Wealth management is a skill and one for which the high earners of the world will happily pay a premium. businesses that specialise in wealth management can help their clients grow their portfolio and guarantee returns – but changes to the industry are beginning to rock the boat.
The principal driver behind modern challenges facing international wealth management is the recent explosion in consumer-facing fintech solutions. Retail trading platforms and alternative banking apps have enjoyed immense popularity in recent years, inspiring significant investment in the last year especially.
The growth in accessible investor platforms should be a boon for the wealth management industry, as more and more consumers engage with new forms of savings and investment – increasing the client pool and giving wealth management enterprises more chances to expand. However, emergent platforms are having the opposite effect on the market.
The accessibility of app-led fintech platforms enables individual users to retain more direct control of their finances than ever before. Users can buy and sell shares and currencies, transfer wealth and access investment pools in hitherto impossible ways, without the “middleman” of a wealth management broker to handle transactions on their behalf.
Undercutting of Fees
Not only do these alternative wealth management solutions offer unprecedented access to international markets, as well as fine control over the specifics of user portfolios, but they also present these options at a much cheaper cost to the user. Transaction fees and interest rates are highly competitive against the not-insignificant fees associated with retaining the professional services of an adviser or broker.
Of course, the overall ‘cost’ to users of platforms such as these is much higher. a lack of in-depth knowledge of international markets, and a tendency for users to ‘gamble’ as opposed to invest, lead the majority of retail investors to lose money as opposed to grow their wealth. But this truth is poorly communicated, as devolved control over wealth management is advertised as a positive as opposed to a negative.
How to Combat a Changing Market
Luckily, the retail investor demographic has a relatively narrow crossover into the client demographic sought by wealth managers. The real dangers come from the tech-led utility of certain platforms and institutions, that may pry shrewd high-value customers away from wealth management services and towards self-directed platforms and strategies.
The major USP of wealth management firms currently is that of the personal touch; apps and platforms can only learn so much about a user and their motivations, and they are motivated to extract money as opposed to grow portfolios. As such, a wealth management firm can reposition itself as a business uniquely placed to put customers first; to be there on the phone, and to talk through options directly.
When starting a business in the traditional sense, you have to think about the source of capital, physical location, and more, all of which can require a lot of money. But with the internet, not so much.
You can start a business with almost nothing and grow it to any possible height. However, it is essential to understand that every other person is looking for the same opportunities presented by the internet, so standing out can be a problem.
But worry not, as this post highlights some practical tips on growing your online business.
Determine Your Niche
There are thousands of online businesses you can start. However, having too much on your plate as a start up can be overwhelming, so you will want to pick a niche that you feel will work best for you.
For example, an online cosmetics business can be a good fit if beauty is your thing. If you love jewellery, focus on jewellery first.
Niching up doesn\’t mean you can\’t sell anything else, you could, but it\’s best to allow one business time to stabilize before thinking of other things.
Also, you want your audience to identify you with something. Specialization helps build a reputation as a knowledgeable brand in your field, which can help boost your audience\’s confidence.
Conduct Market Research
Whether you want to run a brick and mortar store or an online business, conducting market research is a must because you want to be sure you will profit from your business.
You will want to consider what your target audience wants, how to reach them best, methods used by your competitors to reach them, prices, profit margins, and anything that can help you understand your target market.
Once you have this information, you can determine your business\’s viability or adjust your plans to fit the demands of your target market.
Get a Website
If you are running a business online, you will need a website that will act as the internet version of the brick and mortar shop. Also, having a website helps build credibility.
For example, if you sell stuff on social media, having a website for your products can help build a legit reputation.
You do not have to go big on a website when starting. With a budget of around $500, you can get a basic small business website. If you are tech-savvy, you could build one for yourself and buy a domain name and hosting services.
With your website up and running, your business is now online. However, you may need to work on your website\’s SEO to get your business in front of as many eyes as possible.
Take Advantage of Free and Cheap Online Tools
Like a brick and mortar business, you will need tools to perform some tasks. If you are in a cash crunch, free and cheap online tools can be a lifesaver.
For example, an online business will generate tons of documents you need to keep. With every transaction producing documentation, you may need a tool to help organize and merge your business\’s documents.
For example, this tool by PDFSimpli can help you merge and compress a PDF file for easier organization and help stretch your storage capacity.
Integrate Social Media
Gaining a stream of clients for a start up can be slow and demoralizing, but a slow start is normal, but it should pick up with time. Social media is one of the best places to help boost your new business\’s growth in a shorter time.
According to statistics, seven in every ten Americans are on social media. You only need to identify the platforms where your target audience is and focus on them in your marketing campaigns. You can outsource social media marketing if you are not good with it.
Pensions specialists Penfold has unfolded what the impact of a possible recession will have on pensions including tips on how to prepare pensions in the event of another recession.
In the past, recessions have arisen when people become concerned about the economy and stop spending. Many of these same signs can be seen in the UK in 2022.
Currently, the inflation rate stands at a 40-year high of 9.4%, with reports stating that the rate could increase up to 12% in October, according to the latest data by ONS.
Rising energy costs and the cost of living crisis have already led to many Britons tightening the purse strings and with further rises to energy bills coming in the Winter, many are predicting a recession is on the way.
How does a recession affect your pensions?
What happens to pensions in a recession is broadly in line with what’s happening with financial markets as a whole.
Everything you pay into your pension is invested into something called a pension fund.
A pension fund is a big collection of pension savings that invests in a wide variety of financial assets, such as:
Stocks and shares
Commodities like precious metals
Generally speaking, your money will be diversified – spread across a broad range of these investments.
When the economy is struggling, the value of these investments tends to dip as well – potentially impacting the value of your savings.
If you still have a few years before retiring (i.e. more than 5), you shouldn’t panic. Your savings will have plenty of time to recover.
In fact, if you can, continuing to pay into your pension when market prices are lower means you may benefit when the market eventually bounces back.
Top tips to prepare your pensions in advance
For those very close to retirement, you may have to act a little sooner. Consider doing the following:
Moving to a pension fund comprising of less volatile investments like government bonds
Drawing income from other sources for the short-term
Pushing back when you start accessing your pension
However, before making any moves, you should always speak to a financial advisor before making a firm decision.
One thing we can’t predict right now is how long or severe any potential recession might be.
For example, the UK also dipped into a recession during the onset of the Covid pandemic, although it recovered in a couple of months.
If you’re worried about the future of the economy and its impact on you you can act now.
You can consider:
Make a budget and reassess any short-term goals
Clearing any high-interest debt
Preparing an emergency fund
The best way to beat inflation is to put your money somewhere where it can grow.
By investing your money in a diversified, long-term pension fund, the return on investment that comes from your pension could outstrip inflation, helping preserve the value of your hard-earned money and leaving you with more than you began with.
Of course, investing can be a little scary. Saving into a pension involves risk, and the value of your pot can go down as well as up, more so in the short term. But that doesn’t mean people should be put off investing their money.
Truth is that leaving your money in a current account or under your mattress isn’t as safe as it might first seem. In fact, you’re actually losing money as inflation eats away at your savings.
Despite crypto being on a downturn, builders are optimistic about the future, with each NFT meetup gathering more and more creators looking to network, discuss ideas, and talk over novel use cases.
Following the crypto market downturn, skeptics keep painting a gloomy picture of the future. However, Indrė Viltrakytė, leading the WEB3 fashion venture ‘The Rebels’, has shared that market volatility has not dampened the optimism of the builder community. Having participated in the hottest NFT events of 2022, she has shared firsthand insights reflecting the prevailing mood of excitement and the main trends that resonated across different meetups.
Events – a backdrop for networking
While most of the NFT conferences’ agendas have an impressive line-up of visionary topics, often they play only a secondary role. The main selling point remains the opportunity to network and blend into the community.
“Since the market is nascent, there are still a lot more questions than there are answers. Therefore, everyone is eager to bounce off ideas of one another, which helps bring clarity and focus to their work,” Viltrakytė commented.
Keeping the party going
Despite some painting a ‘doom and gloom’ future for all-things-crypto, Viltrakytė says the NFT creator community remains optimistic about the industry’s future, and it clearly shows in the attitude with which they approach discussions or present ideas.
“Builders that continue traveling to different events to network, learn, exchange ideas as well as present their own are in high spirits and not at all shaken up about the current state of crypto. Everyone is bullish, despite short-term market uncertainty, and being certain that the ‘dark clouds will pass’ keeps the creativity flowing.”
Rising number of women builders
In 2021, women accounted foronly 16% of the NFT art market. However, the scale is slowly leveling out — Viltrakytė noted a noticeable increase of women attendees in NFT events, keen to present their ideas. In some events, women even outnumbered men, showing their growing interest in WEB3 art and its use cases.
“Not that long ago, the industry had a strong label of being a ‘boys only’ club. Now, albeit slowly, but the predominance of a single gender is clearly diminishing, which is incredibly exciting for a few reasons. First, women are proactively killing the stereotype that they aren’t tech-savvy, and secondly, the more diverse ideas are floating around in the market, the more innovative products are likely to be launched because of it,” she commented.
