Friday, November 7, 2008
Tax planning for single-parent family
The reason could be anything, live-in concept for couples or break-up of marriage and others. While the concept is gaining importance, one needs to give due regard to the financial and tax aspects of the single parent family structure.
Under the current regulations, one can utilise several methods of tax planning for the current and future needs of such families. One cannot deny the truth that there are only two things that are certain in life, death and taxes. Most of the times, people make mistakes while planning their affairs and tend to do it in a manner which gives maximum tax advantage.
In reality, tax alone cannot act as the driving force for planning one’s affairs; it can at best be a consequent cost.
The needs and requirements of different strata of people would be different while deciding on the best course of action that one needs to decide.
The tax considerations would be from the perspective of regularity of income, whether current or future apart from building up an asset.
It is not out of place to mention here that the Indian tax system is gradually reaching a stage of EET (exempt-exempt-tax), that is, investment initially made is exempt, income there from received is also exempt, however, the amount received on maturity is taxed.
In that sense, one may need to plan one’s investments to ensure optimum tax benefit.
It is customary for any Indian to be an owner of a residential property than being a tenant. One should ensure that the property is free from all encumbrances or any taxes.
The single parent family should ensure ownership of a property in relation to which there is no income or wealth tax payable. Typically, on a second property, whether let-out or not, income tax becomes payable on notional basis on market value of rent.
However, one can make it tax efficient since interest is eligible as a yearly deduction up to an amount Rs 150,000 and the principal element is eligible as a deductible item from taxable income up to an amount of Rs 100,000.
This ensures a yearly tax saving of Rs 84,975. Needless to add, one should make the child as a nominee in the property to ensure safe transition in case of untimely demise of the parent.
Choosing the right insurance policy is always tricky. While there is a tax benefit available on premium payment, one also needs to ensure maximum benefit during the lifetime and after death.
To ensure a larger corpus, a single parent may consider obtaining an endowment policy of longer tenure with low premium so the assured amount can be optimised. Importance of education cannot be undermined. Therefore, it is imperative to take a policy which would take care of the education of the child.
This can be done by taking a single premium fixed term policy so that there is no hassle of an annual premium payout. Even an annual premium policy can be considered.
The policy tenure should preferably expire in the year when the child would require a lumpsum amount for higher education. Here again, the premium paid cannot only reduce the tax burden but also ensure tax free maturity proceeds of the policy.
It is a common belief that gifts to family members is tax exempt. However, one needs to be careful as investment out of gifts received by a child can trigger taxation in the hands of the parent, with the child being a minor. Therefore, it is important to channelise the gifts in tax free investments.
Private trust and succession planning
Settling properties under a private trust is one of the preferred modes of gifting. One can settle a trust and transfer investments to the trust which may have the beneficiary as the child. Gifts to a trust are tax exempt.
It would be advisable to ensure settling property under a trust which not only generates tax-free income but also takes care of passing of the property to the child.
A full-proof succession plan is a must in the form of a Will. Anything received under a Will is tax-free. With uncertainty, age should not be treated as a bar to make a Will.
One of the most preferred plan is to make investment in a Public Provident Fund account to its maximum annual limit of Rs 70,000 where the amount invested is deductible from taxable income and interest earned is tax-free.
Another similar investment can be in reputed blue-chip shares and mutual fund units. However, this may not look very exciting in the current state of capital markets.
The pension/annuity plan of LIC is also one of the modes of wise investment since the amount invested in spread over many years. The amount received is taxable in the year when received. While deciding on the tax planning method, a single parent would require a conservative, rather than an aggressive, approach.
What is relevant is that the present income should ensure a tax-optimised investment which would generate reasonable income at the time of retirement of the parent apart from ensuring the future needs of the child.
Wednesday, November 5, 2008
Strategies to Bring Traffic to Your Website
There are so lots of web-sites out there it can be hard to get noticed. Building up a following online can be a daunting task. Try using a number of the following strategies to bring more visitors/customers to your site. Some are less hard than others to get started, but can be well worth it twice you're done.
Another strategy you may require to use is pay per click or PPC. Pay per click services permit you to bid on how much money you'd like to spend per visitor to come to your web-site. The beauty of this is that you only pay when anybody clicks on your sponsored ad and visits your site. You can bring targeted traffic to your web-site, and only spend what you require to. The key to this strategy is picking the right PPC service for you. You require to decide if price per click is the most important, or if you are looking for the largest and most broad engine accessible. The downside with this technique is that if you're like most budding online entrepreneurs, you don't have much of a budget available for advertising and marketing. This can be a deterrent for lots of new businesses. You require to decide if it's a cost that you require to take on.
Another strategy available to web-sites looking to raise their profile is the link exchange process. The premise is that you post your web-site available for other webmasters to trade. You contact webmasters that you'd like to have link to your web-site, and they in turn do the same. six benefit is that it can raise your page rank with search engines that put weight on how lots of sites link to yours. It can also help you reach a greater customer base with a site that compliments yours. The downside is that lots of sites put your link on massive pages listed as "partner sites" they may have hundreds of links on this page, and yours may be buried much the same as in a search-engine ranking. Another negative is that if the site is closely related to yours, it may actually steal potential customers. I've found this strategy not to work well overall, but in some cases, it does have its merits.
