Monthly Archives: January 2017

Tips to Become Rich with Online Work

People who lost money due to their own ignorance often tell others about the ‘dark side’ of Forex. But these things are not truthful at all, and the reality can argue with false myths. Still, some impressive newbies believe everything they hear. In this article, Justforex team will reveal all secrets and myths about Forex to you and tell whether they are true or false.

1. ‘Forex is scam/gambling/pyramid’. We bet this myth won’t die even if one more hundred of years will pass. If you are a newbie, you’ll hear that Forex is like a big casino for approximately a million of times. In fact, trading on Forex is more serious than gambling. It’s just a market like any other one, food or property market. At the same time, many scammers came here to cheat people, that’s why this myth appeared. It’s not a pyramid either, because pyramids don’t require any logic and experience. In Forex these things have paramount importance and you just won’t be able to make money without them.

2. ‘Choose: Forex or your job’. Many people consider that you’ll have to be glued to your monitor waiting for a signal to open a trade. Fortunately, it’s just a myth, and you can easily combine your job and trading on the Forex market. This legend appeared because of short-term trading. It really requires maximum concentration of a trader. But deals usually are too short, up to 10 minutes. If you are a long-term trader, you’ll need just 5-10 minutes for checking your transactions. Remember that it’s no guarantee that 24-hours trading will make you profitable. Statistics says that 90% of traders combine their work and Forex successfully.

3. ‘Any broker wants to deceive a client’. Though there are really some scam brokers on the market, not all companies want to deceive a client to have some little one-time profit. The benefits of such an approach are unpleasant and small. If you have some issue, you can send a complaint to the regulatory authority. Here is a short list of regulators: Belize – International Financial Services Commission (IFSC) China – China Securities Regulatory Commission (CSRC) Hong Kong – Securities and Futures Commission (SFC) India – Securities and Exchange Board of India (SEBI) Indonesia – Commodity Futures Trade Regulatory Agency (CoFTRA) Latvia – The Financial and Capital Market Commission (FKTK) Malaysia – Securities Commission (SC) Russia – National Association Of Securities Market Participants (NAUFOR) Switzerland – Financial Market Supervisory Authority (FINMA) The UK – Financial Conduct Authority (FCA), Financial Industry Regulatory Authority (FINRA), National Futures Association (NFA)

Note that obtaining a license is not cheap ($20 million without clients’ deposits). It’s unlikely that any broker wants to lose these money and the whole business. Moreover, profitable traders bring profit to the broker (they are commissions and spreads). That’s why many licensed companies try to develop long and high-quality partnership with their clients.

Some Signs of a Decaying Financial Portfolio Management System

One of the biggest threats that most Portfolio Managers face is the prevalence of legacy systems.

Over the past three decades, investment advisors have been empowered by the advent of technology from simple spreadsheets to complex home-grown systems. From that time to the present, the industry has seen exponential growth and with it, enormous complexity. Challenges include round-the-clock trading in markets from New York to Sydney, varying accounting standards, shortened settlement cycles, and of course, increased regulation and security issues to name a few. As if that were not enough, technology seems to change every day leaving many legacy systems struggling to keep up with customer demands. Cheaper, faster, smarter, and more efficient norms are expected – they cannot be the exception. Failing systems can sharply undermine your company’s ability to service its customers and maintain its market share, much less grow the business.

In this age of big data, business intelligence, and data analytics, legacy systems can represent a massive risk to your business. If day-to-day operations require the ability to manage process, distribute, and accurately report financial data, being behind the curve is not an option. If this sounds familiar, it is time to ask, “How did we get here?” and more importantly “How do we get out?”

Here are the seven signs that will tell you if you have a decaying system and how it must ideally operate:

1. Facing difficulties while managing data due to disparate systems?

Maintaining data in different systems or manually moving move data from one system to another will lead to inconsistency and errors. Is your data quickly identifiable, consistent across multiple systems, complete, accurate, and reconciled among different systems? If your answer is a NO to these questions, you must reevaluate your platform. Your system must be able to eliminate manual data flow, update all the data with a single change, deliver timely and accurate reporting including intra-day, and make data easily traceable.

2. Are your client communications professional?

Investors expect your reporting to be clear, concise, and highly customized to their needs. This statement holds especially true for institutional investors. Organizations that can meet these expectations will have an immense competitive advantage over those that cannot. If your current system does not deliver the level of reporting your clients expect, you will run the risk of falling behind.

Your client expectations are not limited to the form and content of reporting, but also to how you deliver information. They expect instant access to real-time information, be it through a web portal or a mobile platform to stay relevant and highly competitive, your systems must be flexible enough to send and receive communications via any channel of your client’s choosing.