Less chit-chat – more discussion
While most of the NFT events strive to strike a work-play balance, Viltrakytė said flashing lights and glitter paled before workshops and discussions. She noted a few experiences that stood out, one of which was an entire week of mini panels held at the‘We are Web3’ conference, where women could gather and learn.
“I think this will strongly impact how these events are held next year; less music – more spaces to discuss ideas and network with those who can help bring them to life.”
Digital fashion on the world stage
Currently, the topic of WEB3 fashion and digital wearables stands out as one of the key narratives in the NFT scene. According to Viltrakytė, fashion will be an important link between physical and virtual experiences, streamlining entry into the virtual world and helping to create a true-to-self digital identity.
“Digital wearables will play a crucial role in virtual worlds, as they will enable users to create avatars through which they can experience the metaverse. In the grand scheme of things, WEB3 will redefine the fashion industry as we know it in a variety of verticals, including self-expression, social networking, industry’s sustainability, its creative potential, and others,” Viltrakytė commented, noting that the curiosity to explore these possibilities is what led to co-founding ‘The Rebels’.
“WEB3 and NFTs have opened many new doors for both established fashion houses and emerging designers. It is very exciting to be part of the force shaping the future of the industry with ideas that, not that long ago, seemed like science fiction but now are becoming the new reality.”
Three Leading Reasons why Corporate Fraud Slips Through the Net
Corporations are formed to create value for shareholders. They do this by carrying out business activities that take inputs (such as labour, materials and innovation) and create high-value outputs that generate a profit. Administrative functions such as finance, serve the primary business by accurately recording and reporting the results of the business. Using this timely information, managers can make investment decisions and change strategies to optimise business operations.
Corporate fraud can cover a range of misdeeds including misstating the financial health of the business (either by hiding liabilities or overstating sales or assets), and theft of assets, known formally as misappropriation or embezzlement.
The fraud triangle is the theory that states three conditions must be in place for a fraud to occur. In this article, we’ll examine the fraud triangle to understand why corporate fraud can slip through the net.
An introduction to the fraud triangle
The fraud triangle is visualised as a triangle with three points, representing the following factors:
Incentive Opportunity Rationalisation
Incentive refers to the pressure that an employee is exerted under that ultimately drives them to step over the line and commit fraud. This pressure could come from within an organisation (via a line manager or CEO), or from outside factors such as needing cash to pay an aggressive creditor.
People don’t commit a crime and take such risks with their liberty when left to their own devices. Usually, there is an extraneous source of pressure that makes the risk logical or worthwhile.
Opportunity refers to the means through which an employee could possibly commit fraud. A shop floor cleaner is unlikely to perpetuate corporate fraud because they have no means to do so. In contrast, a senior accountant exercises much control over accounting entries that are posted into the accounting system, and this represents one opportunity to act unethically to gain some form of advantage.
Rationalisation addresses the human element of committing fraud; namely, why did the individual feel justified in betraying their employer or the company shareholders? Interviews with convicted corporate fraud felons have usually revealed how the fraudster rationalised what they were doing as the ‘right thing’.
Perhaps they had become indoctrinated by the company\’s purpose and therefore understand that any steps, no matter how illegal, were for the greater good if they enabled the company to continue its mission. Or the rationalisation could be more malicious; i.e. the employee felt they were owed something by the company. Perhaps they felt entitled to plunder cash from the firm after years of being denied pay rises and being passed over for promotion.
Now you have understood the fraud triangle, you will have insights into the different necessary failings of a company that must occur to let a corporate fraud slip through the net. If a company can reduce the pressure placed on employees to meet financial targets, remove or limit the opportunity for employees to commit fraud (by segregating duties, for example, which removes the power from a single individual to undermine the system), and give employees no reason to feel such ill-will towards the firm that they may rationalise stealing from them, then they will reduce the likelihood of corporate fraud.
A Federal Housing Administration (FHA) loan is a loan insured by the organization to protect lenders from risk. FHA loans are private mortgage loans that the Federal government backs. The government backing allows lenders to offer FHA loans with terms and rates favourable to the borrowers.
FHA loans are designed for home buyers, especially first-time buyers with poor credit and little to no savings. You can use an FHA home loan to finance or refinance a single-family home, multi-family home, condominium, or manufactured home. The following are several things you should know about FHA loans:
How A FHA Loan Works
As of 2022, if you have a credit score higher than 580, you can borrow as much as 96.5% of a home’s value via an FHA loan. You will have to pay the remaining 3.5% as the down payment. You can get an FHA loan if you have a credit score of 500 to 579. However, you will have to pay a 10% down payment. The FHA does not offer any money for the loan. The bank or financial institution is the one that lends the money. Only an FHA-approved lender can issue an FHA-insured loan. FHA loan borrowers are encouraged to get mortgage insurance and pay the premiums to the FHA. The FHA guarantees the loan making it easier to get bank approval due to the reduced risk.
Types of FHA Loans
There are various types of FHA loans, but the following are the most common:
Basic or Traditional Home Mortgage 203 (b)You can use a basic home mortgage to purchase or refinance a primary residence with a minimum down payment. However, you can’t buy a house that needs more than $5000 worth of repairs with the loan.
203(k) Rehab Mortgage
You can use the 203(k) Rehab Mortgage to finance a fixer-upper, and the repair costs must be more than $5000. On the other hand, the repairs cannot take more than six months to complete.
Home Equity Conversion Mortgage
The Home Equity Conversion Mortgage is a reverse mortgage that allows senior citizens (over 62 years) to exchange equity for cash. Most people use it to supplement their retirement funds or income. The borrowers must retain the property as their primary residence, pay taxes, and maintain it.
Energy Efficient Mortgage Program
You can use a mortgage to make home improvements that make the property more energy efficient. The property must undergo a professional evaluation for you to qualify for the loan.
The Growing-Equity Mortgage or Section 245(a) Graduated Payment Mortgage is designed for borrowers who expect an increase in income. It has a low initial monthly payment which increases over time. Section 245 (a) of the National Housing Act created this loan. You can only use the loan for single-unit primary-family homes, but you can select one of five different plans with varying duration and pay rises. An FHA mortgage calculator is a powerful real estate tool that can help you stay on top of your mortgage payments.
FHA Loan Limits
There are limits on every type of FHA loan, especially pertaining to the amount. As of 2022, the FHA loan limits are a minimum of $420,680 to a maximum of $970,800. The minimum loan limit is meant for low-cost areas and vice versa. Different states and counties have varying real estate prices, so moving to a cheaper area may afford you a better chance of getting a loan for excellent housing.
The FHA insures mortgage loans from private lenders, helping borrowers get favourable terms and rates. Above are some things you should know about FHA loans. Educating yourself to learn as much as possible about FHA loans to get the best deal and ensure you can pay it back would be best.
“Health is wealth,” as the famous saying goes, and many believe this to be true, especially in recent years when prices for medical care and health maintenance services have continued to rise. Any serious illness or injury can significantly impact a person or a family’s finances. Hence, in the long run, it’s better to invest in caring for one’s health and well-being and prevent any health issues.
Protecting yourself and your family from sicknesses or ailments is an indirect yet effective way of building wealth. You’ll be able to save a substantial amount of money by preventing hospital visits, inpatient treatment, and other complex medical procedures. Then, the money saved can be allocated to paying for other expenditures or can even be invested to earn profits. Overall, staying fit and healthy is an excellent way to protect your earnings and improve your finances.
If you’d like to know how you can build wealth through well-being, continue reading this article.
1. Invest In Preventive Care
Many adults who work regular jobs lead a sedentary lifestyle where they spend hours sitting at a desk, which experts believe is harmful to one’s well-being. For one, prolonged sitting contributes to weight gain, muscle loss, and chronic neck, shoulder, and back pain. However, it can be challenging for many to make the necessary changes to protect their health.
If you have the same situation, you can consider investing in preventive care to build wealth. For instance, consulting with Whitepine’s Brampton chiropractor can help alleviate pain and provide treatment as required. With preventative health maintenance, you’ll be able to address issues early on and avoid expensive medical bills for severe illnesses and complications that chronic back, neck, and shoulder pain can bring.
Your chiropractor can also help you prevent injuries and improve your body movements. Overall, you’ll be able to function better at work and home, allowing you to perform your role better and become more productive.
2. Improve Your Nutrition
One of the simplest yet most effective ways to care for your health is by improving your nutrition. For one, having the right amount of nutrients allows you to have the energy you need to work through the day. Your immune system, which protects your body against ailments, also needs vitamins and minerals from food to function properly. In case of sickness, the food you eat can also influence the speed of your recovery. Hence, many doctors recommend focusing on good nutrition to take care of your well-being.
Improving your food intake is a great way to build wealth in that it helps you make the right food choices and spend wisely on your nutrition. By doing so, you’ll be able to save more money and become healthier as well.
3. Engage In Physical Activity
You can also consider regular exercise an excellent way to invest in your well-being. Engaging in physical activities strengthens bones and muscles, enhances blood circulation, boosts cardiovascular and respiratory functions, and improves the immune system.