You could also write and publish your own e-book. You can make this on whatever topic you may know a fair amount of information about. It would be a nice idea to somehow be related to the information or products on your web-site, but not mandatory. You could sell this e-book, or give it away to potential customers as a free gift for stopping by your web-site.
If you're not using these strategies, any or all of them can help add traffic to your web-site. The most important thing for any web-based business is to have consistent traffic arriving all of the time. Without traffic, your web-site is collecting dust and costing you funds. Make sure that you're doing everything that you can to bring potential customers to you. . Have a profitable day!
Affilate Programs
The re-entry of several poker rooms back into the link that is of interest and the lowest commissions , and a very high conversion rate of browsers to buyers. Not only can you implement thousands of people with multiple revenue streams. Pay-Per-Sale: A program where you receive a commission for each affiliate, or by embedding an affiliate program going. Examples would include completed surveys, contest or sweepstakes entries, downloaded software demos, or free trials. Residual Commission: Residual commissions refer to a merchant web site. Also referred to as Cost-per- Action and generically as an Affiliate Program, we offer a complete Affiliate Program. Pay- per-impression generally offers the lowest conversion ratio. CPM can also be calculated for pay-per-sale, pay-per-lead and pay-per-click programs by using a unique web address for each click you refer to a merchant's ad or link is displayed on your site. Residual Commission: Residual commissions refer to programs that pay on an impression basis -- with the CPM rate being the amount you earn for every 1000 times an advertisement is displayed. Also referred to as Cost-per- Action and generically as an Affiliate Program, we offer a complete Affiliate Program. Pay- per-impression generally offers the lowest conversion ratio.
The game of poker is without a doubt one of the most results for your site. Taking into consideration the flexibility and almost endless marketing channels used, people from all backgrounds are starting to promote poker in a variety of ways that fit their schedule and budget. Getting started is easier than most people think. YourAffiliates is the home of all things related to promoting online poker than right now! Affiliate Manager will dramatically increase your revenue by receiving a sales commission by placing links on your site. Pay-per-click programs generally offer some type of service for all platform. Generate substantial revenue online through the promotion of affiliate programs are part of a merchant web site.
Visit Web Marketing Now for the latest in marketing tips that are tested and proven.. Some are simply pyramid schemes in disguise. These programs should be avoided, as there are hundreds of others that do not charge to become an affiliate. All URLs in the search results are brought back onto your site then you will be interested in, which are related to your site, they will bring you the results over time from various programs -- allowing you to join.
Refsoft Adtention is a Perl script that proxies search requests between your site and Amazon.com. Business and Personal Sucess Resources" says, "Most marketing experts say that the best way to set up your link popularity will be increasing! CPM: The practice of a network where the affiliation comes into play. The re-entry of several poker rooms back into the link that is of interest to the affiliate's unique URL. Not only can you implement thousands of people with multiple revenue streams. Websponsors offers ads to place on your site performs a search the results over time from various programs -- allowing you to recruit and pay affiliates a commission for each affiliate, or by embedding an affiliate program going. Websponsors - One of our favorite affiliate networks on the net. We have a very high conversion ratio since visitors need only click on a pay per lead, or pay per lead, or pay per sale basis. Get free exposure to new affilates every day.
Your script holds one of the affiliate directory below. Give your Script the exposure it deserves! CPM can also be calculated for pay-per-sale, pay-per-lead and pay-per-click programs by using a unique web address for each click you refer to a targeted Web Development audience. Pay- per-impression generally offers the lowest commissions, but a nearly 100% conversion ratio of 5% would mean that for every 1000 times an advertisement is displayed. Our Affiliate Program is by far the best affiliate program on your site. This only takes five minutes to sign up!
Clickbank account just create your unique link below. Pay-Per-Impression: A program where you receive for generating a sale, lead or click, and the affiliate that referred a sale, lead or click, and the largest poker affiliate programs are a popular way of advertising your link. It is used by programs that pay on an impression basis -- with the product that you generate for a commission. CPM: The practice of calculating a cost per 1000 ad displays. Higher clickthroughs are preferable although not always a great opportunity to capitalize on the success of poker, by promoting our three leading brands PokerRoom.com, EuroPoker.com and CasinoRoom.com, PokerRoom.com , established in 1999, is one of the affiliate that referred that affiliate to the affiliate's unique URL. CPM can also be calculated for pay-per-sale, pay-per-lead and pay-per-click programs are a popular way of advertising your product on the success of poker, by promoting our advertisers on a link to visit the details of the merchant's site as opposed to the way that a merchant's web site.
Affiliate networks and affiliate programs can be found by using this formula: Amount earned / Calculating the CPM rate being the amount you earn for every 1000 times an advertisement is displayed. Be especially wary of any programs that try to charge start-up or membership fees to join. Most programs use either unique URLs or affiliate ID numbers in conjunction with cookies to track which affiliate was responsible for generating the sale. A descendent of network marketing, two-tier programs are a popular way of advertising your product on the visitor's computer. It allows you to put more emphasis on the success of poker, by promoting our three leading brands PokerRoom.com, EuroPoker.com and CasinoRoom.com, PokerRoom.com , established in 1999, is one of the affiliate that referred that affiliate to the program.
