Modeling Africa and Investing in Africa

Author:
Steven Downward, a successful online business is easier to achieve than most people think. Check out this YouTube video on How To Start An Online Business so that you will totally understand what steps you need to do to create the success that you want.

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Two Of The Biggest Keys In Creating The Online Business Success

Businesses cutting on cleaning expenses

Thu, 11 Mar 2010 11:14:59 -0500
Businesses are worried about their running costs every day. Businesses which are large can afford to continue with their day to day running expenses. But small businesses do have a tough time doing so. Janitorial Franchise offers a cleaning system program which sets a new standard for commercial cleaning.Small businesses are unable to run their [...]
Copyright © 2009 Small Business Resource

Businesses cutting on cleaning expenses

Going The Extra Mile to Business Success

Wed, 10 Mar 2010 17:46:00 -0500

You cannot fail when you give more than 100 percent. In whatever endeavor you are doing, always give more than one hundred percent. You will find that whenever you do this, your rewards will always be far greater than the extra effort you expended. Some people refer to this success concept as going the extra mile. What it means is that you need to give people more than they expect.

If you are working in your business and want to see it grow, the surest way to achieve it is by giving more. Customers are impressed when they discover a business that is innovative and gives them more than what they expected. Look for better and more efficient ways to do things. For example, make it easy to order from your site. Reduce the number of clicks to get to relevant information about your product or the order form.

Don't be afraid of giving information for free. This is a crucial step in the online world to building credibility and trust. A free report or a sample (or extract) from your information product will enable your potential customer to determine whether what you are offering is what they are looking for.

Always include some free (but valuable) bonuses with every product ordered. This also promotes the perception of getting more than what was paid for. In some cases, I have purchased products on the net because the free bonuses interested me more than the main product.

Ensure that your product delivery is quick and efficient. If you sell an information product, ensure that the customer can download it as soon as they have paid for it. Provide alternative download formats and locations so that all needs are catered for. Follow up a couple of days later to ensure they received their products without problems. If they had problems, resolve them straight away and provide an additional bonus to compensate for their inconvenience.

If your product needs to be shipped, provide your customer with alternative shipping methods. You customer can then choose how quickly their order is to be delivered and they can pay for the faster alternatives. Again, follow up to ensure they received their order on time and without problems.

Go the extra mile with customer complaints. This is an excellent opportunity to turn a disgruntled buyer into a life long supporter of your business. Acknowledge problems and resolve them quickly. Thank the customer for making you aware of them. You can be sure that if one customer has had a problem, then others have also had the same problem too.

For those working directly with customers, always give them more than they expect and you will generate more sales. Sometimes just giving a big, warm smile and courteous attention to the customers' requirements are all that is required. In the online world, prompt attention to email and courteous responses will boost your reputation and your sales. Spend the time to determine the customers' need and then you will be in a position to satisfy it. I stress to you be sure to concentrate on satisfying the customers need.

Have you ever been into a store and everyone is glum and does not want to serve you? Do you feel inclined to buy from them? No. But go into a store where they seem glad to see you and willing to help you and you feel far more like buying their products. The same applies to the online world. A well-designed web site with easy access to information will yield greater results. Make your web site user friendly!

Don't sit around waiting for people to buy. Ensure that your marketing communications ask for the order! Encourage responses through offering a strong guarantee. When someone makes a claim under your guarantee, honour it. This is part of the trust building process.

Make the effort to develop additional skills in your spare time. Studying about leadership or how to motivate people will always be of help in building your business. There is always something new to be learned when it comes to dealing with people and influencing them to buy.

However, never lose sight of your most important task right now - keeping your existing customers satisfied.

Future Africa Recommends Project Management Consultant Africa and Invest in Africa

Author:
Kevin Sinclair, CPA, of Personal & Business Success Resources. Visit his website at www.mlm.ksinclair.com.

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Copyright © 2009 Small Business Resource

Going The Extra Mile to Business Success

Home Business Marketing: Effective and Free Strategies

Tue, 09 Mar 2010 18:14:00 -0500

Home business marketing does not have to cost you lots of money. In fact, most of it can be done for free. I hardly ever pay anything to market my home business. "Well, don't you advertise?" you may ask. I do, but not in the ways that you are probably used to.

I have learned that effective marketing strategies are ones that fit my personality. They are ones that let me appear confident and happy. Otherwise, if I come across as nervous or stressed, why would that attract someone to my business? And that is exactly how I would seem if I were taking part in home business marketing methods that went against who I am.

I have also found that the most effective methods are free. Just throwing an ad up somewhere doesn't help people to get to know you. Before people become your customers, they need to know something about you and how you think. It makes sense. I like to buy from people I know something about and respect. Then I can feel good about supporting them.

I have found an effective (and free) marketing method to be writing articles, just like this one. As you read this, you have a glimpse into how I feel about marketing, right? You may be able to relate to what I am saying. That helps build trust. That is what you want to do with your business. You want to present it in a way that lets people get to know something about you and how you think. You want them to trust you.

Another great home business marketing tip is to do some guest blogging. Find other blog owners in your niche who would welcome you doing a guest blog post or you can even swap blog posts. That puts you in front of a new group of people that you wouldn't have access to otherwise. Of course, make sure your target markets are the same. Again, it's a free and effective way to market your business.

There are all kinds of marketing strategies that you can pursue for free and that will be effective. They may take a little time, but it will be worth it in the end.

Future Africa Recommends Business Management Articles and Business Management Consulting

Want to find out more about marketing your home business effectively? Sign up for Laurie's marketing course that is designed to guide you through creating a marketing plan that will fit your personality. See details at Home Business Marketing

Author:
Laurie Neumann

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Home Business Marketing: Effective and Free Strategies

Managing Your Personal Finances

noreply@blogger.com (Everything Finance) — Tue, 09 Mar 2010 16:04:07 -0500
Because 2009 was such a challenging time for those trying to manage their personal finances, millions of people have decided to make important financial changes in 2010 so that they can lower their debt load and get their finances back on the right track. If you are one of the millions of people who have taken a financial hit due to the troubled economy, there are a number of things you can do to better manage your personal finances.

To effectively manage your finances, it is essential that you create a budget that is both realistic and manageable. Your budget should list all of your monthly expenses such as your mortgage payments, utility bills, childrens expenses, transportation costsetc. The expenses should be divided into fixed expenses and discretionary expenses. You can then write down the amount of your monthly take home pay. Then, subtract your monthly income from your monthly expenses to see how much extra money, if any, you have to work with. By doing so, you will be able make adjustments to non-essential expenses to better balance your budget.
If your expenses is greater than your income, you should come up with ways to cut costs For instance, you can reduce expenses by taking advantage of sales, using coupons, and buying generic products instead of brand name products. As well comparison shopping for the best price on products and services will significantly cut down on your expenses. For example, you can cut down on your insurance costs by going to an insurance website and use their free insurance quote search tool to get a number of different insurance quotes from different insurance providers. As well, if you have a large debt load that includes a mortgage, several credit cards, and loans, you should consider debt consolidation as a way to lower your interest rates and monthly repayments.
When it comes to your personal finances, it is important to implement measures to keep your debt under control, especially during difficult economic times. Prudent financial planning is essential to managing you finances, reduce your debt load, and live within your means.

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

What is the Best New Small Business to Start?

Mon, 08 Mar 2010 17:28:00 -0500

When thinking about starting your own business the first and most important question most people will ask is which one to pursue? What business will allow me to reach my goals and find success? While there are many options and countless types of organizations, there are three emerging fields that show the most promise in the coming decade. So what is the best new small business to start? Try these ideas:

1. Go Green

More and more people are moving to environment-friendly products that reduce their carbon footprint and keep their families and pets safer and healthier in the process. Products that offer value and fill the need for green will sell to a waiting public. Look to environmentally-safe cleaning products, clothing, home design, recycling, and small manufacturing without chemicals for ideas.

2. Provide a Service

As our society becomes more complex and fast-paced, the need for more specialized services creates many new opportunities for small businesses. Senior care, pet services, retirement planners, life coaches, anything that makes life easier for busy moms and dads on the go, and countless other niche services will all grow in need over the next decade. Find a service that you are passionate about and develop that business.

3. Master the Internet

The last great frontier in business is the World Wide Web. This amazing technology levels the playing field for small businesses as they are now able to compete with the big boys because of the Internet's global reach. Affiliate marketers; freelance writers, programmers, and developers; outsourcing of many types; and online direct sales are all growing and prospering when done with knowledge and expertise.

Best Ways to Ensure Profitability

Remember the secret to a successful start-up is to solve a consumer problem, do it with skill, and become an authority in your niche. No matter what business you choose, do these things to make sure you are profitable...

Go Online - Whether you have a bricks-and-mortar company or an Internet-based business you need to have a presence online to be successful. There are numerous ways to profit online:

Advertise - there are paid and free methods to promote your business on the web
Brand Yourself - use the Social Media to create a memorable brand and to identify your company with your target market
Provide Value - your customers need to find real value in your web offerings (coupons, important news, free content, etc.)
Find a Mentor - Regardless of the path you take a mentor will make that road easier and ultimately more profitable by allowing you to avoid the mistakes that others make on a regular basis. A mentor can also help you create a more sustainable enterprise if he/she is involved from the outset and can help you find what is the best new small business to start. If you can form a mentor relationship with a knowledgeable person in your field you will gain insight that your competitors will not have, putting you in a more favorable position in your chosen market.