3. Struggling to cope with complex global investments?

Dealing with multiple regional and global investment regulations such as UCITS V and VI, Solvency II, AIFMD, and EMIR is a daunting task. All these regulations require you to maintain reliable, accurate, and transparent data. To comply with these regulations, you need Workflow Management, Data Management, and accurate reporting. Data, managing risk, and maintaining accuracy is critical to comply with regulatory reporting requirements.

With the increase in data sources and data complexities, your organizations need solution providers who can help you manage your data. Your system must not only be scalable but also provide actionable business intelligence in a format that is easily understood.

4. Finding it hard to achieve Integration of disparate systems?

Real integration is not a matter of simply connecting systems – your systems must be able to talk to each other seamlessly. Manually moving data from one system to another affects your efficiency, thereby, increasing the risk of errors. Integrating disparate systems not only reduces these risks but also improves efficiency by ensuring that back office and front office personnel can view transactions, cash positions, and holdings identically. This ensures that the entries are recorded accurately in your Investment Book of Records (IBOR).

Many organizations use multiple systems for accounting, reporting, reconciliation and managing client information. If different vendors have provided these systems, making them talk to each other could be a challenging process. If you have workarounds or portfolios that reside outside of your legacy system, it is time to rethink its usability. Your system must allow centralized and standardized portfolio management activity. In an end-to-end portfolio management solution that is built on open architecture, the work of multiple systems is consolidated into a single platform. Such a solution will allow easy access to third-party systems or any other system that is built in-house, thereby enabling you to reduce technology footprint while driving greater efficiency.

5. Escalating legal and compliance costs?

A 2013 survey of Chief Technology Officers suggests that one of the biggest operations and technology challenges that asset managers face is to comply with the current and future regulatory requirements. The complex regulations make outdated reporting systems more of a liability than an asset. The compliance costs of regulations such as AIFMD, UCITS V, and VI, or FATCA-are overtaking many budgets. Additionally, aggregating data from different systems for compliance reporting is a risky and resource-consuming process. To reduce these risks and costs simultaneously, your system must be prepared to deliver consolidated reporting, by leveraging automation, integration, and standardization of data from various sources. Your systems must also eliminate the manual compilation of data for reporting, thereby increasing efficiency and cutting associated compliance labor costs while ensuring integrity, consistency, and reducing your operating risk.

6. Being scrutinized by Investors’ due diligence?

After surviving the global economic crisis of 2008, institutional investors have become extremely wary of due diligence, leading to immense scrutiny of operations. The 2008 crisis exposed operational risks – the risk of failure that not only involved market forces but also the lack of infrastructure and controls. Investors have also become increasingly tech-savvy; they are asking the right questions and know what to find. To remain competitive in this vital market, your system must stand up to the intense investor scrutiny. You must show that you have the controls in place to manage the risks efficiently and that you are already adhering to well-organized processes. If Investors sense any gaps in your workflow and find that you are dependent on manual processes and workarounds, they will take their money elsewhere.

7. Legacy systems are not supported, serviced, or enhanced in the way you expect?

A product is only as good as its provider. Is you provider paying enough attention to you after the sale with 24/7 support? Does your provider have a track record of continuous product updates? Do they provide product training? Are they attentive to your suggestions or new ideas? Your provider must provide long-term support if you want your new system to last. Your product must be scalable, flexible, and must be built on open source technologies. In addition, your provider must not only help you set up but also ensure that your systems perform optimally without any disruptions. A relationship is a two-way street; as such, providers must be able to respond to your issues quickly, and also help your business adopt new functionality as and when it is needed.

Invest in your growth

A portfolio management system is the heart of your business. With a weak system, your business can be at serious risk, and you may not have the time to address it before it fails completely. Investing in technology will give you greater efficiency, reduced risks, and help you make informed decisions. Your provider, therefore, must have a proven track record of being committed to long-standing services, continuous improvement, and support you as you grow.

The Financial Literacy Month And Boost Your Kid’s Money Management Skills

Research shows that youth in America have a lack of understanding when it comes to proper money management skills. Teaching kids how to appropriately manage their finances is essential so they have the necessary tools to become financially responsible adults. Below are tips to help teach children about appropriate money management.

Use Cash – It may be true that credit and debit cards are more convenient to use, but children pay attention to how adults manage their money. Using plastic doesn’t allow them to see the actual interchange of money for purchases. Let the kids see that in order to make a purchase you have to hand over cold hard cash.

Don’t Spend the Money As Soon as You Get It – Always lead by example. Before you go shopping always create a budget, spell out what you intend to buy and compare prices of each item. Teach children that it pays to plan all your purchases before you buy.

Teach Kids About the Importance of an Allowance – Most allowances are tied to chores like making beds, doing dishes or taking out the trash. It’s always beneficial to give them the opportunity to earn additional money for larger chores. However you chose to dole out the allowance, it’s also important to accentuate that saving and sharing are just as important as spending. Teach kids to set aside money in their piggy banks or use a bank account to reserve portions of their allowance.