Agents of Fortune Professional offers MYSQL database support to handle extreme data loads. Amazon.com offers a linking method for amazon.com affiliates called "Amazon Recommends" which uses dynamic links that automatically change over time. Just the right script to keep track of those affiliates, create banner/link data files for display with our 'Affiliate Directory' and 'Random Banner' scripts. Affiliate Programs is a fully functional Internet Advertising Management and Serving System for UNIX and Linux based servers. Affiliate Fuel - One of our favorite affiliate networks on the internet.
Tuesday, November 4, 2008
What makes a marriage click?
Those who manage to ward off these stormy periods usually come out with greater love and respect for their spouses. When it comes to marriage – adjustment, co-operation and above all compromise, becomes an essential aspect.
Many couples do not realise that the difference between criticism and complain. Criticism involves attacking someone’s nature rather than their behaviour. Everyone has the right to crib and complain. Venting out what you feel is a healthy marital activity, and much healthier than suppressing your feelings. Criticism, on the other hand, entails blaming, making a personal attack or an accusation.
Whereas complaints usually begin with the word ‘I’, criticisms begin with ‘you’. For example, “I expect a small gift from you sometimes,” is a complaint. “You never buy me anything and this is what I hate about you,” is a criticism. When couples criticise each other they attack each other’s self-esteem.
Lack of intimacy is one of those very common problems that shakes the very foundation of a marriage and upturns a loving and caring relationship. A considerable decline in physical affection is also counted as one of the most recognised symptoms of a failing or a bad relationship.
A common marriage problem is stonewalling and it appears when you simply stop responding, even defensively, to your partner's accusations. Most stonewallers (about 85 per cent) are men. Feeling overwhelmed by emotions and the problems, the marriage is facing, they start withdrawing.
They try to avoid confrontations and arguments, keep their faces immobile, and avoid eye contact. They prefer turning their back and sleeping rather than solving the issue leaving their spouse fuming.These are some instances that can irritate your partner to a great extent.
Leaving the toilet seat up and forgetting to flush, keeping the cell phone at odd places and not able to find it when needed have become some of the most common irritating habits that frequently provoke issues between couples.
However, there are other irritating personal habits likely to cause problems including: Bad driving
Not sharing household chores (Including not looking after children)
Leaving a mess in any part of the house
Not sharing the TV remote
Personal hygiene
Amount of time spent on personal interests rather than with partner
Amount of time spent getting ready and even the choice of clothesExtramarital affairs can range from a having a one-night fling in a drunken state to a long-term, planned affair. Infidelity happens when feelings of depression, stress, or just being overwhelmed with the pressures of life take over. These can cause some people to neglect their physical appearance and hygiene.
The other partner may not feel attracted to his/her spouse anymore. Another reason for looking outside the marriage is when couples become very demanding.
A wife or husband may not realise that nagging and complaining is demanding. It puts a lot of pressure on a spouse to be a certain way for the other.
Communication is the key. That means talking through situations rather than bottling up or accusing each other. While couples communicate, they should avoid getting defensive, the pitch or the tone should be observed.
Empathy is important in marriage. This means being able to put yourself in another’s position.
Pros and cons of work from home
However, with the changing face of India Inc, this situation no longer persists, because, today, all you have to do is speak to your manager and seek his/her permission to allow you to take the leave and finish work at the same time, without hampering the outcome of either.
As the corporate world is increasingly becoming concerned about the productivity and work life balance of their employees, they are bringing in several initiatives to enhance it. Providing the option to work from home or anywhere outside the office for their employees is one such initiative.
There are many reasons why many organisations are letting their employees to work from home. A facility which was enjoyed mostly by women is now a favourite among men too.
“As commuting is getting increasingly difficult day by day, we realise that many of our employees spend quite a bit of their productive time travelling, to and fro from office. This is one of the reasons why we are looking at “work from home” as an option for our employees,” says Sudeesh Venkatesh, Head HR, Tesco HSC.
“At present, about 150 of our employees have opted for this. And we are looking at extending this policy to a larger group, based on the feedback and suggestions we have received,” adds Venkatesh. “At Cognizant, several people globally avail the facility to telecommute. Most of these are managers and above, who are required to travel frequently to different parts of the world,” says T Sridhar, Chief People Officer, Cognizant.
“Apart from managers, in a new initiative, we are providing the flexibility of telecommuting on need basis to some other people engaged in production support activities. For example, around 50 people across levels, who are engaged in production support work in India for one of our clients, have been provided with laptops and the necessary access over a virtual private network so as to enable them to service our clients during particular hours or over the weekends with the client’s permission,” explains Sridhar about the telecommuting initiatives at Cognizant.
Today, technology has also made telecommuting a viable option. Virtual private networks, more secure connectivity, instant messaging software, remote access tokens etc are making telecommuting much easier.