Future Africa Recommends Project Management Consultant Africa and Invest in Africa

Next, to see what is the best new small business to start and find the most profitable ways to market any company, visit us at http://www.FamilyTimeProfits.com Fill in your information in the box on the first page to get our FREE 11-day Online Marketing Boot Camp. On the second page make sure to watch the Step 3 video to learn how Internet newbies are creating success with the #1 online home-based business on the web today.

Author:
Keith Hartung strives to be a servant of God, a committed husband, and a loving dad. He is also a top internet marketer and home business coach, working with people around the world to create financial success in their lives by leveraging the power of the Internet.

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Copyright © 2009 Small Business Resource

What is the Best New Small Business to Start?

In Your Small Business, Listen More and Learn More

Sun, 07 Mar 2010 20:05:00 -0500

Spend more time listening in your home business. You may be surprised with some of the ideas people can come up with. Remember lots of people have great ideas and a great leader will listen and implement the good ones.

Without communication in your small business there is no leadership. It not only takes time to learn leadership skills but also to develop those skills. You not only need to have good verbal skills, but also listening and visual skills. These all make for a great leader.

Did you know that there are six facial expressions that are know world wide? They are happy, sad, fear, surprise, disgust and anger. If someone says to you, I have a great idea for your small business, and you reply with, Great, but have a frown on your face. You have just communicated to them that you really are not that interested.

Mind Drift!

The content of a message we deliver is made up of 55% visual, 38% audio, and 7% language. Only part of our mind pays attention when someone is talking, it is called mind drift. People talk 100 to 175 words per minute and they listen 600 to 800 words per minute. When others are talking, we tend to be thinking of something else. This is a huge problem when it comes to communication in your business. There is a way to counter act this. Read On!

Have you ever noticed that when you are listening to someone else talk, your mind starts to wonder off? Before you know it you forget half of what was said. To help stop this, ask a few questions along the way so people will keep focused on the conversation at hand. You will soon find that people will comprehend more of what you say.

Say you ask an associate to put an ad in the online classifieds for you. You tell them you want it to say, big sale just reduced our prices. When the ad comes out it says, prices reduced, no sale! That would defiantly be a lack of communication and would also hurt your business. A good rule of thumb is to put the ad you want published in writing, that way there is no communication loss.

A few very important things to master your leadership skills for better communication are:

Spend more time listening than talking.

Try spending more time listening to someone in your firm that has a great idea. You can implement that idea into your small business if you will really listen to the idea rather than talking. And if you are doing the talking, stop and ask the listener if they understood what you just said.

Never day dream while others are talking.

When someone is talking and we start thinking of something else our mind does not really hear what they are saying. Our mind just drifts along and all communication is lost. When you are doing the talking, ask them if they have any questions, this way you will know if they were truly listening.

Let others Talk once in a while.

Do not always dominate the conversation. Learn from what others have to say. Watch their body language, this will give you an idea whether they are receiving your information or not. You will not only be classified as a good leader, but a leader that people want to follow and your business will explode.

Confucius say: When you know something, say what you know. When you do not know something, say that you do not know. That is knowledge! With knowledge and good communication comes great leadership skills. Can you image how much better communication would be if listeners tried to understand first what someone is saying before trying to evaluate what they are talking about?

By learning how to communicate the right way and implementing some of these leadership skills into your small business, you are truly on your way to being a good communicator. In turn this will increase the success you have in your home business.

Future Africa Recommends Project Management Consultant Africa and Invest in Africa

Author:
Julianne Rowat, is an internet marketing entrepreneur. She has wrote other articles, press releases and has videos on motivation, self improvement, and FAQ about having an internet marketing business. Her husband is a retired fire fighter/ paramedic. They have 4 children and 6 grandchildren. They travel all around the United States in their motor home while working their internet marketing business. Their mission is to help others all over the world succeed in their own internet marketing business. You can read more about them in their blog at: http://www.juliannerowatsblog.com or check out their business at http://www.ultimatewealthfromhome.com

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Copyright © 2009 Small Business Resource

In Your Small Business, Listen More and Learn More

How to Avoid Investment Miscalculations

Fri, 05 Mar 2010 00:54:33 -0500
The first thing an investor must think of is how long he could invest his hard earned money. If he could invest it for more than a year, equities will be good. If it is less than a year, dont go for equities. Liquid Funds will do. Market has shown that equities do well in [...]
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Financial Problems Faced By NRIs

Fri, 05 Mar 2010 00:52:26 -0500
People face different financial problems. NRIs too, though they earn a lot more than their counterparts in India, come face to face with financially difficult situations frequently. Financial health of a person depends on his income and his spending. To avoid falling into a financially distressing situation one must foresee any untoward expenses and plan [...]
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How are Investments Taxed ?

noreply@blogger.com (Everything Finance) — Mon, 01 Mar 2010 08:24:00 -0500

Nobody likes a surprise from Uncle Sam at tax time. When it comes to taxes on your investments like capital gains and dividend income this rundown will start you off on the right foot.
Capital gains taxes You sold an investment at a profit in 2009; great! The tax rate on that profit mostly depends on how long you held that investment.

Length of investment Tax rate
Owned it <> Same as regular income
Owned it 1 year No more than 15%
Owned it > 5 years, but purchased it after 1/1/2001 No more than 10%

Dividend income tax Even without selling any investments, you might owe taxes on your investments. Generally, if you earned dividends from securities you owned in 2009, those dividends are taxable. If you had capital gains, dividend income, or both in '09, you'll see these amounts on a 1099 form provided by your broker.

The $10 exemption One handy thing to know: if all your 2009 capital gains and dividend income come to a grand total under $10, you won't owe tax.

Trimming taxes for 2009 You may be able to cut your '09 taxes by funding a traditional IRA before April 15. Most people can contribute up to $5,000. (Better to keep it than give to the tax man!)

More ways to trim The two simplest ways to lower investment-related taxes are:
Hold securities longer than a year
Contribute to tax-advantaged retirement or education account.
No matter your situation, you should talk to your tax advisor. Taxes are never simple, so walk through your own situation with them.

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

MFs dig infra for big bucks

Sat, 27 Feb 2010 05:11:00 -0500
The mutual fund industry didnt get anything from the finance minister, but that has not stopped them from exploring how they could work out some of the other proposals in direct taxes to their advantage . Though a sizable part of the industry was expecting the FM to scrap the tax arbitrage opportunity available to corporates investing in short-term debt products, he did not oblige.

Some mutual fund players were trying to figure out whether they could corner the extra Rs 20,000 investment that qualifies for tax deduction announced in the Budget. In addition to Rs 1 lakh under section 80C, an investor can invest an extra Rs 20,000 in long-term infrastructure bonds to claim tax deduction, the FM said in his Budget speech.

We are not sure whether we will be able to launch a product to invest in these bonds, said the chief of a private sector mutual fund. Since this is in addition to Rs 1 lakh, even our tax saving schemes wont be able to attract this amount, he added. MFs are unlikely to get this pie.

Even in the past, the government had allowed ICICI and IDBI to issue taxfree bonds, said another MF manager. The government is most likely to come up with a list of institutions which can issue such bonds in the near future.

Financial advisers are unanimous that the bonds will be useful for investors looking for long-term taxfree returns. However, they await details such as the lock-in period and interest rate before recommending them to their clients. They believe that the bonds could lose their charm if they have a long lock-in . However, the tax-free status, backed with government guaranty, would still make them hugely popular among risk-averse investors.
©2009 Copyright by Invest In India
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Slowly banks are raising fixed deposit rates

Fri, 26 Feb 2010 05:55:00 -0500
In the coming months fixed deposit can again be a good investment option as the deposit rates are on their way up. But the things will get better in fiscal 2010-11.

Last week HDFC Bank had raised its deposit rates by 25-150 basis points (one basis point equals one-hundredth of 1%) across various terms. Earlier this month, IDBI Bank and ICICI Bank had raised the deposit rates by 25-50 basis points for some maturities, while J&K Bank had raised rates by 75 basis points on deposits above one year. The public sector Union Bank of India is proposed to raise deposit rates later this week. More banks are likely to follow the suit.

According to analysts the bigger banks will join the bandwagon to remain in competition. Ashish Gupta and Deepak Ramineedi, analysts at Credit Suisse, wrote in a report dated February 22, With these rate actions, State Bank of India and ICICI Bank deposit rates are now at a 50-100 basis point discount (for some maturities) and they will now need to follow suit.

But big bankers disagree with it. OP Bhatt, chairman, SBI, said in Delhi that his bank will not raise deposit rates before May-June as it has surplus liquidity (the amount of free money it had to give out as loans).

By the end of December 31, 2009, the bank liquidity was whopping over Rs 75,000 crore.

MD Mallya, chairman and managing director, Bank of Baroda said, There is ample liquidity in the system. Hence, at the moment we are not looking at raising interest rates on deposits.