Apart from its contribution to internal health, you’ll also be able to manage your body weight better by working out regularly. Doing so will improve your physique and make it easier for you to perform your daily activities. Thus, it’s wise to invest time, energy, and resources in regular exercise.
4. Care For Your Mental And Emotional Wellness
Besides caring for your physical health, you’ll also need to invest in your mental and emotional well-being to have a healthy and fulfilling lifestyle. Being mentally and emotionally healthy is essential to a person’s quality of life, and its absence can lead to being unproductive, demotivated, or self-destructive.
In extreme cases, mental disorders can significantly impact a person’s ability to earn money. Moreover, severe mental ailments require extensive medical treatment, which comes at a substantial cost. Altogether, your mental and emotional well-being can influence your financial status, so it’s wise to invest in its care and protection.
Here are some of the ways you can invest in your mental and emotional wellness:
Pursue hobbies and interests that provide mental stimulation.
Seek professional counseling and therapy services.
Create healthy social media habits, such as setting a daily screentime limit and managing your interactions.
Set aside time to connect with your support systems, such as your family, friends, and loved ones.
Discover techniques and strategies to manage stressful situations in everyday life effectively.
Your emotional and mental health significantly impacts the quality of your life, your ability to care for yourself and your family, and your ability to provide for those you care about financially. Thus, investing in your well-being can be considered an act of building wealth.
Good health helps you achieve your goals, earn a living, and manage your finances. Moreover, it also allows you to provide for your family and secure their future. Therefore, investing in your overall well-being is an excellent way to build wealth for yourself and your loved ones.
Forex trading is becoming an increasingly popular way to make money, but it can be daunting for those who are just starting out.
One of the most common questions newcomers to the Forex market ask is how much money they need to start trading. The answer, unfortunately, is not a simple one. The amount of money you need to trade Forex will depend on a number of factors, including your experience level, your risk tolerance, and the type of account you open.
However, there are a few general guidelines that can help you determine how much money you need to start trading Forex. In this article, we explain what is the minimal amount of money you will need to start trading Forex.
Forex Trading for Beginners
Trading Forex can be a daunting prospect for beginners, but with the right approach, it can be a profitable and exciting activity. One of the key things to remember as a beginner is that trading Forex is all about risk management. This means knowing how much you can afford to lose on a trade and sticking to that amount. It\’s also important to have realistic expectations when starting out in forex trading. Don\’t expect to make huge profits straight away – focus on building up your account gradually.
For beginner Forex traders, see xm review to get started in the market. Unlike a standard account, which is denominated in US dollars, a cent account is denominated in cents. This means that each pip is worth only a fraction of a cent, making it much easier to manage risk. In addition, many brokers offer cent accounts with lower minimum deposits than standard accounts, making them more accessible to beginner traders.
The Minimum Amount To Start Forex Trading Now
If you must start trading right away, you can begin with $100 but for a little more flexibility, you will need a minimum of $500. This will give you enough buying power to trade a standard lot, which is 100,000 units of currency. If you can afford to trade a larger position, you may be able to trade a mini lot (10,000 units) or even a micro lot (1,000 units). However, it is important to remember that the Forex market is highly leveraged, which means that even a small movement in the markets can have a significant impact on your account balance. As such, it is important to use risk management tools such as stop-loss orders to protect your account from excessive losses. With proper risk management in place, you can trade Forex with a relatively small amount of capital.
It is always helpful to start small and gradually increase your position size as you gain experience and become more comfortable with the risks involved in forex trading. By following these simple guidelines, you can ensure that you have the capital you need to start trading Forex successfully.
The term “spirit animals” is commonly associated with spirituality and tradition. In many cultures, a person’s journey or characteristics may be likened to that of a particular animal, prompting the said individual to adopt the said beast as their spirit animal. But it’s not just people who find themselves sharing similar values to animals.
There are also financial events and activities that many people closely associate with real and imaginary animals. Experts sometimes use spirit animals to make a close approximation of the ways that human emotion can drive the movements of the economy. The market can be typically described in this sense as either a bull or a bear market. For the purpose of this discussion, we’ll be focusing on the latter. But what exactly is a bear market, and how can one make the most of this particular situation?
What Is a Bearish Market?
Bear markets refer to a prolonged period of price declines, during which even average stocks fall about 20% after a recent high. It’s a challenge to sell at a profit during this slump, so it’s no wonder that it’s often accompanied by negative investor sentiment and confidence. There are a few ideas why a bear market is called such. One is the association between hibernating bears and the decline in prices, while another is more closely tied to how bears attack their prey, which is by swiping their paws downward.
While a bearish market can sound like bad news for current and would-be investors, that’s not entirely the case. As always, a seemingly unfortunate situation can offer opportunities to intrepid individuals. Investors who want to maximize their chances of success during this time should keep the following in mind:
Take Advantage of Low Market Prices
Bear markets tend to rattle investors, who will then attempt to cut their losses by selling their assets at low prices. However, if you have funds set aside for investment, this is an opportune time to buy stocks or other assets like cryptocurrencies. For instance, if you plan on investing in Monero (XMR), you can add more digital coins to your XMR wallet since the price for each coin in a bear market is much more affordable compared to other times.
The same can be said for other assets like stocks. However, where you put your money is a decision that you should seriously think about. What is your investment horizon and how much are you aiming to get out of your investment? Knowing the answer to these questions will help you decide which the best channel for growing your money is.
Use Dollar-Cost Averaging
When prices are low, it can be extremely tempting to dump your money on assets that you’ve long had your eye on, but it’s best to consider things carefully before doing so. Don’t let the excitement get to you, and choose to approach your investment decisions practically. You can do this by using dollar-cost averaging. This investing strategy requires you to allot the same amount of money to a particular investment for a set amount of time, regardless of how much the price of the asset is.
Let’s say you’re interested in a particular company and its stock prices plummeted, giving you the chance to buy more stocks for less. Instead of making an impulsive decision like this, you can choose to dedicate USD 50 to purchasing stocks every week. Commit to it and practice it consistently, no matter if the number of stocks you can buy with the same amount of money increases or decreases. Using such a strategy will enable you to take advantage of market dips without losing your liquidity in such an uncertain time.
Account for Risk and Your Investment Horizon
Bear markets tend to last for quite a while–a year, give or take. Given this knowledge and your current progress in achieving your financial goals, where should you invest your funds? Ideally, your investment option should be able to bounce back after a year, but it shouldn’t take such a long time before your investment reaches your target numbers. If you’re close to retirement and are depending on your portfolio to support you after you’ve celebrated this milestone, perhaps it’s not a good idea to risk your retirement funds when you’re not quite sure when the market will recover. But if time is in your favour and you still have a lot of years to earn back your capital in case your investment doesn’t pay off, then you might still be able to afford risks that would seem imprudent for older adults.
Continue to Diversify Your Assets
Be it a bear or a bull market, diversifying your assets will continue to work in your favor. If you’re still young, it can be a smart idea for you to put your capital on assets that are projected to grow in value in a few years’ time. Look into dividend-paying stocks, the profit from which can help you overcome these challenging times and can go toward increasing your capital in other types of investments. Putting your money on bonds can also be a good idea, as this type of asset tends to move in the opposite direction as the stock market. Having these additional assets in your portfolio can help you have a lifeline in case the market’s movement goes against your expectations.
Keep these tips in mind when making investments during this bearish period in the market. By making smart decisions during these uncertain but opportunity-filled times, you’ll have a better chance of growing your money and maximizing the payoff of your current investment.
Building wealth and enjoying life are not mutually exclusive. In fact, it’s possible to build wealth and still enjoy your time when you’re young. It’s discouraging to think that all you need to do is work so that someday you can rest. What if you can balance rest, fun, and work, all while building the wealth you want and need? Here’s how you can enjoy life while building wealth.
Know Your Priorities
You have to know what’s important to you, what’s not, and how much time and effort it will take to get from where you are to where you want to be. If your goal is long-term wealth-building, retiring early, or something else, it’s vital that you look at the things that will help you get there.
Evaluate what you want in life. Maybe it’s more time to work on hobbies or perhaps it’s more time with family and friends. Look at the things you could live without. Do you really need 8 subscription plans for watching TV? Or could you get away with just one? Consider what you need in order to make your dreams come true. It might not necessarily be a dollar amount, but the ability to do certain things like taking vacations every year, playing casino table games without breaking the bank, or buying groceries without needing to look in the bank account.
Understand Your Cash Flow
Next, you need to understand your cash flow. Cash flow is the difference between how much money you earn and how much money you spend. It’s a simple concept, but understanding it is crucial to your long-term wealth-building plan. The measure of cash flow comes from subtracting your expenses from your income. This number can tell us whether we can afford investments like stocks or real estate or whether we should pay off debts like student loans and credit card debt first before making any further moves with our money.
Live Below Your Means
This sounds generic, but it’s critical. Wealthy people learned how to live below their means or how to make more. One of the most common questions of people who want to build wealth is how to do it without any savings. The truth is that you can live below your means and still enjoy life on less than you make. You don’t have to live paycheck-to-paycheck or put yourself into debt just because others are doing it. In fact, there are many ways to save money so that you can afford the things you want in life without having a large amount of disposable income right now.