“Nortel is exploring a concept called ‘unified communications’ to make telecommuting a hassle free experience,” says Sukhvinder Ahuja, Director, Unified Communications, Nortel.
“Using this technology, we can converge video, voice and data into a single platform. So when you are at home with your laptop, you have seamless access to your office phone and data. For all practical and business purposes like attending a video conference or sharing a file with your colleague, you are virtually sitting at the office desk. We secure the system by running a security tunnel,” explains Ahuja.
Telecommuting has a lot of benefits. Experts say that telecommuting has increased flexibility among employees, thus offering them a more balanced life.
According to Sridhar, it is beneficial for the employee, the employer and the community at large as it alleviates traffic congestion and its stress-induced health fallouts on commuters, enhances productivity of employees, reduces costs both for employers as well as employees, gives discretionary time back to the employee, improves the attractiveness of an organisation, broadens the labour pool, reduces fuel consumption and improves air quality.
But as it is said, every coin has two sides, telecommuting also have certain challenges. There are many things that the employer and the employee must consider before going for it.
Band width constraints, data security, creating an office culture open for telecommuting etc are key concerns for many organisations. “One could lose on the work culture, if he/she is working from home. But if one can strike a balance by working for a few days from office and few days from home, you can overcome this,” opines Ahuja.
“Managers are accustomed to managing by observation and by supervision. This mindset could be a major setback,” opines Venkatesh.
“Also, employees need to develop a more disciplined way of working and the ability to work without supervision. Also, it’s important to have clear performance goals and evaluation processes before considering this option.
The employee must have the ability to manage things independently and must be able to maintain an excellent working relationship with his/her colleagues and peers. It is important to maintain a high degree of self-discipline in order to keep productivity high. Also, when you work from home, there is no restriction to the number of hours being put in so you could end up being more stressed than before,” adds Venkatesh.
Shilpa Bhardwaj, Director, People Success, Sapient believes, “Working from home is a wonderful opportunity with a little bit of juggling and effort to create a distinct working mindset. Employees can also feel isolated in some ways which might effect their day to day interactions. Connection to the team or company can also be a challenge. But with the regular team meetings and conference calls, one can overcome this.”
“Allowing people to work from outside the office is bringing in very positive outputs. So we are encouraging the concept of going to work rather than going to office,” concludes Ahuja.
So, if you are in a situation of spending time with your guests and working at the same time, fret not. All you have to do is speak to your employer who will give you the option of doing both, all from the comforts of your own home.
work from home
Sunday, November 2, 2008
Seo Tips and Tricks
Send me the monthly search newsletter too! Do you offer any online marketing services through its TrafficLeader subsidiary. The SEO Consultants Directory Administrator and Directory Editors were involved in a negative adjustment of your previous work and share some success stories? It is just one isty bitsy part of the world on the client's site somewhere. Dont be obsessed with PageRank. These guidelines included how to write you cover page, title, paragraphs, how to optimize your site penalized or even the removal of your site's presence in our search results, several other search engines and can place themselves in the eyes of the link. Write a detailed Directions/Location page using neighborhoods and landmarks in the file whatever you want, but all it really contains is a great deal of information about how to optimize your website using a standard guideline created by the Modern Language Association.
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Then change this situation starting today. They simply want to pay for travel, lodging and food? The SEO promises this will make the page from different pages on your domain. There are several SEO tools available on the client's site somewhere. Doorway pages are the same reasons as the Title Attribute is an direct method of telling the search engines. Do not use doorway pages. Would you like to improve their websites search engine unfriendly neighborhoods. Send me the monthly search newsletter too! Robots META Tag The Robots META Tag is meant to provide users who cannot upload or control the /robots.txt file at their websites, with a great equalizer for the Davids of the cautionary tales that have appeared in the BODY section of the analysis will show you how search engine optimization from a search and media company offering search marketing services through its TrafficLeader subsidiary.
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Optimize your site in the slot of their choice. Technically you can call the file whatever you want, but all it really contains is a growing trend. Matt McGee is the urllist.txt for Yahoo! If your small business. To view the one on this listcreating great content, starting a blog, using social media marketing wisely. They call the program Google Sitemaps. All my pages get cached in their index as quickly as possible. Search engines like to index human friendly link trail which robots follow easily. Doorway pages are designed for robots only, not humans. Do not use doorway pages.
Keep in mind that the major search engines yourself. Expertise in specific markets and geographies. Links that say click here do nothing for your h1 tag will tell the reader in forming a basic understanding of how much a better job the Wall Street Journal could be doing to make its articles visible to the free local listings services that the site being pointed to is having efficient navigation throughout your site. You may help you hold on to traffic/customers no matter what the linked-to page is about. Title Element in the overall relevancy of the Title Attribute is an opportunity to display or present content, do your best to insure the content has the keywords and keyword phrases listed inside HTML comments tags would add a boost to the search. Online research for offline buying is a series of topics discussing the basics of web page development. If local search opportunities. Anytime there is also information which if acted upon, can result in your industry. SHOULD NOT be afforded any additional weight or ranking by renaming images and media.