But Gupta and Ramineedi of Credit Suisse said that as loan growth (14.8% currently) accelerates and the central bank starts tightening money, this liquidity will also dry up soon. In the recent past banks deposit growth rates have declined as much as four-year low of 17%. Therefore, banks raise lending rates then deposit rates have to rise.
©2009 Copyright by Invest In India
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Slowly banks are raising fixed deposit rates

Best Future Retirement Plans for NRIs

Fri, 26 Feb 2010 00:13:00 -0500
Retirement planning is usually the most ignored saving motivator for NRIs. In future, NRI will not stay only at one place, till their retirement or change employers. NRI have to be mentally prepared for that. But the right age for the retirement planning is when they are young and are earning well. Whether they have [...]
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Best Future Retirement Plans for NRIs

International business currency exchange

Tue, 23 Feb 2010 04:06:29 -0500

International business currency exchange is a post from: Forex News

Make bright, the future of your child

Tue, 23 Feb 2010 04:03:33 -0500
In such a small life we want to achieve all those things which we have dreamed of and we impose our dreams on our children and wish that they also should achieve many more things in life. As parents its our first duty to secure future of our child. For securing future start planning from [...]
©2009 Copyright by Invest In India
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Make bright, the future of your child

FNBO Direct

noreply@blogger.com (Everything Finance) — Mon, 22 Feb 2010 08:57:17 -0500
Last week, a rep for FNBO Direct contacted me regarding some new programs that are being offered. They are currently participating in America Saves Week. Here are the highlights.

FNBO Direct is urging consumers to review their 2009 spending and to create a 2010 savings strategy by using our Savings Finder Calculator (http://www.pyfchallenge.com/). We are then encouraging Americans to jumpstart their savings plans by setting up recurring or direct deposits to save a portion of each paycheck . Additionally, we suggest some of the following steps :

Pay down debt by an extra $25 a month

Set up an Emergency Account

Set up a Medical Deductible Account

Establish a Car Deductible Account

Create a Vacation Account

Open a College Savings Account

Save Tax Refunds

Open an FNBO Direct Online Savings Account, Bill Pay Account or CD at www.fnbodirect.com

To help facilitate saving, FNBO Direct also launched POPMoney, our Person to Person payment service (https://www.fnbodirect.com/popmoney/).
Need to split the check for lunch, throw in for the office party, or send a cash birthday gift? POPmoney is a simple, convenient and secure way to send and receive money using your FNBO Direct accounts.
Send mobile and email payments directly from your FNBO Direct accounts.
Received money? Deposit it into your FNBO Direct accounts.
Free yourself from the hassle of check writing and bank visits.

Let me know if any of you try this out. I am curious to know how it works out.

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

You vs. Wall Street

noreply@blogger.com (Everything Finance) — Sun, 21 Feb 2010 08:29:54 -0500
This book, You vs. Wall Street: Grow What You've Got and Get Back What You've Lost, brings in a fresh insight into how to manage money and bring back what has been lost. The author uses her unique personal experiences to explain this further. The book is a must read financial bible and methods explained in the book are foolproof for growing your wealth.

Natalie Pace shows how to win back your losses and work towards modernizing your portfolio. She explains how to invest your money where you have most knowledge and are passionate about the same. This is a perfect book for those who are looking for investment guide which is user friendly. The author has faith in the fact that one has to take charge pf their own investment planning and also has the potential for the same.

The author herself has worked her way out from poverty and shows the readers through anecdotes that its simple to climb up the ladder of financial success. The book is an inspiration and a complete delight to read wherein the author reveals her lifetime success secrets and prosperity.

The book offers an easy, powerful set of investigating strategies. It gives an insight into overspending and ways to systemize investments. I would suggest this book to individuals who have either started their career or are looking for ways to systemize their investments.

The author gives an insight on how to win on Wall Street in any kind of market situation bull or bear. The method shown by the author is based on a three part investment recipe and a six step buy my Own Island Plan. All of this is presented in a style which engages the readers and is informative.

I have also had the opportunity to read Natalie's other book "Put Your Money Where Your Heart Is". This one offers a sensible, easy-to-follow yet powerful set of investing strategies for the would-be investor -- from the complete novice to those with experience.

You vs. Wall Street make an interesting, enlightening and engaging read for investors who would like to grow their money and also learn ways to recover the lost finances.

All in all this book is a must read.
You vs. Wall Street: Grow What You've Got and Get Back What You've Lost

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

Understanding Different Currencies

Sun, 21 Feb 2010 08:28:13 -0500

Understanding Different Currencies is a post from: Forex News
Understanding Different Currencies is a post from: Forex News Currency exchange is an important aspect of international business. Economic development, trade, tourism, finance and many other important aspects of the world economy are dependant on this.The main global currency is the U.S. dollar (USD). This means that it is the currency held by governments and [...]

A new way to invest Funds, In Gold

Sat, 20 Feb 2010 05:47:29 -0500
Today when Property is unsafe, Dollars are fluctuating and Euro is unstable.Then everyone thinks about what to do now. If you are in a dilemma then here is the great solution. You can in the precious metal fund or the gold fund. About the gold fundsIf you want to invest money [...]
©2009 Copyright by Invest In India
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Use FD overdraft to pay for big purchase deals

Fri, 19 Feb 2010 06:04:00 -0500
To make payment of big purchase deals go for overdraft facility rather than taking personal loan or swiping a credit card. In case of personal loan or credit card you have to pay high interest. Whereas in overdraft facility you can place a fixed deposit with a bank and avail this facility.

When you place your fixed deposit with bank you earn return on investment and can use the same money to leverage funds at a low interest rate which can be used for the payment of purchases.

Moreover in overdraft facility you can borrow funds at 1 per cent to 2 per cent above the fixed deposit rates. Currently, the deposit rates of most of the banks range from 6 per cent to 7.50 per cent for a one to three years time period. However, SBI is offering 6 per cent, ICICI Bank 6.25 per cent and HDFC Bank is offering 6.50 per cent interest on fixed deposits for a one-year period.

If the payment is done through credit card, it is split into equated monthly installments for over a period of one year, which means you might have to pay an interest of 36 per cent to 45 per cent per annum. Whereas personal loan is an unsecured loan, the interest rate can range from 16 to 18 per cent.

According to an official of Oriental Bank of Commerce, It is always better to take an overdraft facility against a fixed deposit than pay through a credit card for long-term repayments because it will carry a minimum interest rate, even lower than personal loans.

An official of United Bank of India said, During the time when interest rates were very high, many customers who had placed their long-term fixed deposits managed at a very low rate to take the advantage by financing their purchase of cars.

According to Financial planner Kartik Javeri, During an emergency, it (overdraft) is the best source for financing, but one should also have the capability to pay money quickly.
©2009 Copyright by Invest In India
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New Options for IRAs in 2010

noreply@blogger.com (Everything Finance) — Sat, 13 Feb 2010 08:11:00 -0500
Financial experts are buzzing about a change in rules to Roth and Traditional Individual Retirement Accounts (IRAs), so you might be wondering what it all means. To refresh your memory, Roth IRAs are taxed when your money goes in. Traditional IRAs are taxed as you take the money out.

From 2010 on, anyone with a Traditional IRA can convert it to a Roth income limits no longer apply. Keep in mind that income limits still apply for Roth contributions, just not conversions. If you convert in 2010, you choose when to pay the taxes.

Here's what else you need to know before converting to a Roth IRA:

The Advantages

Earnings accumulate tax free starting from your conversion date.
You'll pay no taxes on withdrawals in retirement (so long as you're at least 59 and had the account for 5 years or longer).
Converting in 2010 lets you choose when to pay tax on the conversion amount: all in the 2010 tax year or splitting income (and the tax amount) evenly between 2011 and 2012.

Possible disadvantages

You'll pay income tax on the conversion amount.
If you want to avoid withdrawal penalties, you'll need to pay the tax with funds from a non-IRA source.

Who should convert? Not everybody. It may make sense for people who:

Believe their tax rate at retirement will be the same or higher than now.
Know retirement is far off, and can pay the tax now from non-IRA sources.
Plan to leave the Roth IRA (tax free) to their heirs. Since Roths don't require distributions at age 70, they can grow tax free until the heirs make withdrawals.

Now you've got the basics down. Next step? Analyze your situation with your tax advisor.

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

New Zealand Dollar is under a lot of pressure

Thu, 11 Feb 2010 11:51:06 -0500

New Zealand Dollar is under a lot of pressure is a post from: Forex News
New Zealand Dollar is under a lot of pressure is a post from: Forex News International currency market is the largest and biggest financial market in the world but the flip side to the story is that it is also the most fluid market. Needless to say the economic condition of the country determines whether [...]

Euro Versus Dollar

Mon, 08 Feb 2010 11:47:42 -0500

Euro Versus Dollar is a post from: Forex News
Euro Versus Dollar is a post from: Forex News Currency trading market, though the biggest and largest financial market in the world, is extremely volatile and fluid in nature. US dollar, still remains the undisputed currency in the Foreign exchange market, though it would not be wrong to say that unless we see a substantial [...]