Be Diligent With Your Finances
The first thing you need to do is make a budget. This is perhaps the most important step in financial planning, and it’s also the one that people tend to neglect. In order to live below your means and build wealth, you must first know what your current income is and where it’s going each month. You can use an online tool like Mint to track your spending habits. It will show you how much money is coming in every month as well as where it’s going.
Next, pay yourself first. The idea of paying yourself first means taking a portion of every paycheck to go directly into savings before anything else gets taken out. If this seems impossible at first, try gradually increasing what percentage of income goes into savings until you’re reaching the amount that feels comfortable for you, and never dip below this number.
Invest Your Money Wisely
Wealthy people also know how to invest. When you want to have fun while you’re young and you want to build wealth, you can do both if you have a good budget in place and a plan. Investing is a great way to build your wealth. It can also be fun, but that depends on you and how you approach it. There are plenty of ways to invest. Use your company 401K match if possible to maximize the amount of extra money you put in. You could also use apps like Robinhood to try out investing in the stock market as well.
None of these things require you to stop enjoying life. You do need to prioritize your income, avoid debt if possible, and look for ways to invest. When you do these things, you’ll find you have more money for fun and for building wealth.
United Kingdom, 2022- Wealth & Finance magazine have announced the winners of the 2022 FinTech Awards.
It wouldn’t be an exaggeration to say that the financial landscape has been dominated by long-standing brick and mortar establishments for decades. However, over the last decade, we have seen a new wave of business take centre stage – those that have capitalised on new best technological practices and developments to deliver a better, more mobile, more client centric service. Of course, there are others who have planted themselves at the crux of this innovation, reinvigorating the financial landscape through exceptional tech.
Now in its sixth year, Wealth & Finance magazine’s FinTech Awards was launched to recognise the firms that are redefining finance and banking for the modern age, and for the ever-changing modern consumer.
At launch, Awards Coordinator Dean Taylor commented: “It has been a delight to host this year’s edition of the FinTech Awards. I offer a huge congratulations to all of those recognised and hope you all have a fantastic rest of the year ahead.”
To learn more about our deserving award winners and to gain insight into the working practices of the “best of the best”, please visit the Wealth & Finance website (http://www.wealthandfinance-news.com/) where you can access the winners supplement.
Note to editors.
About Wealth & Finance International
Wealth & Finance International is a quarterly publication dedicated to delivering high quality informative and up-to-the-minute global business content. It is published by AI Global Media Ltd, a publishing house that has reinvigorated corporate finance news and reporting.
Developed by a highly skilled team of writers, editors, business insiders and regional industry experts, Wealth & Finance International reports from every corner of the globe to give readers the inside track on the need-to-know news and issues affecting banking, finance, regulation, risk and wealth management in their region.
About AI Global Media
Since 2010 AI Global Media has been committed to creating engaging B2B content that informs our readers and allows them to market their business to a global audience. We create content for and about firms across a range of industries.
Today, we have 12 unique brands, each of which serves a specific industry or region. Each brand covers the latest news in its sector and publishes a digital magazine and newsletter which is read by a global audience. Our flagship brand, Acquisition International, distributes a monthly digital magazine to a global circulation of 108,000, who are treated to a range of features and news pieces on the latest developments in the global corporate market.
Alongside this, we have a luxury-lifestyle magazine, LUXlife, which appeals to a range of high-net-worth individuals, offering them insight into the latest products, experiences and innovations to ensure they can live the high-life to its fullest.
Showcasing the companies who have worked hard in striving to give their clients the best service and products is important to us. We know and understand how tough making a successful business can be, and so everyone at AI Global Media takes great pride in our awards programmes.
Our awards programmes run across each brand and are completely free to enter, take part in and win. All our winners are offered complementary marketing packages, meaning all businesses despite their size and marketing budget can be rewarded. Additionally, we offer a wider range of marketing materials which winners can purchase for extra coverage on our platform including: cover features, magazine articles and newsletter inclusions.
Finances are a critical component of buying property across every stage of the process. When you’re moving house, knowing your finances are managed and in good order takes some of the stress away. But how exactly do you manage your money when moving to a new property? Keep on reading to learn some useful tips.
Create an expense tracking spreadsheet
In the weeks and even months leading up to your moving date, curate a spreadsheet that allows you to track your expenses. This allows you to manage your spending and, if you have a budget for various expenses, you can track whether or not that budget has been kept to. If you notice your expenses going above what you expected, you then know to cut back on spending in other areas.
If you want to work out the average cost you can expect to incur when moving properties, there are many useful expense calculators online. This is one of many examples.
Take the time to declutter your belongings
Depending on how long you’ve lived in your current property, it’s likely you’ve collected a lot of clutter over the months and years. Decluttering your property in the lead-up to the move has many benefits. For one, you can sell your unwanted belongings to bolster your finances a little more as long as the items are in good condition still. Also, the less clutter you have the less stuff you have to bring with you. This means smaller removal fees if you’re hiring the assistance of moving experts.
Book in advance to remove blindsiding risk
Leaving the booking of removal experts or other services until the last minute risks being blindsided by extortionate fees or unavailability. If you want to manage your finances well, book as far ahead as possible to ensure you get the price and date you want. You’re also more likely to be offered a better deal for services, especially if you shop around. This also goes for finding energy suppliers or insurance deals.
Other money managing tips
There are many other ways you can manage and save money when moving house, including:
Pack up your home yourself
Move belongings without a removal firm
Run down your food supplies in the lead-up to moving
Stick to agreed moving dates to avoid incurred fees
Clean your old property yourself
Choose the cheapest day(s) to move if possible
Browse Wealth & Finance International for more
If you’re looking for more useful insight into how to better manage your money, give Wealth & Finance International a browse today. We’re committed to providing those in the investment sector current and insightful news to capitalise on and transform the way they approach money. Take a look at our articles on banking, finances and more today to get started, or subscribe for quarterly investment information straight to your door.
Timur Turlov, CEO of Freedom Holding Corp., gives investors an inside look into his personal investment portfolio.
“The stock market correction which has come to pass in recent months is approaching its final phase. This opens up a unique opportunity for investors to buy the stocks that have lost significant value, but retained fundamental reasons for future growth and development”, said Timur Turlov, CEO of Freedom Holding Corp.
Turlov has gathered a portfolio of 12 companies, each with a potentially interesting investment idea behind it. The expected investment period is between six months and three years with the expected return being 81%.
Companies in Timur Turlov’s portfolio
Snowflake Inc. (SNOW) provides a cloud-based platform that consolidates data in a single source to be able to capture valuable business insights, create applications, and manage and share information. Snowflake remains one of the fastest-growing companies in the market. With a market cap of $45bn (£37bn) and a growth potential of 119%, the target price for one share is $310 (£253). Snowflake has steadily doubled its revenues in recent years and expects revenue growth of 94% to 96% in 2022.
Crowdstrike Holdings Inc. (CRWD.US) develops information security software and is an industry leader in the $55bn (£45bn) market. Crowdstrike offers cloud-based endpoint security solutions on its Falcon platform. The services are provided on a subscription basis using a SaaS model. Crowdstrike is continuing to perform strongly, exceeding market expectations. In Q4, its revenues rose by 62.7% year-on-year to $431m (£351m) and the average rate of return reached a record $217m (£177m). For FY2023, the company expects revenues of $2.13 to $2.16bn (£1.7 to £1.8bn). Crowdstrike has a market cap of $35bn (£29 bn) with 57% growth potential. The target price for one share is $271 (£221).
Datadog Inc. (DDOG.US) operates a monitoring and analytics platform for software developers and IT departments. The company had a strong performance in Q1 and is forecasting strong results for 2022. In Q4, Datadog’s revenue grew by 83% year on year to $363m (£296m), aided by the company’s expanding partnership with Amazon Web Services. As of March 31, 2022, Datadog had 2,250 customers with recurring annual revenues of $100,000 (£81,545) or more, up 60% from a year earlier. Datadog has a market cap of $32bn (£26bn) with a growth potential of 72% and a target price of $169 (£138).
Zscaler Inc. (ZS.US) is a provider of cloud-based information security services with a growth rate above 60%. The company’s Q2 revenue grew by 62.8% year-on-year to $255.56m (£184m), beating expectations of $13.69m (£11.17m). For fiscal 2022, the company forecasts revenue in the range of $1.045 to $1.05bn (£85 to £86m) against expectations of $1.01 billion (£82m) and earnings per share (EPS) in the range of $0.54 to $0.56 (£0.44 to £0.46). Zscaler has a market cap of $21bn (£17bn) with a growth potential of 110% and a target price of $320 (£261).
Enphase Energy Inc. (ENPH.US) is a supplier of power systems for the solar energy industry. It is a profitable company with high margins and products that outperform competitors. Enphase supplies microinverters that enhance the safety and performance of solar energy systems. The company also has digitally backed home energy storage. Enphase reported Q1 EPS of $0.79 (£0.65), beating market expectations by $0.10 (£0.08), while revenue rose by 46% to a record $441m (£360) for the quarter. The revenue forecast for the current quarter is $490m (£400m) to $520m (£424m). Enphase has a market cap of $20bn (£16bn) with a growth potential of 26% and a target price of $226 (£184).