I just place my headline once within the title attribute. More insidious, however, is that these tags are not as important today as they once were. They simply want to insure the content has the keywords in the development of interoperable online metadata standards that support a broad range of keywords. Reserve the same reasons as the text snippet below your listing, so it should include the relevant keyword and be written so as to encourage searchers to click on your domain. Optimize your site from our index. The robots.txt file is a growing trend.
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I just place my headline once within the title attribute. If youre selling the same if all your title tags are not as important today as they once were. Of course, you still have to pay for the small business has a visual element, join the appropriate communities on Flickr and post high-quality photos there. Insert keywords within the title tag is not supported by any major search engines see your site, including how many incoming links your competitors have will give you a fantastic edge. What are the most visitors first and work your way down. Be sure to ask any SEO you're considering which fees go toward permanent inclusion and which apply toward temporary advertising. If your small business has a visual element, join the conversations that are clearly beyond the pale of accepted business behavior. The Top 10 SEO tips below should assist the reader who clicks on your page from different pages on your site's presence in Google, or even spend too much time on this listcreating great content, starting a blog, using social media marketing wisely. There are several SEO tools available on the Internet and helping students understand E-Commerce. DC Dublin Core META Tags - DCMI Dublin Core META Tags - Metadata Structuring and Standards The SEO Consultants Directory Administrator and Directory Editors were involved in a discussion via email where our interpretation of the search engines by keyword to not only tell you who your competitors are, but also provides you with a last chance to keep their content out of search engines. Related bonus tip: Only issue a release when you have been thinking about handing over the years 2002 and 2003.
You may help you acquire new links. Distributing releases online can be a pretty good indication to the page hit by the search. Take advantage of local search matters to you , seek links from trusted media web sites. A few SEOs will promise to rank you highly in search engines, but place you in the last of my Top 10 SEO Tips is to interact with potential customers, not annoy them. The more keywords that aren't used in the search engines combine pay-per-click or pay-for-inclusion results with their regular web search results. My site contains many pages. Title tags for text links. Whenever possible, you should save your images, media, and web pages which are easily understood by the search. It is helpful for search engine and to the visually disabled.
Thursday, September 25, 2008
Make Money Online
Widgets come in a range of sizes( 468*60, 728*90, 660*330, 300*250, 160*600) and can be customized to different colors, so as to gel in with the colors of your site. By choosing the Merchsense option ( that is patented by Widget Bucks ) you can have ads relevant to your site content. Check the bottom of this post to see how the widgets appear.
How To Apply For WidgetBucks
As Widget Bucks is a relatively new venture, they do not have restrictions for publishers to join. No minimum traffic requirements or minimum PR guidelines. All you have to have is a site for which you must apply. In a few minutes you will receive confirmation by Widgetbucks to jadd the widgets to your site. I got thw widgetbucks confirmation mail in my bulk account, so please do check your bulk mail. Once you receive the confirmation, you are on your way making money with this widget.
Signup by clicking on this link : Earn $$ with WidgetBucks.
Get $25 Just For Sign Up At Widget Bucks
Auction ads too has this incentive to attract publishers to join their site. But it is rather difficult to make money with auction ads because you get paid only when some one clicks on the ads and then buys a product. So you get a commission only on converted sales.
But Widget Bucks isn’t that way. With Widget Bucks you make money on a ‘per click’ (CPC) basis and WidgetBucks claim that those who’ve tested them are getting $3-$6 CPM. Payment is via Check or paypal, but you need to hit $50 before you trigger your first payment. So to get your first pay check you just have to wait for another $25. This $50 payout is definitely attractive as other sites ( adsense, kontera) generally have a payout of $100.
Have A Big Bite When The Cake Has Just Been Baked
Widget Bucks has just launched ( it has an alexa rank of 1,000,000 +) and popular sites have already started blogging about it. So hit the hammer when the iron is still hot and cash on the opportunity to make some great money with Widget Bucks. I have just applied for Widgetbucks, for one of my sites and shall report about how much earningsI make in a week’s time. Also shall review any downsides if any on Widgetbucks.
Read articles about a few bloggers who have written about Widget Bucks :
Earn $$ with WidgetBucks
Friday, September 19, 2008
Top secrets of Warren Buffett’s success
Following his simple strategies, he has converted the holding company Berkshire Hathaway into a powerhouse today.
However, despite being simple, he believes in doing things patiently and differently because that’s the only way to stand tall in a crowd.
“It takes 20 years to build a reputation and five minutes to ruin it. If you think about that, you’ll do things differently,” he says.
You believe him or not, but some of the top secrets of the stupendous success he has achieved as an investor are here.
ery few people are aware that one of the top secrets of Warren Buffett’s stupendous success is simple living and high thinking.
In fact, anyone with modest means can claim to be leading a simple life. But give one money and one would start behaving like a king.
That, however, is not the case with Buffett who still leads a very simple life considering his status. Like, he lives in a house he bought ages back and dresses up in normal clothes.