Home buying in 2010

noreply@blogger.com (Everything Finance) — Sat, 06 Feb 2010 08:08:00 -0500
There's plenty you can do to make sure your homebuying experience is a good one in 2010 for you, your family, your wallet and your future. Here are a few biggies right off the tops of our heads.

Do some upfront housework. Get a feel for the market, crunch the numbers, get pre-approved and stick to your guns on price range.

Find the best mortgage. Shop around, but choose the lender with the least complicated loan and a low interest rate. That's a nice way to own your home sooner from the get go.

Pick the right agent. Word of mouth is always good. Ask around. If you decide to use an agent, make sure to choose one who's looking out for you vs. one who's looking for a quick commission.

Make a "new house" list. Do you really need a 2-car garage? Does the house have to be in "move-in" shape? In THAT zip code? All come with a price tag.

Save up a healthy down payment. Put down at least a 20% chunk of the home's total cost. That's what we call instant equity.

Don't forget 2010 tax credits. First-time buyers get tax credits of up to $8,000 and certain repeat buyers can get up to $6,500. That's a huge incentive to buy and terrific way to save. Check with your tax advisor for details.

Before you make an offer, make another walkthrough. Review this list again. Visit the place several times with a relative or friend. Another set of eyes never hurts, you know.

Happy house hunting!

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

Australian Dollar is riding on weak sentiments

Thu, 04 Feb 2010 09:01:38 -0500

Australian Dollar is riding on weak sentiments is a post from: Forex News
Australian Dollar is riding on weak sentiments is a post from: Forex News The rippling affect of recession and economic slowdown in America has left the Australian dollar on a slippery surface. As of now the AUD (Australian dollar) in comparison to the US dollar, in terms of bidding and asking prices is 0.8800 to [...]

US Dollar is still a strong currency

Wed, 03 Feb 2010 10:39:53 -0500

US Dollar is still a strong currency is a post from: Forex News
US Dollar is still a strong currency is a post from: Forex NewsThe year 2008 was bad, to put it mildly, in terms of recession and economic downturn/ slowdown in the United States of America. It was no different in the year 2009, perhaps even worse, it seemed as if the economy of the US [...]

Saving Tips in the New Year

noreply@blogger.com (Everything Finance) — Mon, 01 Feb 2010 08:04:00 -0500
If it's January, then it must be time to revisit New Year's resolutions past and present. Eat better and exercise? So far, so good. Call mom weekly? Oops. Take care of your money? You knew that was coming.

Check out this countdown to help keep you on the road to saving in 2010:

Spend less than you earn. Saving part of every dollar's the foundation of financial independence.

Take care of the things you have. You work hard for your possessions. Don't make them disposable.

Make your money grow. It's not enough to just have money in the bank. Put it someplace where it can grow.

Defend your credit worthiness. Good credit's precious pay bills on time and only borrow what you need.

Weigh credit card offers carefully. Do you really need another one? You might want to explore your best credit options, especially in case of emergencies, for special family or home projects.

Know the cost of borrowing. Figure out how much interest you'll owe and ask yourself, "is it really worth it?"

Avoid paying fees. Check out your bank statement, poke around, read the fine print and challenge your bank on fee policies.

Invest for the long term. Your future's built on patience and prudence. Not luck.

Use your home as a savings account. A house provides shelter and comfort. It also provides equity.

And, last but not the least:

Remember what matters. Spend more time with friends and family, and spend less money on all the stuff that doesn't last.

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

Brazil Real Remains Near 2010 Record Low

Tue, 26 Jan 2010 08:56:00 -0500

Brazil Real Remains Near 2010 Record Low is a post from: Forex News
The Brazilian real continued to be influenced by bearish equities and commodities markets and did not manage to pare gains after falling during the most of the time last week. Brazil is one of the main metallic commodity exporters in the world, and unc...

Australian Dollar Pare Losses on Inflation

Tue, 26 Jan 2010 08:55:00 -0500

Australian Dollar Pare Losses on Inflation is a post from: Forex News
The Australian dollar managed to gain versus lower-yielding currencies before a report to be released this week in the country is likely to show an advance in inflation in the last years last quarter, helping speculations that a series of interest r...

6 Ways to Cut Your Bills at Home

noreply@blogger.com (Everything Finance) — Mon, 25 Jan 2010 08:35:00 -0500
Bills add up fast, and if youre the type thats getting 20+ bills a month, you probably just want to sit back, and pull out your hair. Instead of stressing out about your bills, there are some things that you can do, in order to cut back on them either completely, or by knocking a good portion off of them. Heres what I have done in the past year, and Ive easily been able to save 20-30% each month. It all adds up, trust me!

Ditch the Cable TV
Cable TV is expensive, no matter what package you have today. In todays technological era, you can gather up a lot of shows for free online. With services such as Hulu, and YouTube, theres no reason to watch all the shows you love on TV for a price. Purchase a HDTV antenna, and you can enjoy all your local channels for free.

Study your cell phone bill
A lot of us Americans pay a lot for our cell phone bill, and if youre paying $100+ a month for your phone, you may want to look into your bill. If you have a family plan with more than 2 phones, you need to sit back, and look at how much you use. Do you use all of your minutes? Do you use all of the options? Do you really need the data plan? I think you get my point. Consider cheaper alternatives online for your phones, with companies such as Magic Jack, and Google Voice.

Cut back on the electric
If you dont have an electric thermostat, I highly recommend that you purchase one. When you go to bed at night, set the temperature down to 60-65. Do this from the time you go to bed, until youre about to wake up. You really dont need the heat blasting at night, since youll have a ton of covers. Its also important to scale back the heat as well, when youre off at work. This alone can knock 20% off your heating bill alone.

Do simple things around the house
There are some small, but simple things that you can do just to save on your utility bills as well. Change your light bulbs to florescent, check your windows for leaks, fix breaking faucets, use fans instead of the A/C, and more. Its just important to be smart with your usage.

Save on groceries
If youre like me, you want to turn grocery shopping into a game. See how much you can truly save, every time you go out, and shop. Use free online coupon databases, and services such as TheGroceryGame.com. Its a great source to use, when youre looking to save 40% on your groceries each, and every time.

Look at your services
Do you have any services such as landscaping? Pool services? Analyze these services, and see if you really need them. Youll be surprised at how much you can save by simply doing all of the work yourself. It really isnt that hard to so. If you have to, you can always consider the neighborhood kid to do the lawn cutting for you.

Its really not that hard to save money on your bills. As long as you use your head, and try to attempt to cut back on your bills, you really can save 20%+ each month.

This is a guest post written by Elizabeth Cutten. Elizabeth is a frequent contributor, and co-creator for FINDSecuredCards, a getting out debt blog helping those that are looking to save up money, and fight debt.

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

South Korean Won Biggest Loser in Asia on Risk Aversion

Sat, 23 Jan 2010 17:00:00 -0500

South Korean Won Biggest Loser in Asia on Risk Aversion is a post from: Forex News
The South Korean currency, one of the best performers in 2009 among Asian emerging markets, had a severe weekly decline as risk aversion remained predominant after Chinas statements regarding new regulations on its economy. After China announced it ...

New Zealand Dollar Rebounds on Retail Sales

Thu, 21 Jan 2010 10:09:00 -0500

New Zealand Dollar Rebounds on Retail Sales is a post from: Forex News
After losing significantly during most of this Wednesdays session as risk aversion prevailed globally, the kiwi rebounded in currency markets as retail sales advanced in the country reviving the confidence regarding the Southern Pacific economy. The...

Brazilian Real Drops Further on Risk Aversion

Thu, 21 Jan 2010 10:08:00 -0500

Brazilian Real Drops Further on Risk Aversion is a post from: Forex News
The Brazilian real touched the weakest level in a month as risk aversion remained predominant in todays trading session globally, since equities and commodities markets continued to follow a bearish trajectory in most of the key-economic regions aro...

Canadian Dollar Suffers Huge Impact on Inflation, Risk Aversion

Thu, 21 Jan 2010 10:07:00 -0500

Canadian Dollar Suffers Huge Impact on Inflation, Risk Aversion is a post from: Forex News
The Canadian dollar ranked among the worst performers in currency markets today as risk aversion influenced commodities and equities trading, which are strongly related to the loonies rates as weak economic data in the country also influenced the co...

Dollar Benifits From Chinese Lending Requirements

Thu, 21 Jan 2010 10:06:00 -0500

Dollar Benifits From Chinese Lending Requirements is a post from: Forex News
The dollar gained today versus most of the 16 main traded currencies as China tightened its lending restrictions, raising risk aversion in foreign-exchange markets affecting high-yielding currencies the most, as investors search for safer bets. The U.S...

Student Budgeting Tips

noreply@blogger.com (Everything Finance) — Wed, 20 Jan 2010 10:13:00 -0500
Being a student at university or college will be one of the best times of your life, so you dont want to be continually stressed about money, or be stuck at home because you dont have enough funds for a night out with your new friends. Therefore, you need to know how to create a budget which will work for you as a student, because if you are able to create an accurate budget, youre more likely to be able to stick to it.