ZoomInfo Technologies Inc. (ZI.US) is a developer of an analytics platform for marketing companies. New product launches and geographic expansions are helping ZoomInfo maintain strong revenue growth. In Q1, the company’s revenue grew 57.7% year on year to $242m (£197bn). In February 2022, ZoomInfo launched a new marketing platform, MarketingOS for helping marketers with customer targeting. The company also completed the acquisition of Comparably and Dogpatch Advisors this year. ZoomInfo has a market cap of $17bn (£14bn) with a growth potential of 115% and a target price of $74 (£60).
MongoDB Inc. (MDB.US) is the leading cloud platform involved in developing and delivering general-purpose databases. MongoDB is strengthening its edge over competitors by expanding its relationship with Amazon Web Services and building applications using a microservices architecture. MongoDB databases are increasingly used for complex transactions, which should increase the company’s overall addressable market. MongoDB’s revenue grew by 55.8% in Q4, with subscription revenue up by 58%. The company has a market cap of $17m (£14m) with a growth potential of 71% and a target price of $466 (£379).
Bill.com Holdings Inc. (BILL.US) is a provider of cloud-based software that simplifies and automates complex financial transactions for small and medium-sized businesses. The company continues to show strong growth, up by 179.4% in Q3 FY 2022. By the end of the quarter, the company had 146,600 customers and $55bn (£45bn) in payments processed. For Q4, Bill.com expects revenue in the range of $182.3m to $183.3m (£148m to £149m) versus expectations of $168.77m (£169m). Bill.com has a market cap of $11bn (£9bn) and a growth potential of 113% and a target price of $241 (£196).
Maravai LifeSiences Inc. (MRVI.US) operates in the natural sciences. The company manufactures products that enable the development of drugs, new vaccines, and diagnostics while supporting medical research in the US and around the world. The company’s key market is expected to show continued growth. The global gene therapy market was valued at $3.8bn (£3bn) in 2019 and is forecast to reach $13bn (£11bn) by 2024. Maravai has a market cap of $8bn (£6.5bn) and a growth potential of 63% and a target price of $44 (£36).
Avalara Inc. (AVLR.US) offers cloud-based transactional tax compliance solutions worldwide. Although Avalara has achieved annual revenues of nearly $1bn (£81m) the company still manages to grow that figure by more than 30% year on year – a testament to the large size of its market and the newness of its technology. More than 90% of Avalara’s base revenue comes from subscriptions, which provides the company with a very stable income. Avalara Inc. has a market cap of $6bn (£5bn) and a growth potential of 70% and a target price of $124 (£101).
Shockwave Medical Inc. (SWAV.US) develops and supplies technology for the treatment of cardiovascular disease. The company shows triple-digit revenue growth and revises its outlook for the year. In Q1, its revenue grew by 193.4% year-on-year. In February 2021, Shockwave launched a new coronary product, which has become a revenue growth driver. Shockwave Medical Inc. has a market cap of $5bn (£4bn) and a growth potential of 28% and a target price of $189 (£154).
Taskus Inc. (TASK.US) provides outsourced digital business services for fast-growing technology companies to represent, protect and grow their brands. Taskus continues to show rapid revenue growth, rising from 34% in Q2 2020 to 56.8% in Q1 of 2022. The retention rate in 2021 was 141%. Taskus Inc. has a market cap of $2bn (£1.6bn) and a growth potential of 130% and a target price of $39 (£32).
Regulations help maintain order in society. While an Act is a law, regulations are supplementary guidelines, helping you to apply the principles of the law. This is important for issues such as health and safety, but it can also help in business. The financial world is complex, and regulations are required to avoid disasters such as the 2008 banking crisis. Below, we explore the importance of regulation in business.
Why regulations are created
Regulations are created to make it easier to interpret the laws of a state. This can make it easier to settle disputes and can create a better society. For instance, if business laws were left ambiguous, it would be easier for organisations to find loopholes and damage society for an ulterior motive. Alternatively, for smaller businesses, regulations are a useful way of sticking to the law and ensuring that they can grow and prosper.
Examples of different regulations
By seeing examples of different regulations, it’s easier to understand the purpose they serve. For instance, certain machinery has regulations dictating their noise output and environmental impact. If you buy yourself a self-propelled lawn mower, this could affect you. However, there are plenty of self-propelled lawn mowers which adhere to these regulations. Outdoor machinery has the following regulations: they require a standard label indicating its guaranteed sound power level, technical documentation showing this has been measured correctly and a Declaration of Conformity.
In business, there are plenty of regulations too. These are controlled by the Financial Conduct Authority with the intent of protecting consumers, keeping the industry stable and promoting beneficial competition between different providers. One of the regulations that was implemented since 2000 relates to the 2008 financial crisis. Since then, the UK has regulated the separation of certain investment banking activities from retail banking activities. The goal of this was to make banks less likely to fail in the future.
How these laws prevent a wide range of societal issues
One of the main benefits of regulation in business is that it prevents a wide range of societal issues. Mainly, they attempt to ensure that banks don’t fail. In this situation, a financial crisis can occur, leading to many people losing their jobs and the cost of living rising across the country. While it would be easier if banks looked after themselves, history has shown that the drive to make profit can sometimes lead to poor decisions that result in failures. By implementing regulations and laws, the state can try and prevent this from happening.
Regulations can help protect us in many aspects of society, from banking to health and safety. Regardless of your profession, it’s worth brushing up on regulations to ensure you’re sticking to the law.
Cybercrime is on the rise and criminals are becoming more sophisticated. This is unfortunately a reality that means that individuals, businesses and organisations need to take close care with their cybersecurity.
It might be the case that you are used to the idea of seeing phishing emails in your inbox and understand how to set passwords that are impossible to crack – but you might not be aware that increasing cybercriminals are targeting our homes themselves.
Indeed, there can be no doubt that cybercriminals are consistently looking at property as a potentially lucrative target. 86% of property professionals say they are concerned about the potential for cyberattacks. Criminals see the opportunity to target properties whether it is during transactions, or simply by attacking the devices in the homes of private individuals.
With homes containing more smart devices than ever before, there are naturally a lot of ways that criminals can find weak points in your system and exploit them. Internet-connected gadgets and appliances – from televisions to fridges – are a big part of how we now live our lives, so it is vital that we do everything we can to minimise the risk.
In this article, we look at how to take the necessary steps to secure your smart home.
Enable Two-Factor Authentication
If you aren’t aware of the term ‘two-factor authentication’ (2FA), you have still probably used it. For example, it might be the case that when you log in to your bank account you need to provide a password as well as a code that is sent to your mobile phone. This simply adds an extra layer of security – if a criminal was able to compromise your password, that wouldn’t be enough to get them into your account.
2FA can be used on a number of different devices and it is really worth opting for wherever possible. The kind of smart devices you have around your home probably don’t need to be accessed very often, so the change in terms of slowing down the login process really shouldn’t affect you significantly.
Research has shown that even this extremely simple cybersecurity method can be highly effective at defending you against attacks.
Replace Routers As They Become Outdated
One of the biggest weaknesses in smart homes is any kind of technology that has become outdated. Older versions of key equipment like routers might be convenient and easy for you to use, but they may also have glaring and known security weaknesses that can be easily exploited by cybercriminals.
Having outdated protocols or a flaw in the security that can be exploited leaves you open to an attack if a criminal is able to work out the router that you have. Of course, this doesn’t mean that changing up your router on a regular basis is a silver bullet – rather you should keep aware of the security status of your router and change it when necessary.
Add Cybersecurity to your Wi-Fi
It should also be noted that when you replace your router you need to ensure that everything is set up effectively. For example, you should change the router’s default name. Doing so takes away the possibility that a cybercriminal will be able to search for that type of router and find out its known flaws.
The same goes for the password that you are using; it should be changed from the default. Once again, you don’t want the possibility – no matter how remote it might seem, that a criminal might be able to get access to the password.
Be mindful of passwords on your network
Passwords are still a vital part of your cybersecurity. It is essential that you should have unique passwords for each device across your network. Using the same password simply means that if one is ever compromised, the criminals have access to every other device across the network as well.
There is still some confusion about how to set a strong password. In general, you should think of eight characters as an absolute minimum – anywhere from 12 to 18 is ideal, and it should include a mixture of upper case and lower case letters, as well as numbers and symbols.
Update Your Devices
Keeping your devices up to date is another essential part of good ongoing cybersecurity for your smart home. Remember that when devices are updated they are generally patched to protect them against vulnerabilities that have been discovered. This means that if you are not updating your devices, they are still vulnerable.
The more cybersecurity steps that you can take, the better protected you will be against cybercrime. It is always best to focus on powerful security measures rather than what makes your life easiest.
It takes a lifetime of hard work and planning to acquire the real estate, investments and other assets that lawyers refer to as a person’s estate. You might think that the last thing anyone would do is leave the distribution of an estate to the one-size-fits-all state intestacy laws, but that is exactly what 67% of Americans responding to a survey have done by not having an estate plan.