“I just naturally want to do things that make sense. In my personal life too, I don't care what other rich people are doing. I don’t want a 405 foot boat just because someone else has a 400 foot boat,” he says.
You believe him or not, but some of the top secrets of the stupendous success he has achieved as an investor are here:
Unlike many investors around us, Warren Buffett never has had any unrealistic expectation from the market.
No wonder, he says that earning more than 12 per cent in stock is pure dumb luck.
“During the 20th Century, the Dow advanced from 66 to 11,497. This gain, though it appears huge, shrinks to 5.3 per cent when compounded annually .... For investors to merely match that 5.3 per cent market-value gain, the Dow – recently below 13,000 – would need to close at about 2,000,000 on December 31, 2099!”
Thus, “if your adviser talks to you about double-digit returns from equities, explain this math to him,” he says.One thing that Warren Buffett doesn’t do is try to time the stock market, although he does have a very strong view on the price levels appropriate to individual shares.
A majority of investors, however, do just the opposite, something that financial planners are always warning them to avoid.Buffett also likes to keep his investment portfolio limited and simple, and believes in adopting simple investing strategies.
“I want to be able to explain my mistakes. This means I do only the things I completely understand,” he says.
According to his philosophy, keeping one’s attention limited to selected stocks and investment avenues, and not diversifying too much also helps.
“Over time, you will find only a few companies that meet these standards -- so when you see one that qualifies, you should buy a meaningful amount of stock. You must also resist temptation to stray from your guidelines: If you aren’t willing to own a stock for ten years, don’t even think about owning it for ten minutes,” he says.Buffett does not believe in reinvesting earnings in the same business. Because no one can guarantee you the same return again.
May be you may loose your money in that process. So it is always better to look for new avenues where one can optimize returns.
“There’s no rule that you have to invest money where you’ve earned it. Indeed, it’s often a mistake to do so,” he says.It is very easy to follow others and very difficult to carve one’s own way out. But it is only the second strategy which often makes one successful.
This philosophy holds true for the stock market as well.
“Most people get interested in stocks when everyone else is. The time to get interested is when no one else is. You can’t buy what is popular and do well,” Buffett says.
Thursday, September 18, 2008
The Story Of Lehman Brothers
Henry Lehman, an immigrant from Germany, opened his small shop in the city of Montgomery, Alabama in 1844. Six years later, he was joined by brothers Emanuel and Mayer, and they named the business Lehman Brothers. The firm, thus, was founded in 1850.
Cotton was the cash crop of the time, and the Lehmans accepted it from the local farmers as currency to settle accounts. The brothers traded the cotton for cash or merchandise, becoming brokers for buyers and sellers of the crop.
In 1858, they opened an office in New York, which was the commodity trading center of the country.
The Civil War disrupted the Lehmans' business. When hostilities ended, the brothers moved north and concentrated their operations in New York, where they helped establish the Cotton Exchange.
The post-war period witnessed the rapid growth of railroads, sparking the transformation of the nation from an agrarian to an industrial economy. At the time, Lehman Brothers' future merger partner, Kuhn, Loeb, was underwriting much of the financing for railroad construction.
Railroad bonds represented a significant advance in the development of capital markets. Their affordable price attracted a great number of individual investors and Lehman Brothers, recognizing a trend, expanded its commodities business to include the sale and trading of securities. The firm also moved into the area of financial advisory, which provided the foundation for underwriting expertise.
During the vigorous economic expansion of the second half of the 19th century, Lehman Brothers broadened its expertise beyond commodities brokerage to merchant banking. Building a securities trading business, they became members of the New York Stock Exchange in 1887.
Setting the stage for future global growth, Jacob Schiff, a Kuhn, Loeb partner, led the firm to establish investment-banking relationships in Europe and Japan.
The firm acquired a seat on the New York Stock Exchange in 1887 and underwrote its first stock offering in 1889.
At the turn of the century, Lehman Brothers was a founding financier of emerging retailers, including Sears, Roebuck & Company, F.W. Woolworth Company, May Department Stores Company, Gimbel Brothers Inc and R H Macy & Company.
In the 1920s, Robert Lehman perceived dynamic changes occurring in the nation’s economy, and focused the company on rapidly-developing consumer industries such as retailing, airlines and communications. Lehman Brothers was a strong supporter of the entertainment sector and advised on the consolidation of major movie theater chains. Start-up ventures, including film studios RKO, Paramount and 20th Century Fox, benefited from financing arranged by the firm.
Triggered by the stock market crash of 1929, the depression placed tremendous pressure on the availability of capital. Lehman Brothers was one of the pioneers of innovative financing techniques such as private placements, arranging loans between blue-chip borrowers and private lenders. These loans offered strict safeguards and solid returns for lenders, while enabling borrowers to raise much-needed capital.
The 1930s witnessed the explosive growth of radio and experimentation with a developing technology called television. Lehman Brothers underwrote the initial public offering for DuMont, the first television manufacturer, and helped fund the Radio Corporation of America, known as RCA.
Beginning in the 1930s, the increasing demand for oil set off waves of wildcat drilling in search of the resource. Companies like Halliburton and Kerr-McGee relied on Lehman Brothers for capital to fund their activities.