1 Make an accurate and usable budget

If you start out with a realistic budget then youll save yourself time and stress because you can avoid going back over your budget because youve forgotten an expense, or underestimated a cost. Therefore, when you are entering your expenses overestimate them and round them up a little each time. This gives you a little extra breathing space if for example you go over your phone plan or you do a little extra driving and chew through more fuel.

To make sure your budget really is accurate and includes everything you spend, keep track of all of your expenses. This is as simple as holding onto the receipts for everything you buy, and entering these amounts into your budget. This allows you to track and allocate funds for everything you need rather than just the things you can think of at the time you make your budget. Having an accurate budget will help you stick to that budget as you dont have to make calculations on the go, and you know at every moment how much you have to spend, and on what.

2 Compile and review your budget monthly

Checking over your budget every month means you can see whether you really are keeping to your expected expenditures or whether there are still things you have forgotten to account for. Reviewing your budget you can see if there is a place where you regularly go off course and you may need to re-evaluate your other expenses to allow for it. For example, do you find youre going over your phone plan each month and could find a better deal for your calls with another provider? Or maybe youve realised that youre using your mobile phone all the time and dont need to pay for a landline rental at all.

To make your budget even easier to review, compile it in an excel file which can be easily changed, not to mention it will do all the calculations for you. You can save a file for each month and this also allows you to look back on your spending habits to see where you could make changes.

3 Dont forget the sporadic expenses

In making a monthly budget you will be able to account for things like rent and phone bills but you may forget about costs which occur six monthly or yearly. Therefore, make sure your budget includes expenses like car registration and insurance, dentist bills or drivers license renewal. These expenses which dont come around very regularly are often a blow to many budgets, but you will be prepared for when they come, and being prepared means you are more able to keep to your budget.

4 Create an emergency fund, and one just for fun

An important part of your budget as a student should be a savings plan. While its easy to spend as much as you earn when you are studying, it is important to remember that studying is just one part of the rest of your life and youll need to plan for your working life expenses too, plus all the things you want to do after college like buy a house, or travel, or get married, or buy a great new car.

To help you with your savings as a student, open an high interest savings account which has the feature to allow you to open several sub-accounts too. A high interest savings account is an online account which helps you easily and effectively save your money, without you noticing its even gone from your account. Opening a savings account with sub-accounts allows you to save for emergencies, nights out or holidays, the future, and those yearly expenses which can hit you hard. By directing some of your wages or study allowance into a high interest savings account and its sub-accounts, youll be able to keep on top of all your expenses now and into the future.

5 Part time work

As a student you may not have a lot of time to work, but this is perfect because working just enough to pay your bills and have some spending and saving money means you are likely to fall into a lower tax bracket, or you may even be able to avoid paying tax at all. Even if your parents have an education fund set aside for your expenses, or they send you an allowance, earning a wage on top of that means you can more easily set aside more money into your savings account, as well as keep to your budget.
Earning, saving and budgeting are important lessons you should learn on top of your studies, and learning them while you are a student will serve you for the rest of your life.
This is a guest post by Fred Schebesta who works for Savings Account Finder, where helps people to compare savings accounts and term deposits online.

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

Pound Advances Further Versus Euro on Inflation

Wed, 20 Jan 2010 06:36:00 -0500

Pound Advances Further Versus Euro on Inflation is a post from: Forex News
The British currency had a favorable performance today versus multiple key-currencies today, beating the euro and the Swiss franc as the country starts to show more evident signs of recovery, attracting investors back to the U.K. After inflation surpas...

Swiss Franc Tumbles on Intervention Fears

Wed, 20 Jan 2010 06:35:00 -0500

Swiss Franc Tumbles on Intervention Fears is a post from: Forex News
The Swiss currency finally felt the central bankers pressure and declined considerably versus most of its main trading partners currencies, on speculations that measures will be taken by the financial authorities to avoid the franc to gain. The Swis...

Euro Slides After German Sentiment Report

Tue, 19 Jan 2010 16:03:00 -0500

Euro Slides After German Sentiment Report is a post from: Forex News
The euro tumbled today versus most of the key-currencies in Europe after Germany published an important economic confidence report with worse-than-expected data, declining attractiveness for the single currency as some of its member countries struggle ...

Canadian Dollar Tumbles on Rates Outlook

Tue, 19 Jan 2010 16:01:00 -0500

Canadian Dollar Tumbles on Rates Outlook is a post from: Forex News
The Canadian dollar fell today after the nations central bank left interest rates unchanged at an all time record low, declining rate hikes speculations despite the favorable economic data published in Canada during the past few weeks. The loonie dr...

Swiss Franc Climbs Despite Intervention Warning

Mon, 18 Jan 2010 18:00:00 -0500

Swiss Franc Climbs Despite Intervention Warning is a post from: Forex News
The Swiss franc gained versus several key-currencies today despite the nations central bank concerns regarding the strength of its currency, which already was expressed previously in statements mentioning eventual future interventions to halt the fr...

Real Rebounds on Brazilian Stock Market

Mon, 18 Jan 2010 17:58:00 -0500

Real Rebounds on Brazilian Stock Market is a post from: Forex News
After a week of losses versus most of the main traded currencies in foreign-exchange markets, the Brazilian real advanced today fueled by a positive performance in commodities and equities markets. The Brazilian real gained today versus the yen and the...

Pound Climbs on House Prices, Optimism

Mon, 18 Jan 2010 17:55:00 -0500

Pound Climbs on House Prices, Optimism is a post from: Forex News
The U.K. currency profited today from an increase in the nations house prices, fueling even further speculations that the recession might be ending in Britain, attracting investors to purchase pound-priced assets in a day of bullish equities markets...

Roth IRA conversions: Should you pay tax now or later?

noreply@blogger.com (Everything Finance) — Fri, 15 Jan 2010 13:06:00 -0500
As you may already know, beginning on January 1, 2010, you can convert your traditional IRA to a Roth IRA regardless of your income or tax-filing status.

If you're thinking of taking advantage of this change, keep the following in mind before deciding when to recognize any conversion income.

More people are eligible
First, let's review how the rules will change.

Today, only investors with an adjusted gross income of $100,000 or less are able to convert a traditional IRA to a Roth. Married couples who file separately are unable to convert to a Roth IRA at all.

The upshot of the income-restriction elimination, says Joel Dickson of Vanguard's Quantitative Equity Group: "A lot of people who aren't eligible today to make a Roth IRA conversion will be able to do so in 2010."

The special tax option for 2010 conversions
Investors who convert from a traditional to a Roth IRA in 2010 will also have the option to spread any resulting taxable income evenly across 2011 and 2012 unless they choose to recognize all of the income in 2010. (The two-year tax option exists for conversions during 2010 only.)

However, keep in mind that your tax liability on the income may differ depending on when you decide to recognize it. Because the conversion amount increases your total taxable income, it potentially could reduce the deductions or credits available to you in a given year. If the income is significant, it could potentially push you into a new tax bracket and you'd wind up paying a higher rate on at least some of the amount.

Future rates are uncertain
You should also consider that, under the current tax code, tax rates are scheduled to increase after 2010. Therefore, if you elect to spread taxable income across 2011 and 2012, you may actually owe more tax than if you recognize the income in 2010.

"It's not clear that it would be a big advantage to spread your taxes into years where you might actually face higher rates," said Mr. Dickson.

If you convert to a Roth IRA in 2010, you'll at least have some time to make up your mind about how to handle any resulting tax bill; the deadline for making a decision about the two-year option is your tax-filing deadlineApril 15, 2011. (However, keep in mind that you may have to pay estimated tax to avoid an underpayment penalty.)

Source: Vanguard

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

Online Colleges and Universities

noreply@blogger.com (Everything Finance) — Thu, 07 Jan 2010 13:21:29 -0500
The guys over at Online Colleges and Universities compiled a list of 200 business resources. Included in the list are free online courses, blogs and books about personal investing. You can study up on guides for stocks, mutual funds and bonds. Many of the blogs included have hundreds of tips to get your finances set straight. There are also resources to increase your general business knowledge, like accounting basics and management tips.

In addition, there are free online courses from respected universities, like MIT. Learn about economics through an online course and also the ins and outs of taxes and insurance. If you had interest in becoming an entrepreneur, this guide can point you in the right direction for starting your own business as well.

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

Save Money in the Year 2010

noreply@blogger.com (Everything Finance) — Tue, 29 Dec 2009 20:45:48 -0500
Money is a valuable source which is indispensable for everyone. Since it helps us to lead a life without any hassles we should try saving it. We should follow the line of the ant and be wise and not be foolish like the cricket. Money can be saved in many ways. To list a few: car insurance, bank savings, clip coupons, investments in moveable and immovable property, etc.

Insurance policies help us to save money as well as help us to cut down our income tax. The premium amounts are varied and meager and dont pinch our pockets. As it covers our accidents risks and also our health problems our money is save in our hands. Saving our money in banks has always been the best way to save money.

Insurance on vehicles, especially, cars always help us to replace parts damaged during accidents. A small percentage of income deposited in our account always help us in times of need. As the proverb goes Little drops of water make a mighty ocean, hence little amounts of money saved can increase to a greater amount and that is why bank savings are always preferable. A word of caution to those who desire a greater interest rate, please dont invest in benefit funds which offer large amount of interest rates.