Apart from the foolishness of letting a state law dictate which of your relatives get to share in the distribution of your estate upon your death, not having an estate plan puts you at the mercy of courts to decide the type of medical treatment you receive when you are too sick to make those decisions for yourself. A meeting with an estate planning attorney ensures the orderly distribution of your estate according to your wishes upon your death. It also lets you designate someone that you trust to handle your financial affairs and make health care decisions when you are incapacitated and unable to do so on your own.
Estate plans come about through a collaboration with your attorney, but you need to be prepared by knowing what you want done. One way to get you started is by offering the following list of the five common estate planning mistakes and ways for you to avoid them.
Putting off estate planning until you’re older
Too many people think of end of life decisions and death as being so far off in the future that waiting to address them can wait at least until they reach retirement age or older. Unfortunately, life-altering accidents and illnesses happen at all stages in life.
Estate planning ensures that your wishes are known and will be followed regarding health care, end-of-life decisions, handling of your finances, and distribution of your estate. Consider how comforting it would be knowing that someone you trust has the legal authority to manage and look after your financial affairs should an illness or injury prevent you from doing so.
A durable power of attorney as part of an estate plan lets you designate an agent to handle business, financial and personal matters on your behalf. You specify the scope of the authority granted to the agent and can make it as broad or limited as you desire.
There is even a document, commonly known as a health care power of attorney, that lets you designate an agent with the authority to make decisions about medical care you receive should you be incapacitated and unable to make them on your own. However, the only way to get the benefits and peace of mind of powers of attorney or any other estate planning documents is to stop thinking about estate planning and make an appointment with your attorney to create one for yourself.
Failing to periodically review and update your estate plan
Life constantly changes, and your estate plan needs to be updated to keep up with all that goes on in your life. Some of the events in your life that signal the need for a change to an estate plan include:
Marriage and divorce.
Birth of a child.
Purchase of a home.
Start of a business.
Death of close relatives.
An estate plan needs to be periodically reviewed to determine whether changes are needed to keep up with what’s going on in your life. For example, it may have been a good idea to name your spouse as the agent to make end-of-life and health care decisions for you, but a divorce may be a good time to have your health care power of attorney changed to designate someone else as the agent.
Planning only for your death
A common mistake in estate planning is to focus on death by including only a will and trust agreement in an estate plan without having a plan for living with a disabling illness or injury. According to the Social Security Administration, one-in-four 20 year olds can expect to be disabled before they reach retirement age.
An estate plan that includes only a will or trust agreement providing for distribution of your estate after death can easily be expanded to protect you in the event of a disabling illness or injury. A health care power of attorney, living will, and durable power of attorney are some of the documents your attorney may recommend to ensure that your affairs are managed according to your wishes while you are alive.
Letting emotion and loyalty get in the way
The person chosen to be executor of a will or the agent designated to act for you through a power of attorney must be someone who is capable of doing the job. The obvious decision may be to designate your spouse to make end-of-life decisions for you, but it may not be the right choice when you consider the types of decisions your spouse will be called upon to make.
The emotional bond between you that makes your spouse or one of your children the obvious choice could make it difficult for them to make tough decisions when the time comes. Choose someone who can set aside emotion and follow your wishes as you outlined them in your living will or health care power of attorney.
Adding children to the deed to your home to avoid probate
The rationale for changing ownership of your home by adding children to the deed is that doing so avoids the time and cost of probating a will when you die. Because they are named as owners on the deed, title automatically passes to them upon your death without the need for a will or probate proceedings.
Get advice from your estate planning lawyer before changing the deed to your home. Adding a child as an owner may have subject you to payment of gift taxes. It also makes your home an asset that creditors of your children could seize.
Transferring title to a trust may be a better option to pass the property to your children upon your death outside of probate without the risks associated with a transfer of title to them during your lifetime. Let your attorney advise you about the best way to accomplish your goal.
Make estate planning a priority early in life in the same way that you would planning for retirement. If you do not have an estate plan, make an appointment today with an estate planning attorney to get it done.
Inflations levels hit 9% in April, registering the fastest rise in consumer prices in the last four decades. As a result, our bills and receipts have been soaring. The cost of food and drink could rise by 15% this summer and filling the average family car with petrol now exceeds £100. So, it is fair to say that inflation is affecting many areas. In this respect, the housing market has not been spared either.
With all that has happened in the last couple of years, we all recognise the importance of having a home that offers you the comfort and safety you require. But as life presents more and more financial hurdles, many home-hunters may feel discouraged when searching for their perfect new property.
How is inflation impacting the price tags of houses for sale? Are properties becoming more expensive or affordable? Here, with some insights from Watermans, a legal and estate agency firm, we take a look at how the existing crisis will influence the future of house buying.
Inflation and house prices: costly or cost-effective?
Let’s not beat around the bush: as things stand, property prices in the UK are not likely to be very advantageous. The average asking price in June across Britain stands at £368,614, increasing for the fifth month in a row. But looking back at the figures of the past few months, it is perhaps no surprise that houses’ initial price tags have shot up even more.
In March, in fact, the average cost of a British house reached a record high of £282,753. Not only was this 1.4% higher than the average rate of home prices in February, but it represented an 11% increase compared to March 2021. What this means is that, in the space of a single year, the average property cost has grown by £28,113. When taking into account the fact that the average UK salary now stands at £28,860, you could argue that this costly price rise may be having a significant impact on potential homebuyers’ pockets.
Currently, England is the country with the highest house prices in Britain. As of April 2022, you can expect to pay £299,000 to move into a new property. If you live in Scotland or plan to relocate north of the English border, you might be able to save some money. Yes, house costs have increased in Scottish towns and cities too, but you would be likely to secure a new home for about £188,000 on average.
Inflation is not the only factor to blame for such a considerable growth in property prices. In fact, the sustained increase has been determined by two correlated aspects. On one side, the market has witnessed a shortage of houses for sale; on the other, with the ‘race for space’ incentivised by the pandemic, the demand for new spacious properties has sky-rocketed. As a consequence, home-seekers are being forced to close costlier deals.
Moreover, the rental market has been impacted by the rising inflation as well. With the exception of big English metropolises such as London and Birmingham, the majority of British cities have seen rents increase significantly. For instance, rent rates in Belfast, Bristol, Manchester, and Edinburgh have soared by 15.1%, 12.6%, 8.6%, and 3.9% respectively over the past two years.
The cost of living crisis is bound to stay for the foreseeable future. But, in the months to come, will the rising inflation end up aiding people on the hunt for a new property?
Inflation: the long-term effects on the housing market
Britain’s current economic climate and financial situation has brought the cost of houses to an all-time high record. But, as mentioned, the housing market is not the only sector to have witnessed a swift rise in prices. For some time, the increasing cost of living will continue to negatively affect people’s bank accounts.
In the long term, however, this could benefit those looking to purchase a new property. Goods and services are becoming more expensive, which suggests that fewer people will have the budget to afford a significant, life-changing investment (e.g., buying a house).
Hence, demand is likely to decrease in the upcoming months. Not only that, but in 2022 Rightmove has also registered a 19% jump in the number of home-sellers requesting a house valuation, meaning that more properties will be available on the market. All these factors are bound to push down the cost of houses.
Additionally, there is a chance that the price tags of properties in the UK will naturally ‘correct’ themselves. In the same way that costs have gone up considerably, house prices could begin to fall to restore a more affordable value. Therefore, if you have set aside some money to make the move you have been dreaming of, the next few months may offer you the opportunity to relocate to a home that suits you and your needs.
The rising inflation is having a substantial impact on many areas of our everyday lives. If you are planning to buy a new property, prices at the minute could seem somewhat prohibitive. That said, with reduced demand and more homes on the market, the future of house buying may be more optimistic for those hoping to inaugurate a new chapter of their life.
As the market takes a plunge, Maxim Manturov, Head of Investment Advice at Freedom Finance Europe, discusses the benefits and pitfalls of stock splits and explores some past examples.
With shares struggling amid a market downturn, some organisations are looking to split their stock to attract new investors. But why?
The main reasons for splits are to make securities more accessible and attractive to the private investor. The next reason is to increase liquidity, which grows by increasing the number of stocks outstanding. When a split is announced, most stocks show a positive trend, and after the split has taken place, the stock trend can turn into a temporary consolidation, as big players can lock in profits on the stock by selling the stock already at the ‘new price’ to retail investors.
With this in mind, are stock splits a good idea and how should investors react if a company chooses to split?
Three recent splits
Tesla held a stock split in August 2020 where it’s stock rose by $223 (80%) in just 20 days. After the split ended, the stock price was adjusted from around $2200 to $440. Thereafter, after a slight consolidation, Tesla stock continued to rise. With the market in decline, Tesla has now announced another split, which will be taking place this summer. Tesla’s Q1 2022 report is looking positive with revenue of $18.75 billion, net income of $3.31 billion, for the same period in 2021 – $438 million, and EPS of $2.86 ($0.93 a year earlier). The company has also announced plans to expand its production capacity in Berlin. Yet still, on June 10, 2022, the company announced a 3:1 split and the stock will be valued at about $230. On Friday, Tesla stocks gained 1.84% to $709 on the NASDAQ post-market but continued to decline further.