Bank & ATM Visits – Visiting the bank or the local ATM is a perfect way to explain where money comes from. Explain that banks don’t just give out money but it’s a place to keep the money they’ve earned. Call and arrange with your local credit union a tour of the branch to show how money is stored and dispensed.

Delayed Gratification – Teaching kids that good things come to those who wait will help battle the buy now, pay later attitude. Always reinforce the idea that waiting pays off. This approach could help them ward off credit card debt later in life.

Brand Names Do Not Always Mean Better – Reinforce that it’s not always beneficial to shop by brands. At the grocery store illustrate that generic products can save significant amounts of money for people on a budget.

Keep Track of Their Money – Show children the importance of knowing where their money is going. Have them keep track of their money in a notebook or on the computer. You can even make a file where they can organize their store receipts and bank statements.

Wants vs. Needs – At the center of any good money management program is the capacity to differentiate between wants and needs. This realization will help build the groundwork for managing finances as an adult.

Build a Budget – Have your child sit down with you and generate a monthly budget. Explain the reasons to keep track of all monthly expenses and then see how much money is left over to either save or make a purchase they want instead of need.

Create a Wish List – It’s hard for everyone to have priorities, so sit down with your kids and make a wish list of everything they want to do with their money. It will help to rank the items on the list by importance.

Games & Other Budgeting Activities – Games like Monopoly, Life and Easy Money are great ways for parents to practice money management skills with children. Research the Internet for other fun ideas and activities to promote children’s financial literacy.

Make the Most of Their Savings – Present your child with different savings accounts that could earn them interest like CD’s, bonds or regular savings accounts. Work with an interest calculator to show them how their money can grow over time with basic monthly interest. I’m sure they will be amazed.

Sound money management is a life skill you can teach your children, especially when they are young. Using yourself as an example is very important as they engage what’s going on around them. Make sure your lessons are age appropriate in an effort to lay a solid foundation for good money management skills as they grow into young adults.

Tips To Select The Best Leasing Company For Your Car Wash Equipment

Have you decided to start a car wash business? If so, you will need to determine how you will be acquiring the equipment needed for your business. Though loans are a good option, one of the most popular ways to procure car wash equipment is leasing. If you wish to know more about the leasing options available to you, just contact the leasing companies in your area. But be sure to carefully filter them so that you only associate with good leasing companies.

What To Look For In A Leasing Company

When you have decided to procure your car wash equipment by leasing, your next decision would be to select a leasing company. To ensure that you only associate with a good leasing company, you should keep the following things in mind –

Lease Types: One of the first things to look for in a leasing company is the type of lease offered. Generally, there are two types of lease offered by a leasing company. A lease which allows you to own the equipment after the lease period is known as the Purchase Option lease. The second type of lease is called a Fair market Value (FMV) lease. But in an FMV lease, you do not own the equipment after the lease period. So knowing what types of lease are offered by a leasing company is very important if you wish to own the equipment after the lease period ends. Additionally, both lease will have two different repayment amounts. Usually, the monthly payment for the Purchase Option lease will be more expensive than an FMV lease. So if you are looking for the cheapest lease, then you should definitely enquire as to whether the company offers an FMV lease. Generally, most of the leasing companies offer both types of leases and as such, you should not face too much problem in this regard.

Types Of Repayment: You should also consider the types of repayment offered by the leasing company. Some companies will only provide a fixed repayment option in which you will have to pay a fixed amount every month over the lease period. This is the normal repayment option offered by most leasing companies. But some companies may offer an alternative repayment plan in which your monthly payment becomes lower as the lease period progress, to keep up with the decrease in the value of the equipment. For example, you may pay $500 per month for a $20000 equipment this year. But if the equipment is revalued at $12000 next year, you may only need to pay $300 per month.

Collateral: Another major factor you should consider is the collateral required by the leasing company. Normally, your equipment itself is sufficient collateral and companies never ask for any additional collateral. However, if your credit situation is very bad, then you may be required to submit an additional collateral. If such a situation arises, it is better that you search for another leasing company who can lease to you without any additional collateral. As said earlier, usually your equipment itself is the only collateral required by the company. As such, you are less likely to encounter such a problem.

Initial Expenses: You also should have a clear idea of the initial expenses you will incur to obtain the lease. There may be expenses like application fees and such. You should ask the company about the full expenses related to the lease. Additionally, leasing companies will expect you to pay a few months’ lease payments in advance. This may impact capital funds significantly, especially if your capital is limited. So it is very important that you know how many months’ advance you will have to pay. If you are lucky, you may come across a leasing company who do not require any advance payments.

It is also better to check the history of the leasing company to ensure that you do not get entangled in any fraudulent companies. Make sure that they have long years of experience in leasing equipment and that their customer testimonials are also positive. Associating with a reputable leasing company will go a long way in making your equipment acquisition a quick and stress free affair.