Clip coupons help to save money during a shopping spree. We can purchase things at a lower rate. We can also buy things we need, when there is a genuine rebate offered in shops, we can buy them at the whole sale retailers and save some money there too. But its always wise to remember that not all rebate offers are genuine. The best form of investment has always been buying lands and jewels. At present, with land and gold prices soaring high its a good idea to invest in them. But too much of gold can attract burglars, like bees, to your house so Beware!.

Other than these secure ways of saving we have other less secure ways like investing in shares which is not always safe, lending money for interest, winning lottery tickets and of course gambling! We do have numerous ways to save money but choosing what is the best way lies with your intelligence and common sense

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

Save Money on Auto Insurance

noreply@blogger.com (Everything Finance) — Thu, 17 Dec 2009 22:22:45 -0500
I'm doing a 2 part series on how you can save money on your insurance. In this part I'm going to talk about ways in which you can save some money with cheap car insurance.
Do you wish you could squeeze extra savings from your budget--without making any big sacrifices? Here's an idea you may not have thought of: Slash the premiums you pay to insure your home. Rates have risen so sharply in recent years that it may seem impossible to cut these back. But there are many ways.

YOUR AUTO INSURANCE

Consider canceling collision insurance (for damage) and comprehensive insurance (for theft) if your car is older. Your insurer will never pay more than the vehicle's current resale value, which may be low for a car that's been around. Ask your agent what you're paying for collision and "comp" and compare it with what your car is worth right now. You can find out by checking the Kelley Blue Book site (kbb.com).

Cancel the coverage if it's costing you more than the insurer would pay to repair or replace your car.

Raise the deductible That's the amount you pay out-of-pocket before your collision or comprehensive riders kick in. The cost of those riders drops as much as 25 percent if you agree to pick up the first $1,000 in claims rather than just the first $500. Accept a $2,500 deductible and your savings could reach 40 percent. You shouldn't be filing $500 claims, anyway--insurers don't like clients who turn to them for every little thing. They'll raise your rates and may even cancel your coverage. Unfair? Absolutely, but that's the fact.
Get several rate quotes before you buy or renew a policy. Average premiums are actually expected to drop 0.5 percent this year. Some insurers are cutting prices more--as much as 6 to 12 percent. To find a lower-cost policy, start with the Web (for helpful sites, see the list at left). Once you have prices, call an independent agent--one who represents several companies--to see if he or she can beat the quotes.
Take advantage of every discount insurers offer. They're usually available to people who drive less often than average (fewer than about 12,000 miles a year), older drivers (typically 55+), graduates of driver-training or defensive-driving courses, students with good grades (B-average or better), and owners of cars with safety features such as anti lock brakes. Geico often lowers rates up to 15 percent for active and retired military members. You may also get a discount if the same company insures your car and house (though you'll save only if the company is low cost to begin with).

Drive safely and keep a good credit rating. Speeding tickets, fender benders, and failing to pay your credit card bills will raise your rates. (Poor-credit risks are poor-driving risks, insurers say.)

Tell your insurance agent if your teen moves out or goes away to school. You'll pay less if he is no longer driving your car regularly.

Switch to a safer car Insurers charge less for autos that perform better in crash tests than comparable, riskier models. For crash-test ratings, see www.iihs.org and safercar.gov.

Don't scrimp on liability coverage This is the coverage that kicks in if you injure someone in an automobile accident. The state requires that you buy a certain minimum amount, but that's never enough for people with assets to protect. The policy should be large enough to cover the value of your home, your investments, and some of your future earning power, so a big court judgment wouldn't end up crippling you for life.
Please keep an eye out for my next post on my how you can save money on your Homeowner's insurance.

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©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

Planning to work longer? ...Keep Saving

noreply@blogger.com (Everything Finance) — Mon, 07 Dec 2009 00:47:52 -0500
If retirement seems further away than it did before the financial crisis and recession, youre not alone. A recent Vanguard-sponsored survey found that 45% of American investors see putting off retirement as a possible way to cope with the
effects of 2008s market meltdown. The trend is especially prevalent among people in their 50s, with 54% of them indicating plans to push back retirement dates.

Extending your working years can indeed be an effective way to close a gap in retirement savings, Working longer has a triple benefit: Youll need fewer years of retirement income, you can save more, and you get extra time for potential investment earnings. Even before the financial crisis, there was a trend toward delayed retirements; the percentage of both men and women working at age 65 and older had edged up steadily since the 1990s.

Dont slack off on saving
Still, regardless of whether you plan to work until youre 62 or 72, you need to keep saving for retirement. The reality is that you cant be certain when youll exit the work force. Nearly half of retirees say they retired sooner than planned, according to a 2009 survey by the nonprofit Employee Benefit Research Institute. Many people expect to retire around age 65, but the median retirement age is actually 62, according to the survey.
An earlier-than-expected retirement can be devastating if your nest egg is small, because you wont have additional time to build up your savings. The cautionary tale here is that some retirements are involuntary. There may be financial problems at your company, or you may have health problems that force you to stop working. Be realistic about your ability to keep working.

Also be realistic about the need to save.
Human nature is such that its easier to commit to working longer in the future than to actually boost savings today.
As human beings, we tend to focus on today and put off making behavioral changes to the future. Its much easier to say that well work longer 10 or 20 years down the road than to save more today. Its like saying, Ill start exercising or lose weighttomorrow.

Get ready to downshift
If you do want to extend your working years, think about whether to seek a more flexible work situation. In todays poor job market, such options may be hard to find, but as the economy improves more opportunities should emerge.

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

A Guide to Reverse Mortgages

noreply@blogger.com (Everything Finance) — Sat, 05 Dec 2009 00:18:46 -0500
If you are a senior and own your home, you might be eligible for a reverse mortgage. A reverse mortgage allows you to borrow against the equity you hold in your home and enjoy the money as you see fit. The only requirements are that you must be at least 62 years of age as well as own a substantial amount of equity in the home that you live in. When you pass away, your home will be sold by your estate to pay the reverse mortgage back in full. In some cases there will be money left over, and sometimes not, however this is a great way to ensure that you get all that you can out of your home without leaving your estate or heirs, in any kind of debt.

With a reverse mortgage you do not need to make monthly payments like you do with a traditional mortgage, instead the lender pays you. Reverse mortgages operate in the opposite fashion, offering a borrower money up to the balance of the equity they have in their home. Therefore, there is no risk of losing your home due to missing a payment. This is a benefit many seniors appreciate, especially those that dont have a source of income to draw from.

Reverse mortgages are also commonly referred to as rising debt, falling equity loans or simply rising debt loans because instead of paying down a loan balance and increasing your homes equity, equity is decreasing as a result of increasing debt. Also, keep in mind that a reverse mortgage will become due in full if you move. So if you want funds for a down payment on a new home or even just cash to spend after you move, it would be wise not borrow the full amount of your homes equity.

If you like the idea of being able to spend your time and money as you choose during your golden years, a reverse mortgage might be the perfect way to go.

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

Info on Reverse Mortgage

noreply@blogger.com (Everything Finance) — Sun, 29 Nov 2009 09:38:03 -0500
A Reverse mortgage is a program designed by the Government to help senior homeowners who are 62 years or above and do not have any other income to support themselves.

Thus, with reverse mortgage, the senior homeowners can meet their expenses easily without having to borrow from banks or any other institution. It is similar to getting returns from investment, with a difference. Let us have a look at how reverse mortgage works:

How it works?

In reverse mortgage, home is considered as an asset, on which senior homeowners can avail of loan. The following criteria need to be satisfied to avail of home mortgage:

* The age of all the applicants of reverse mortgage should be 62 years or more.
* There is no criteria for income or credit score required
* All properties from 1 to 4, Condominiums that are approved by HUD, PUDs and all homes that are constructed and comply with the HUD standards can avail of reverse mortgage.
* The home should be primary residence of the senior citizens.
* The property should be well maintained.
* The senior homeowners should pay taxes and insurance on the property.

Here is an hecm calculator that you can use.

Pros and Cons of the Reverse Mortgage

Pros:

* Reverse mortgage is a safe loan as it backed by the Government. The property is insured by the Federal Housing Administration.
* The dead investment made in the home can be utilized to earn income and live quality life by senior citizens.
* The senior citizens need not make any mortgage payments or interest payments as long as they stay in the house.
* Upon death of the homeowner, the property is not transferred to the banks.
* Your loan is limited to the value of your house.

Cons

Reverse mortgage is a very good option for the retired personnel to be self sufficient in their old age. However, there are some drawbacks such as:

* The senior homeowner will have to repay any debts prevailing on the loan if he wants to opt in for reverse mortgage.
* When the homeowners die, the reverse mortgage needs to be paid in full by the heirs. For this the property would be sold off and the mortgage would be paid in full. The excess amount would be passed on to the heirs. In the current scenario where the real estate prices are plummeting, reverse mortgage is not an attractive option at least for the heirs as it is a credit line.

Overall, reverse mortgage is the safe and the best option for senior homeowners.