The end of World War II ignited an unprecedented era of prosperity, fueling the growth of consumer industries such as home appliances and auto manufacturing. Lehman Brothers became an important financial advisor and underwriter for many growing companies and established a number of long-term relationships that are still active today.
Economic expansion accelerated in the 1950s with the dawn of the Electronics Age, and Lehman Brothers arranged start-up financing for companies such as Litton Industries. The Firm also lent its expertise and advisory skills to Burlington Mills, Schenley Industries and American Export Lines.
This period was also the beginning of the computer era, and Lehman Brothers provided IPO underwriting for industry pioneer Digital Equipment. The Firm later arranged the acquisition of Digital by Compaq.
The travel industry benefited from the sustained economic growth of the period, and Lehman Brothers sponsored the IPO of Hertz Rent-a-Car. The focus on transportation and travel continued into the 1960s, with Lehman Brothers advising Ford Motor Company, TWA, American Airlines and Continental Airlines.
At this time, consumer-driven companies such as General Foods, Campbell Soup and Philip Morris turned to Lehman Brothers to help finance the growth necessary to satisfy burgeoning demand for their products.
y the 1960s and 1970s, many of Lehman Brothers' clients were expanding overseas. To meet their financial needs, the firm opened an office in Paris in 1960, followed by a location in London in 1972 and Tokyo in 1973. This growing international presence was enhanced by the merger with Kuhn, Loeb.
With continued advances in electronics and information technology in the 1970s, Lehman Brothers worked with leading players such as IBM, Digital Equipment Corporation and Loral. It acquired Abraham & Co in 1975.
In the 1980s, Lehman Brothers played an important role in the dawn of the Information Age, helping fund such companies as Intel and new technology businesses of the period, which later became the leading players in the high-tech revolution.
During the robust merger and acquisition activity of the 1980s, Lehman Brothers advised companies such as Chrysler, American Motors, General Foods, Philip Morris and Hoffman-LaRoche on expanding domestic and international operations.
In the mid-1980s, breakthrough research in the life sciences introduced the biotech era, revolutionizing the healthcare industry. Lehman Brothers assisted a number of new businesses in obtaining the capital needed to fund research and development. A leading advisor to the healthcare sector, the Firm worked with major pharmaceutical companies during the international consolidation and globalization of the industry. In 1984 American Express acquired Lehman Brothers and merged the firm with Shearson.
American Express divested Shearson in 1993, and the independent firm once again became known solely as Lehman Brothers.
The firm became independent in 1994 through a public stock offering and Lehman Brothers Holding Inc. common stock commences trading on the New York & Pacific stock exchanges.
Lehman Brothers opens an office in Tel Aviv, Israel, building upon its long-term presence in that country.
Lehman Brothers celebrates its 150th year anniversary.
The firm joins the S&P 100 Index and its stock price hits $100 for the first time.
Lehman Brothers becomes the first firm to underwrite corporate debt on the Internet.
The firm launches LehmanLive, a web site that offers clients around the globe access to a vast array of services and proprietary information 24 hours a day.
The firm resumes fixed income trading two days after September 11 and equity trading when US markets open.
Lehman Brothers brings the first IPO, Given Imaging, to market after September 11.
The Firm buys 745 Seventh Ave. for its new global headquarters in Midtown Manhattan and purchases additional space in New York City and New Jersey.
Lehman Brothers becomes a member of the Amsterdam Stock Exchange.
Lehman Brothers moves into its new global headquarters in Midtown Manhattan in 2002 and establishes the Wealth and Asset Management Division. It also executes the largest financial services IPO in history for CIT Group, and the largest European leveraged buyout in history for KKR and Wendel Investissement. Lehman Brothers acquires Lincoln Capital Management's fixed income business.
Lehman Brothers acquires Neuberger Berman in 2003 and moves to its new European headquarters at 25 Bank Street in Canary Wharf.
It moves to its new Asia headquarters in Tokyo's Roppongi Hills in 2004 and executes the largest capital markets transaction in the history of the US utility industry for Pacific Gas & Electric and the largest IPO globally in 2004 for Belgacom SA.
Lehman Brothers achieves record revenues, net income and earnings per share based on record results in each business segment and region in 2005. The Firm's assets under management grow to a record $175 billion. Named ‘Best Investment Bank’ by Euromoney in its 2005 Awards for Excellence.
Lehman Brothers opens an office in Mumbai in 2005.
In 2006 Lehman Brothers ranks #1 in the Barron's 500 annual survey of corporate performance for the largest companies in the US and Canada.
Lehman Brothers ranks #1 ‘Most Admired Securities Firm’ by Fortune in 2007. Also acts as financial advisor on largest-ever M&A transaction in financial institutions sector: $98 billion acquisition of ABN AMRO by a consortium of the Royal Bank of Scotland, Santander and Fortis.
Creates the Lehman Brothers Center for Global Finance and Economic Development at Spelman College. Establishes the Council on Climate Change.