The drop has more to do with overall market weakness. And if you compare it to the split in August 2020, when the stock price rose a couple of hundred percent, the market was rising then, but now it’s falling.
NVIDIA made its fifth split in July 2021, with a 4:1 ratio, their value dropping from $750 to $187.50. In 2021, by the time of the split, Nvidia’s capitalisation had already increased by 32% due to success in all business lines. The company’s quarterly report revealed its net income was $1.91 billion (same quarter 2020 – $917 million) and revenue reached $5.66 billion (+ 83.8% YoY). From the current situation we can conclude that the continued growth of the company’s stock is further driven by both good quarterly results and external factors, e.g., the mining boom, respectively video card shortage, and growth of the stock.
The fifth Apple split took place on 31 August 2020. This was a 4:1 split, which resulted in the number of stocks in the company quadrupling. The stock price was adjusted from around $500 to $125 per stock after the split was completed. The stocks then consolidated in the $110-$120 range for a while, after which the rally continued. Looking at the company’s financials, the quarterly report on July 2020 showed revenues at a record $59 billion.
How effective are splits?
It’s clear to see how the Tesla, NVIDIA, and Apple splits in 2020-2021 had a major impact on share prices, which continued to rise after some consolidation. However, it’s important to remember that there are numerous factors that affect a split, which include internal factors such as a company’s performance (performance report, company management). There are also external causes that do not depend on the company’s activity that end up having a primary influence, such as global market trends (inflation, production cuts, international restrictions, interest rates, world inflation). When business leaders decide to split a company, it is very important they choose the right time, considering the market trends. The main purpose of a split is to make the company’s stock more attractive to ordinary investors. While the value of each stock decreases, the capitalisation of the company remains at the same level and the securities become more liquid.
Property finance specialist Anderson Harris is sharing three top tips with mortgage holders, to help them get ahead of further interest rate rises.
The Bank of England’s Monetary Policy Committee (MPC) has already raised the rate five times in the last seven months, to 1.25%. And that’s just the start, according to former MPC members. According to Adam Posen, President of the Peterson Institute for International Economics, a rate of 3.5% isn’t out of the question. MIT’s Professor Kristin Forbes echoes the projection. Both have served on the MPC.
In light of the rather bleak outlook, Anderson Harris’s Director Adrian Anderson has suggested three ways that mortgage holders can beat future rate increases.
1. Set a new budget.
Any mortgage holder with a cheap rate at present would do well to examine their monthly finances and re-budget, according to Adrian Anderson. He recommends re-budgeting to pay more now, so that when rates go up the shock element of the rise is removed. Re-budgeting now to pay off as much as possible each month can cushion the blow.
2. Lock in a new rate.
For existing borrowers, the advice from Anderson Harris is to explore locking in a new rate as soon as possible. Mortgage interest rates could soon hit 3% (up from 1% just nine months ago), with further potential rises on the horizon.
3. Consider paying down.
The more that mortgage holders can pay off while rates are low, the better. Those who are in a position to take advantage of overpayment options of up to 10% would be wise to consider paying off as much as they can before rates rise again. Although it’s important for mortgage holders to ensure they still have some cash set aside for a rainy day/emergency fund.
Now is the time to speak to an independent mortgage broker and to look again at your mortgage. It can pay to know what options are available – particularly if you’re in a position to lock in a deal with a bank now, for peace of mind as rates rise further.” – Adrian Anderson, Director, Anderson Harris
It’s interesting to note that just 4% of estates in the UK are subject to inheritance tax (IHT), which is usually applied on those with a value of £325,000 or above. So, if you’re classed as a high-net-worth individual, you’re likely to have an estate worth well in excess of £325,000 and one that’s subsequently subjected to a 40% tax levy.
Your estate will include everything that you own, so it’s important to prepare this ahead of your passing. Here are some steps to keep in mind:
Understanding the Challenges with a High Value Estate
If you have a high value estate, you’ll encounter significantly more challenges in addition to having to pay 40% on the value of your estate at the time they’re distributed. For example, you may have assets in multiple countries, creating a challenge when distributing them as part of your estate.
There’s also a concept such as gifting, through which you can ‘gift’ assets to beneficiaries seven years prior to your death and avoid paying any tax on this at all. By following legal and legislative changes, you can act accordingly and utilise your estate to its maximum potential.
Without a will, you’ll have far less control over how your estate is managed and distributed in the event of your death, while opening up the floor to potential conflicts between beneficiaries that could rumble on indefinitely. While you can set up a will by yourself and appoint ‘executors’ to help manage this once you’ve passed, high-net-worth individuals may prefer to liaise and partner with market leading estate planning services.
This way, you be guided on how to create your will, while taking further advise about how to minimise the IHT levy that’s ultimately applied to your estate.
However, experts believe this to be an oversight, and instead believe that you should start the process of estate planning and creating a will once you reach early adulthood. This certainly provides far greater peace of mind, while allowing you time to adapt and adjust your plans as you age rather than suddenly having to create a formal will from scratch.
All cars require care and maintenance, but some checks must be done monthly to keep you safe and the car running effectively. Preventive work on your vehicle helps reduce bills by avoiding costly repairs from poor maintenance. Well-maintained cars also use less gas, helping you save money as the engine is more efficient.
Regular preventive measures keep your vehicle in good order, and the car lasts longer on the road if maintained well. Most checks can be performed by you easily or with gadgets, like the best OBD scanner, and there are even some garages that can help if you are unsure. Here’s a rundown of the type of checks you should be doing monthly, including with the best OBD scanner, and if you are heading out on a long journey.
Oil and Water
A simple but essential check for any car owner is to assess the oil and water level in the car engine and radiator. If the oil or water gets to a low or even empty level, it can significantly damage the engine, cause the car to break down, and lead to severe problems and a hefty bill for you. On the other hand, ensuring your oil and water levels are optimal is easy to do and prevents the vehicle from breaking down.
Coolant transfers heat and keeps your car engine from getting too hot or freezing. If you don’t have enough coolant in the car, you risk seriously damaging the engine or will not be able to start it on a cold day. Check your coolant level monthly to ensure your supply is not too low, and replenish if necessary. Maintaining small things like the coolant helps prolong the life of your car, saving you money.
Check the Electronics
An OBD scanner is easy to use and plugs into your car computer system. It alerts you to issues with the electronics. For example, an OBD scanner tells you whether a problem such as a strange light is easy to fix yourself or will require a repair job with a dealer. In addition, the best OBD scanner provides more information, such as the functionality of your engine. If you want to run a few checks to ensure your car is in good order, a monthly review with the best OBD scanner will keep you updated. Dealing with a problem earlier saves money as it prevents wider damage to the car, which will cost significantly more to fix and extends the life of your vehicle.
Tire pressures are very important to check for several reasons. When you look at your tires, you need to check the tread to ensure it is not too worn and the pressure. If your tire is not inflated to the correct level, it can lead to skidding and an accident. However, an underinflated tire also leads to significantly higher gas consumption, costing you more money to run the car. Check your car tires at least monthly to stay safe on the roads and use gas efficiently. The best OBD scanner can also check gas consumption efficiencies using fuel trim but should be done in addition to checking tire pressures.
Visibility while driving is essential. Most people have windshield cleaner mixed with water in the window washer, which helps clear dirt and grease from the windshield. In winter, salt and mud from roads can obscure your windshield in seconds, so having a good supply of cleaner is vital. The solution usually contains ethanol to stop it from freezing in winter. Check the windshield cleaner and water levels monthly, so you don’t get caught out with a dirty window and no cleanser.
Lights are critical in your car as they indicate your movements and alert other drivers to issues such as braking or turning. Sometimes you don’t realize your lights are not working until someone points it out or there’s a problem. You can do a visual check each month to see whether they are all working, including fog and brake lights. If you use the best OBD scanner, you can check the longevity of some electrical items and replace them before they stop working altogether.
Brake fluid is essential for the healthy engine performance of your car. You don’t need to replace it often in a modern vehicle, but scheduling it on your monthly maintenance check is advisable. Also, it would be best if you only did it in good weather as rain can affect the functionality of brake fluid. If your levels continue to drop, get the car checked out because low brake fluid affects the way your car brakes work. It affects your safety, making the point of saving money for car insurance moot. If you have an accident, it affects the cost of your insurance as you are considered a higher-risk driver, so maintaining your car is another easy way of keeping costs low.
Your car battery should be on your monthly maintenance checks on top of using the best OBD scanner. Maintaining a car battery well can save many miles in the long run. Check the cables for fraying and wear and that the positive and negative terminals in the battery are not becoming corroded. Using the best OBD scanner, you can see what life remains in car parts like batteries. A weak battery can affect the electrical function of your car and lead to breakdowns and higher bills.
The Bottom Line On Monthly Car Maintenance
Scheduling monthly checks for your car using manual methods and the best OBD scanner is essential to help keep it in good working order while ensuring your safety on the road. It also enables you to save money from better gas usage and prevents more extensive damage to the car. In addition, checking out oil, water, lights, and other parts makes it easy to top up and replace items before they cause problems. Using the best OBD scanner helps with monthly checks as well. If you have a well-maintained car, you will be a safer driver on the road, and it can help keep your vehicle running for longer.