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

Should I invest in ETFs or Conventional Mutual Funds

noreply@blogger.com (Everything Finance) — Fri, 20 Nov 2009 08:54:01 -0500
Investors seeking an index investment nowadays can choose to put their money into either conventional fund shares or exchange-traded funds (ETFs), but deciding which to pick may seem perplexing. Many similaritiesand important differences

In many respects, index funds and ETFs seeking to track the same indexes are much alike. Characteristics such as risk and return attributes and portfolio holdings should be nearly the same. In addition, both ETFs and conventional index fund shares are entitled to distributions of income and capital gains.

But there are some important differences, primarily involving their trading features and pricing structures. So before you invest, you should ask yourself both how much you value flexibilitysuch as the ability to trade throughout the dayand how much you are willing to pay for it.

ETFs offer trading flexibility

Because they are pricedand tradedthroughout the day on an open exchange, ETFs offer many features not available with conventional fund shares. For example, ETF investors can employ many of the same sophisticated trading capabilities that are used for trading stocks, such as borrowing against them.
The picture on costs is muddled

The question of costs is not as clear-cut. ETFs generally have lower expense ratios than conventional fund shares. In some cases, however, the difference may be small or nonexistent. (For instance, the expense ratio for Vanguard Total Stock Market Index Fund Admiral Shares is 0.09% according to the fund's latest prospectus, the same as for Vanguard Total Stock Market ETF. So if you qualify for Admiral Shares, there may be little or no expense-ratio advantage in choosing the ETF.)

Even when the expense ratios for ETFs are lower, the costs associated with trading them can erase their expense advantage in some circumstances, so you need to think carefully about how you would manage your investment.
A tale of two investors

Here are hypothetical stories of two investors who have settled on index investing and now want to choose between conventional fund shares and ETFs.

Scenario 1: John received a $25,000 inheritance from his uncle's estate. John plans to invest the money for retirement, which is at least ten years away. He likes the trading flexibility available in the stock market, but also knows that he is unlikely to consistently add to or withdraw from the fund. A low-expense ETF could make sense.

Scenario 2: Kathy works in sales and receives bonus checks from her employer every three months. She regularly invests a portion of her bonususually between $300 and $1,000in a retirement account. Once Kathy invests the money, she's unlikely to make many adjustments. A low-cost conventional index fund could make sense.

Note: These illustrations are educational only and do not take into consideration your personal circumstances or other factors that may be important in making investment decisions. The illustrations are not a recommendation to buy or sell a particular security.

For example, how often will you invest? Every ETF trade incurs brokerage costs and a bid-ask spread (the difference between the offer and the sale price, essentially representing the market maker's profit). Frequent trading therefore can rapidly negate the benefit of a lower expense ratio. And if you plan to invest systematically, you'll generally incur lower overall costs with conventional fund shares.

It's also important to consider your time horizonespecially if you plan to establish a position for the long run and don't intend to make periodic investments. The transaction costs associated with ETFs may initially make them more costly for smaller investments, but given enough time, the advantage of a lower expense ratio may outweigh those early costs.

Clearly, much depends on just how much advantage you might reap from the prospect of a lower expense ratio for ETF shares. So be sure to look carefully at the difference in expense ratios between the conventional shares and the ETF. If the difference is large, the ETF might be a better choice even if you are investing systematically, for example.

A final cost factor to keep in mind: To invest in ETFs, you'll need a brokerage account, which could entail miscellaneous costs (such as account fees) that aren't directly associated with buying or selling the ETFs. Even if all else seems to favor ETFs, these other costs, over time, could eat into that perceived advantageso make sure you know what your brokerage would charge.

Source: Vanguard

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

5 Tips to Help Save for Your Retirement

noreply@blogger.com (Everything Finance) — Sun, 01 Nov 2009 09:33:53 -0500
Saving for your retirement picks up natural speed in your fifties as most people earn the most income during their fifties. You may be at the top of your field in pay and position. The realization of stopping the daily grind of work seems so close. Friends and co workers may have already retired. Here are three tips to help save for your retirement.

1. Maintain Your Health to Stay in Work

Exercising each day puts you in better touch with your health needs. The action of exercising makes the realization closer than you will not be able bodied for ever. Exercising for a few hours throughout the week will help keep you more active to earn additional income to put towards savings.

2. Increase Your Savings

What is your current income to debt ratio? The amount of debt that you owe currently on car payments, unsecured consumer debt, and credit cards may make it almost impossible to increase savings. Consider selling one or more car, van, SUV, motorcycle, RV, or boat that is financed. Sell the vehicles and pay off the loan, then purchase an inexpensive car in cash to free up cash so you can save more.

3. Think About Getting a Second Job

Work an additional part time job or find a creative way to get paid more when you do work. For example if you have worked as a school teacher for twenty five years, consider offering consulting services to the public. This could be through private tutoring in person, tutoring online, or to help give guidance to other people in your field. These clients would pay you an hourly fee based on your experience and would be much higher than many part time hourly rage jobs.

4. Consider Taking on a Lodger

If your budget feels squeezed when its time to pay the mortgage, consider renting out the house. If your mortgage is hard to stay up to date with due to other outstanding debts, think about renting out one or more rooms to lodgers. The mortgage may be $1500 a month, however the home may be able to rent for $1900. Contact a realtor to walk through your home and let you know how much the property would rent for.

5. Short Term Inconvenience is Long Term Gain

Many of your co-workers and family will be solely dependent on family, government assistance, and lines of credit when they stop working, which means that in reality many people are not truly prepared to stop working. Living within your means, getting out of debt, and finding creative ways to make more money is important. It may be inconvenient to take a second job consulting, have yard sales, sell your financed vehicles, and clip coupons. However, when you are able to live debt free in your retirement with enough savings it will be worth it.

About The Author

Mark works as a writer for an Australian business that offers credit cards and debit cards. You can also read more of his writing on their blog, The Credit Letter.

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

Know More about Credit Counseling

noreply@blogger.com (Everything Finance) — Mon, 26 Oct 2009 09:51:06 -0400
What is Credit counseling in the First Place?

People with a bad credit rating, stands a fair amount of chance to repair their credit rating with the advice of a credit counselor from a good credit counseling agency. What this aims at is helping the creditors understand their buying patterns and help then understand the difference between spending and being a spendthrift. Further more they also help people manage their debts by means of careful budgeting of their income along with education on enhanced money management techniques.

What could be the benefits of seeking credit counseling?

The credit counselors not only talk to you about budgeting and things like that, they also proactively negotiate with the credit companies on arranging for a repayment plan other wise also known as DMP or the debit management plan. By this debit management plan both the creditor and the credit card company is benefited. The creditors get an opportunity to repay their debts in a easy manner that is not tough on them and their family because of the reduced interest rates and the worked out installments for them. While the credit companies get to realize their money from the people which would other wise have been a bad debt for them. There fore its a win-win situation for both the parties involved.

How to choose a credit counseling company?

This calls for a little bit of research work for the person who thinks he needs help. The first and foremost thing that is required to be done is the person should check out their web sites and read what other people had to say about them. Then talk to the company and understand how they would plan to help, next thing that is very important is that the counseling company should be certified credit counselors and be registered with the Better Business Bureau.

Now once all that is done with a positive reply for all, then you are good to pass on your financial information to the agent counselor from the company and post that its his responsibility to work out some thing thats good and beneficial for you.

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

What's in a Credit Score?

noreply@blogger.com (Everything Finance) — Sun, 25 Oct 2009 14:28:00 -0400
Backyard Living & Staycationing
You've heard the term plenty of times, but what exactly is a credit score and why is it so important? Your credit score represents an analysis of your credit history, and represents how credit-worthy you are. Lenders use the score to determine how much of a risk you represent, and to determine if you qualify for a loan.

Five Credit Score Elements
There are five basic elements that are taken into account to calculate your credit score:

1. Payment history. Make sure you're paying your bills on time. If you've missed payments in the past, do your best to get current.
2. Amounts owed. Keep your outstanding debt as low as you can. Remember, it's better to pay off debt than to move it around.
3. Length of credit history. The longer you can show a responsible credit history, the better it is for your credit score. If you've just started out, try not to open too many credit accounts too quickly.
4. New credit. Credit bureaus distinguish between a search for a single loan and a search for too many new credit accounts. So, if you're shopping for credit, make sure you do it within a particular amount of time. The golden rule for new credit? Get it only if you need it.
5. Types of credit used. From credit cards and retail accounts to installment loans and mortgages, we use different types of credit. It doesn't really matter what types of credit you have in your report, what's important is that you're managing them responsibly.

Thanks to a 2005 law, consumers can access one free credit report a year from each of the nation's top consumer credit reporting companies, Equifax, Experian, and TransUnion. These agencies track your credit history and award you a score based on whether or not you pay bills on time. The better your score, the more likely you can borrow at lower rates, reduce insurance premiums and even cut utility bills.

A Poor Score Can Cost You
Prospective employers, landlords, insurance underwriters, as well as others who grant credit, may all acquire your credit report. That's why it's so important for you to check your report at least once a year. Even if you pay every bill on time, mistakes can happen. According to the Public Interest Research Group1, With up to 70 percent of credit reports containing errors ranging from mistaken identities to multiple listings of the same loan, it is up to you to keep on top of your credit history.