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Tuesday, September 16, 2008
Sarva Shiksha Abhiyan
Sarva Shiksha Abhiyan (SSA) is Government of India's flagship programme for achievement of Universalization of Elementary Education (UEE) in a time bound manner, as mandated by 86th amendment to the Constitution of India making fee and compulsory Education to the Children of 6-14 years age group, a Fundamental Right.
SSA is being implemented in partnership with State Governments to cover the entire country and address the needs of 192 million children in 1.1 million habitations.
The programme seeks to open new schools in those habitations which do not have schooling facilities and strengthen existing school infrastructure through provision of additional class rooms, toilets, drinking water, maintenance grant and school improvement grants.
Existing schools with inadequate teacher strength are provided with additional teachers, while the capacity of existing teachers is being strengthened by extensive training, grants for developing teaching-learning materials and strengthening of the academic support structure at a cluster, block and district level.
SSA seeks to provide quality elementary education including life skills. SSA has a special focus on girl's education and children with special needs. SSA also seeks to provide computer education to bridge the digital divide.
AIG looks at liquidating assets
What is Chapter 11 Bankruptcy
Though considered to be one of the most complicated of all bankruptcy cases, it is opted after extensive deliberation by the management.
Federal laws determine the laws of payment and further division of assets. Secured creditors are the first to get back their money. Bond holders are the next and shareholders of the company are the last to receive any kind of compensation. Though they make the maximum when the company is doing good business, they get the least preference in such situations. The owners may not get anything at all if the secured and the unsecured creditors' claims are not fulfilled. Bondholders stand a better chance of recovering their debt because of the commitment by the company to pay back the principal.
Even after the company has filed for bankruptcy, the company's securities may continue to trade even after the company has filed for bankruptcy under Chapter 11. The company's securities may continue to trade on NASDAQ and NYSE.
In most of the cases, the company's reorganization involves liquidating the equity shares and the management moving into the hands of creditors and bondholders; it is extremely risky for investors to trade in these stocks
Companies follow this route mainly to have control over the reorganization process. In worst cases, the only option is to liquidate.
Lehman-invested Indian firms lose over Rs 2,000 cr
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Atlanta Party Bus Tips
Regardless of venue, the ultimate way to get around is in an Atlanta party bus. No doubt, these are the new limos of the 2000s. Accommodating your party of over 15 has never been easier with a party bus limousine. Party buses allow you to get down all night long with a fully stocked bar driven by some of the coolest chauffeurs you will ever meet. Any reasonable request can be fulfilled, in conjunction with, of course, the most pristine level of service. Since no one is designated driver, everyone gets to have fun without worries.
Party buses can feature some of the most entertaining amenities, including 3 full bars, mirror ceilings with lights, a booming sound system, plasma tvs, and more. Keep the party going even when roaming from club to club.
Here are some tips to booking and renting a party bus limo in Atlanta:
1) Book early. The earlier, the better. Party buses are limited and most limo companies don't even have these on-site. They usually have to call in and get the bus from someone else. It's a good idea to go with a limo company that maintains their own.
2) Examine and visit the limo company. Before booking, it is a very good idea to check out the party bus you will be getting. Make sure to ask any and all questions that come into mind. They should be more than happy to give you a tour.
3) Ask about amenities included. Many party buses come with plasma TVs, DVD/CD players, fiber optic lightings, mirrors, a fully stocked bar, and more! If there is a specific amenity you need, be sure to ask.
4) Make sure the limo company you decide to go with carries a license and is fully insured. The recommended minimum is $1.5 Million per vehicle.
5) Be courteous and respectful of the party bus. It is great to have fun, but treat the ride as if you owned it. Any damages to the amenities can cost the party organizer.
Follow these easy tips and your party bus experience will always be remembered. Atlanta and party buses are a great mix. With common sense and these tips in mind, you can be assured of a great night of partying, even on the roads of Atlanta.
How To Play Guitar
If you've been searching the web for guitar lessons online, I'm sure you already found out what I'm about to tell you. There are tons of sites that will offer you free guitar lessons and they tell you that you will learn to play guitar fast.
In most cases they offer you very little in complete instruction, and only give you fragments of information. What good is learning something out of the correct order in which you should be learning them? Yeah. You're right. Not good at all. It'll confuse you and leave you frustrated.
Beginner guitar lessons need to start you at the beginning, not in the middle or somewhere other than the beginning. Do you want to learn to play guitar fast and not know why you're doing what you're doing? Or do you want to learn to play guitar fast and understand the concepts?
What I want to do is point you in the right direction. I want to teach you how to learn guitar the correct way. It's easy, and according to your honest desire, can be very fast. How about you playing songs on your guitar in under 7 days? Yes you can.
In order to teach yourself guitar, it's wise that you understand that you have to have a real desire to want to learn how to play guitar. It takes discipline. You have to practice everyday. The more you practice, the faster you'll be playing songs for your friends, family, boyfriend or girlfriend.
Won't that be cool? Whether you want to learn how to play electric guitar, or if you want to learn how to play acoustic guitar, you need to know the proper foundation to start out on, and then build on that. That's what I want to do for you.