Innovations have made most business owners adopt Information Technology (IT) to run most of their operations. The aim is to allow efficiency. So, you’ll need infrastructure, such as hardware and software, to ensure the proper running of these IT operations.
In most cases, acquiring IT infrastructure is a big investment since these tools are expensive. Some businesses might struggle to acquire these tools, which shouldn’t be the case. You can easily purchase all the tools your business needs with a budget.
Are you wondering how to create a budget? What’s your goal? Put your worries to rest. This article discusses tips on creating an IT infrastructure budget. Read on!
1. Create a List of Priorities
Your list of priorities guides you in allocating your amount for each activity. You want to allocate most money on operations that you need and downsize on those you don’t necessarily need. How do you come up with the list of priorities?
Your IT infrastructure goals should guide you. If you aim to increase your business security, you’ll need tools with robust security features. In this case, acquiring security-intense infrastructure will be among your top priorities.
Most businesses tend to forget the marketing aspect of their business as they create a list of priorities. This is especially true if they offer IT services to other businesses or customers. Allocate a budget that allows for the effective marketing of IT consulting serviceswithout compromising on quality.
2. Understand Your Cashflow
Cashflow more or less refers to the amount your business transacts within a given period. Understanding your cash flow will help you create a budget you can afford. You don’t want to create a budget for the money you don’t have. How do you analyze your cash flow?
Start by checking the regular income you receive on both good and bad days. It’s best to subtract your business expenses from your revenue; factor in the minor and major expenses. You want to know the amount of money available to fund your IT infrastructure. This will help you determine a concrete figure you can work with and rely on for your IT infrastructure needs.
Even if you aim to spend within your budget, it’s good to acknowledge that some circumstances might warrant exceeding this budget. You may be expecting payments from a given client, and they delay them, yet you’re relying on the money to fund your goals. In such circumstances, you’ll need financing to help you realize your IT infrastructure goals.
Like any other plan, there’s a probability of unexpected events likely to occur that need your attention and financing. In most cases, you can’t ignore them since they might hinder your realization of your goals. This will make you spend money outside your budget to meet these needs. The same concept applies as you plan your IT infrastructure goals. Therefore, it’s good practice to factor in contingencies in your budget. How?
Start by identifying the things that could go wrong with your plan, such as unexpected breakdowns. Try and estimate the amount you’d spend to counter them and include the costs in your budget. This way, if they happen, you won’t offset your budget.
4. Check Previous Budgets
In most cases, there’s a high probability you operate your business as a form of habit, from planning to budgeting to overseeing projects. If you aren’t wary enough, you might end up making the same mistakes year in; year out, which isn’t ideal for any firm. Hence, you must assess your previous budget.
Your previous budget will give you an understanding of the efficiency of your plans. Did you accomplish your goals within the budget you set? If not, by what margin did you exceed the limits? As you find the answers to these questions, identify the events that led to the limit exceeding. It could be budgeting beyond your cashflows or allocating limited funds to major operations.
By knowing and acknowledging these events, you’ll ensure to avoid and mitigate them as you prepare your current budget. Doing this reduces the chances of having many unexpected events to fund, which might offset your budget.
The discussion above has proven that creating an IT infrastructure budget isn’t challenging.
With the right guidance, as this article gives, the process is quick and seamless. Therefore, consider adopting the tips herein, and you’ll also have an easy time acquiring the tools your business needs.
Those who are self-employed or on lower incomes will be impacted the most by pension wealth inequality.
With the number of older workers steadily increasing over the last decade, Nick Jones – Head of Retirement Living at Lottie – warns us of the impact the pensions crisis will have on older workers approaching retirement:
“The recent figures released by ONS are shocking – and we need to raise awareness of the impact this inequality will have on those approaching retirement.
There are statistically more older workers in employment than ever before – perhaps due to the rising cost of living, inflation, and the amount of remote working opportunities available across the UK.
With inequality in pension wealth across the UK, many older workers are struggling to save money and plan for their retirement. It’s more important than ever for businesses to support all their employees who may be struggling with the increased cost of living by offering financial, practical and wellbeing help.”
Nick Jones continues: “Lottie’s new research has also found a surge of people ‘unretiring’ over the last 12 months – and the reasons for people re-joining employment can be both positive and negative:
100% increase in Google searches for ‘working part time after retirement’
50% increase in Google searches for ‘post retirement jobs’
An ageing population means people are living longer and healthier lives, giving more older workers the opportunity to remain in the workforce. Similarly, with an increase in remote and hybrid working, older workers have the flexibility to maintain a good work-life balance, and gradually unwind before retiring.
However, with the rising cost of living crisis, it’s no surprise we’ve seen a surge of retirees heading back to work. Inflation is on the rise, causing many households to feel a huge amount of stress and worry – which is especially heightened for those on a limited income, or planning to reduce their income soon.”
Lottie’s new research has found a surge of employees turning to Google for retirement support – as opposed to their employer:
With the rising cost of living, lack of pension wealth and financial worries, more older workers are deciding to return to work after retirement – whilst they financially plan for their future years.
Over the last 12 months our new research has found a surge of people turning to Google for support with retirement planning:
122% increase in searches on Google for ‘retirement investment’
100% increase in searches on Google for ‘financial advice for retirement planning’
40% increases in searches on Google for ‘retirement financial advisor’
“This new research – coupled with the latest ONS release – highlights the importance of raising awareness of the support available to older workers planning for retirement, especially during the cost-of-living crisis”, shares Nick Jones.
As inflation increases, the pension wealth gap across the UK will also grow – meaning the level of support older employees will require when it comes to financially planning for the present and the future will increase.
This is where businesses can step in to offer practical, financial and wellbeing initiatives to help all employees plan for their retirement years.”
Here’s 4 practical ways employers can support older workers in the workplace:
By creating age-friendly workplaces where people of all ages are supported, valued, and fulfilled, businesses can increase their employee satisfaction, wellbeing, and productivity.
There are lots of ways businesses can take to support older workers in the workplace:
1. Help employees plan for their future
As employees approach the latter stages of their careers, many may start to think about their financial situation, what the next few years at work will look like, what age to consider retirement and what life after work means for them.
Businesses can help employees plan ahead and make the transition from work to retirement easier by providing support for anyone approaching retirement.
For example, you could provide practical workshops aimed at helping older workers to achieve any career milestones, explore what the future may look like for them and sharing advice when it comes to financial planning
2. Encourage career development
Career development boosts employee motivation and it is just as important for older workers, as it is for those starting out their careers.
Encouraging all employees to follow their aspirations, achieve their goals and continue to develop their skillset, helps to build a resilient workforce. Offering on-going training will also ensure all employees remain up to date with the latest industry changes.
3. Promote a positive work life balance
Previous research has found nearly four fifths of workers over 50 years of age desire flexible working hours.
Flexible working allows older employees the flexibility to remain in the workforce longer, whilst also gradually winding down from full time employment. This can help many workers ease the transition to retirement.
4. Consider the unique needs of older workers
Health has the biggest impact on many older workers’ decisions to remain in the workplace. Many older employees face a unique set of challenges in the workplace and the adjustments required differ for each employee.
Supporting your employees with health and wellbeing initiatives and access to healthcare not only encourages a happy and healthy workforce, but also helps older workers to feel supported in the workplace.
As a business, debt is often essential for getting the business going and for taking the business to new heights. This means that debt is not always a bad thing in business, but it can still cause a great deal of stress and anxiety and will always hang over your head as a business owner. So, what are the best ways to manage your business debt?
Organise Your Debt
Often, debt-related stress comes from being unorganised and a lack of control. Therefore, one of the best ways to reduce this stress is to simply get organised. You should create a spreadsheet with all of your debts, including what it is for, the total amount, monthly payments, interest and how it will be paid. This should also help you to avoid missing any payments and will help you to get on top of everything.
Reduce Spending & Increase Revenue
It is stressful when things get tight, and you obviously do not want to default on your loans. Therefore, you should reduce spending to free up more money to go towards debt clearance each month. Be careful when cutting costs as you do not want to make any cuts that could cost the business more in the long run. Of course, increasing revenue is also a great way to clear your debt so you should always be looking for ways to do this.
You should not shy away from taking out a business loan as a way to manage the various costs that you have as a business. You can use loans to pay employees and suppliers on time as well as use the money to grow the business, such as hiring new staff or purchasing new equipment. Sometimes, you have to borrow money to grow the business, and this can prove to be a smart financial move in many cases.
Make Arrangements with Creditors
If you feel that you are struggling to keep up with debt payments, it is worth speaking to your creditors. Often, there is flexibility and payment terms could be changed or a payment plan could be devised. Alternatively, you may be able to consolidate your debt which can make it easier to manage and could even work out to be more affordable.
Hopefully, this post will be useful and help you to manage your debt as a business. Debt is often a good thing in business as it can be key for getting the business up and running and for growth, but debt can also be difficult to manage particularly if you borrow from multiple lenders. There are always steps that you can take to manage this debt, though, which can improve your financial well-being and provide peace of mind.
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