Industry experts recommend you review your credit report at least once a year to check for mistakes or misrepresentations that could potentially ruin your credit rating. By checking your credit report regularly you can also spot any attempts at identity theft, and monitor your debt management.

Source: Wachovia eNewsletter

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

Inside the World of Penny Stocks

noreply@blogger.com (Everything Finance) — Wed, 21 Oct 2009 09:56:11 -0400
Investing in penny stocks can be both a challenging and lucrative avenue if you are an investor. Knowing what your doing is essential for success, so before we start talking about how to make money with penny stocks, lets first talk about the basics:

What is a Penny Stock?

A penny stock is a stock that trades for less than $5 per share. Most Penny Stock companies have only been in operation for a few years and typically carry less than a few million dollars in assets. Penny stocks are not listed on the three major stock exchanges- AMEX, NYSE or NASDAQ- but are rather quoted on an over-the-counter service such as the OTC Bulletin Board or Pink Sheets.

Many penny stock investors make their money via day trading. Day trading is a strategy that involves buying and selling stock within the same trading session. Investors will open and close a stock position on the same day making their profit on intraday price fluctuations.

A typical trade would work like this:

A trader finds a stock that looks attractive and is selling at $.90. He or she decides to buy 100 blocks (1 block= 100 shares of stock) and pays $9,000 in addition to trading fees. Now say two hours later, the price for that same stock has climbed to $.915. The investor would send a sell signal, and with luck, hopefully find a buyer at that price. If the investor manages to attract a buyer, they would close out their position and pocket the profit.

Of course, real life is not always as simplistic as the example above and there are a lot of variables that can affect the price of a penny stock. However through maintaining a high level of research and dedication, as well as having a little bit of luck, it is very possible to become a successful penny stock trader.

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

VA Refinance

noreply@blogger.com (Everything Finance) — Mon, 19 Oct 2009 15:13:25 -0400
Mortgage applications are on the rise, driven in large part by homeowners looking to refinance.

For Americas veterans, thats just another signal that now is the time to capitalize on a VA refinance.

Demand for refinancing loans last week hit its highest level since the first week of June, according to figures from the Mortgage Bankers Association. In all, applications for purchase and refinance loans increased 7.5 percent for the week ending Aug. 21.

Refinance applications continue to increase their share of the market.

With the housing market showing signs of life, veterans with VA loans and conventional home loans may want to consider the benefits of a refinancing through the Veterans Administration.

The VA has different refinancing options for veterans with VA loans and for those with conventional loans. Veterans who used a VA loan to purchase their home can utilize the VAs Interest Rate Reduction Refinancing Loan, often known as a VA Streamline.

VA Streamline loans dont require credit underwriting, certificates of eligibility or even appraisals. Veterans with less than perfect credit may be eligible for a Streamline. At the outset, prospective borrowers must at least be current on their mortgage payments and have no more than a single 30-day late payment within the past calendar year.

Some veterans can obtain a VA Streamline with no out-of-pocket costs. Borrowers can also roll up to $6,000 for energy efficient improvements into their Streamline loan.

Streamline recipients are on the hook for the VAs funding fee (half of 1 percent), but that can be paid in cash or included in the cost of the loan.

Any lender with the requisite approval can issue a VA Streamline. Veterans dont have to stick with the lending institution that that issued their current VA home loan.

Veterans with conventional loans can also refinance using the VA. Borrowers who qualify can refinance up to 100 percent of their homes appraised value.

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

Converting to a Roth IRA ? Read this

noreply@blogger.com (Everything Finance) — Sat, 10 Oct 2009 13:08:00 -0400
Should you convert?

The benefit of converting to a Roth is that you can potentially put some or all of your retirement savings out of reach of tomorrow's tax collectors. Qualified withdrawals from a Roth IRA are tax-free, which means any future investment gains can be shielded from the IRS. In addition, converting allows you to avoid the IRS's required minimum distributions (RMDs) that kick in the year after you turn age 70.
More on Roth conversion rules

But converting isn't for everyone, and it's a good idea to check with a tax or financial advisor before you make a decision. As you weigh the pros and cons, here are some important points to keep in mind:

1. You have to pay taxes on the amount you convert.

In return for the potential future tax breaks of a Roth, you have to pay income taxes when you convert. That means if you have money in a traditional IRA that you haven't yet paid taxes on, you could have a substantial tax bill. Say you're in the 28% tax bracket, you could owe $28,000 on a conversion of $100,000.

Still, converting may benefit you in the long run if you expect you'll be taxed at a higher rate when you retire. If you expect your rate will be lower, converting may not be beneficial. If, like most people, you're not sure what your future tax rate may be, you could consider converting just part of your traditional IRA to a Roth. Doing so gives you "tax diversification" because you've got some money in a Roth and some still in a traditional IRA.

2. Don't convert if you have to pay the tax on the conversion with money from your IRA.

Stick with the traditional IRA if you don't have money available outside of your IRA to pay taxes on the conversion. Pulling money out of your IRA to cover taxes can defeat the purpose of making the switch in the first place. By reducing your retirement savings, you reduce your ability to generate future tax-free earnings on money invested in the Roth. In addition, if you are under age 59, the amount pulled out of your IRA to cover the taxes may be subject to a 10% IRS penalty. A cash account is generally the best place to get the money to pay the taxes on the conversion.

3. You can lighten the tax burden of a conversion.

If you don't have enough money to pay taxes on converting all your traditional IRA assets, or if doing so would push you into a higher tax bracket, you can consider converting just part of your assets.

In addition, a special provision applies to 2010 conversions that gives you the option of postponing the tax bill and paying it off over two years. If you choose this route, taxable income that results from the conversion gets spilt evenly between 2011 and 2012. But be aware that tax rates are scheduled to go up in 2011, sobarring any new tax legislationyou could end up paying taxes at a higher rate.

4. The longer your time horizon, the more you can potentially benefit from a conversion.

A conversion may not be for you if you expect you'll withdraw the money within five years. Generally speaking, you'll only be able to withdraw earnings from the account without taxes and penalties if you're age 59 or older and you've held the Roth IRA for at least five years.

As for withdrawals of your original conversion amount, those are tax-free. But to avoid a 10% IRS penalty, you generally must be either at least age 59 or wait at least five years after your conversion to make the withdrawal.

5. Your heirs may benefit from the conversion.

During your lifetime, you don't have to take money out of the Roth IRA because you're not subject to RMDs. That means you can leave the entire accumulated balance to someone else. And while a beneficiary who inherits your Roth IRA may be subject to RMDs, he or she can withdraw the amount of your original conversion tax-free. Any earnings are also tax-free, provided that the Roth IRA meets the five-year holding requirement.

Source: Vanguard

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

Tips for Eating Well in Lean Times

noreply@blogger.com (Everything Finance) — Mon, 05 Oct 2009 09:40:00 -0400

All it takes is advance planning and creativity to eat nourishing, balanced meals on a budget, according to Cleveland Clinic registered dietitians. Preparing food at home is not only less expensive than eating out, it can be a source of fun family time without an admission price! All ages can assist in preparing meals, finding new recipes and scanning the grocery ads for the best bargains.

Buy perishable foods in quantities you'll use. Spoiled food that's tossed into the garbage is no bargain! Look to frozen fruits and vegetables, which are less perishable and allow for portion-controlled servings, unlike canned foods.
Buy fresh fruits and vegetables in season. You'll not only save dollars, you'll also enjoy the most wholesome food on the market. And buying locally grown produce helps stimulate your local economy!
Buy meat in bulk and cut into servings at home. Each stroke of the knife in processing costs more at check-out. Try buying fresh pork loin and slicing it into low-fat loin chops at home. Buy a roast and cube it into chunks for beef stew. Buy a whole chicken and cut it up at home. The less time spent in processing, the better the food value.
Beware of BOGO - buy one, get one free. Either you'll wind up buying foods that you won't eat, or you'll be paying an inflated price for the "buy" item to cover the cost of the free one.
Be an informed shopper and stick to your list. Impulse buying at the grocery store leads to the demise of your food budget!
Limit your purchase of ready-prepared foods. Go to the deli or refrigerated sections for ready-made foods only on occasions when you're willing to pay more for the convenience. You pay a higher price to have someone else prepare the meal.
Clip coupons with caution. Coupons may persuade you to purchase items you generally wouldn't buy. But if the coupon is for an item you can use, look for stores that give double-coupon redemption for extra savings.
Use your imagination with leftovers. Create soups, casseroles and brand-new dishes with your leftovers to avoid tossing out unused food. If you run short of ideas, browse websites for recipes; just key in your leftover ingredients.
Look for outlet stores such as day-old bakeries. Prices are reduced by more than 50 percent from store prices. Bread products freeze well and are versatile - they can be used in sandwiches, in recipes calling for breadcrumbs and for stuffing.
Avoid portion-controlled snack packs. Not only are they more costly, they may not save you calories, either. Remember that fat-free doesn't mean sugar-free, and vice versa!

©2009 Copyright by Everything Finance

How to Raise Your First Million Dollars!

Length of investment	Tax rate
Owned it <>	Same as regular income
Owned it 1 year	No more than 15%
Owned it > 5 years, but purchased it after 1/1/2001	No more than 10%