Tag Archives: MONEY

Understanding the Fundamentals: A Beginner’s Guide to Capital and Money Markets

SEBI Reforms:

1. SEBI has brought in reforms in the form of improved disclosure standards, introduction of prudential norms, simplified issue procedures, transparency by way of disclosure of all material facts and risk factors etc.

2. SEBI amended the Listing agreement of the stock exchanges to require listed companies to furnish annual statement to the stock exchanges showing variations between the financial projections and projected utilization of funds in offer documents.

3. It has introduced code of conduct for advertisements for the public issues. This ensures fair and truthful disclosures by the issuing companies

4. SEBI has started the process of prosecuting companies for misstatements. It has directed a few companies to refund the application money also.

5. It has also introduced a system of penalty points for Merchant Bankers for defaults committed by them. This ensures prompt/proper conduct of the Merchant Bankers too.

? SEBI permitted private mutual funds to be established and many such mutual funds have been set up.

6. Capital adequacy requirements for brokers have been introduced

7.SEBI has advised all stock exchanges to develop surveillance system by advising all stock exchanges to have their own surveillance departments.

8. SEBI made electronic trading possible in 1994, and Demat accounts were introduced from 1996.

9. Brokers were brought within the regulatory frame work in 1995, by the concept of dual registration, compulsory audit of books and compulsory filing of the audit report with SEBI.

10. Insider trading was totally prohibited. It is made a criminal offence punishable under SEBI Act.

11. SEBI can take penal action directly against any member of the stock exchange for violation of SEBI Act.

12 SEBI introduced T+2 rolling settlement cycle to push the Indian bourses ahead of most developed markets vis a vis trading and settlement system.

14 Elimination of leverage trading on the stock market (2001) and introduction of derivative products are some other reforms.

In case of violation of SEBI (Disclosure and Investor Protection) guidelines, 2000 and in the interest of the investors SEBI may,

? Direct the persons concerned to refund any money collected under issues to the investors

? Direct the persons concerned not to access capital markets for a particular period

? Direct the stock exchanges not to list or permit trading

? Direct stock exchanges to forfeit the security deposit

? Initiate action including suspension or cancellation of certificate of registration of any intermediary who fails to exercise due diligence or who is alleged to have violated SEBI guidelines

Debt Market:

The debt market in India can be classified into Government Securities market and Corporate debt market. The Govt. debt market is dominated by the debt issued by the Central Govt. The outstanding issuance of marketable central Govt. debt as on 31 Aug 2003 stood at Rs.7,60,000 crores and that of state Governments stood at Rs. 1,65,000 crores. Reliable information on corporate debt market is not available. However, it is estimated at Rs.2,00,000 crores, which is mostly issued by private placements, which by its nature is unregulated. The corporate debt securities are issued by top rated corporate entities, public financial institutions, banks and by state owned enterprises/entities issuing guaranteed bonds. The primary debt market is dominated by Central Govt. securities. In the secondary market also, volumes traded on Govt. Securities on a typical day would be around Rs.8000-8500 crores, while that in the Corporate debt would range from Rs. 500-600 crores. The common instruments in the debt market are: Corporate Fully Convertible Debentures(FCDs)/Party Convertible Debentures (PCDs)/Non Convertible Debentures (NCDs)/PSU Bonds/Zero Coupon Bonds/Deep Discount Bonds and Gilt Edged Securities etc.

Regulations in Debt Market:

The Public Debt Act 1944 provides the framework under which government securities can be issued and serviced. Under the Act and as also under the RBI Act, 1934, RBI is the sole manager of Govt. Debt. As a debt manager for both Central and State Govts, RBI deals with the issue, servicing and repayment of the Govt. Debt.

SEBI regulates the corporate debt securities, while private placements, which are made under Section 67(3) of the Companies Act, 1956 are largely unregulated. The amendment to the Securities Contract Regulation Act 2000 clearly delineates the division of regulatory responsibility between RBI and SEBI.

Secondary market trading in government securities is mostly over telephone. Banks, Primary Dealers and FIs are allowed to use only BSE,NSE and OTCEI members as brokers for dealing in government securities as per RBI guidelines. Forward trading in government securities is not permitted, however, repos in government securities are allowed as per RBI guidelines as long as repos are between entities having SGL account with RBI and the trades are settled through such accounts . Of course, this includes settlements through the Clearing Corporation of India Ltd (CCIL). Uniform accounting norms were introduced for repo transactions which ensure (i) that the legal character of repo under the current law, viz., as outright purchase and outright sale transactions will be kept intact and (ii) the book value of the securities remain unchanged post repo. RBI guidelines require banks to actually hold the securities in their accounts before they can sell the securities. Hence same day sale of purchased securities is not allowed except those allotted in the primary auction. Where SGL facility is available, settlement has to be only through SGL account and no brokers are allowed to be used in the settlement.

Regulation of Investments by Banks:

RBI regulations for investments by banks is furnished below:

  1. Investment Policy: Banks are expected to frame and implement a suitable investment policy to ensure that their operations in securities are conducted in accordance with sound and acceptable business practices. While framing the investment policy, the banks should bear the following aspects in mind:

i) It should not hold oversold position in any security

ii) All transactions put through by a bank should be settled on the same day or on the next day unless the transaction is through a NSE broker in which case the settlement is T+2. All transactions on the bank’s own account should be settled through SGL.

iii) Return of SGL form for want of sufficient balance in the account must be avoided. Three times SGL bouncing in a quarter makes them liable for stoppage of SGL facility. Further Readings: Economics Discussion , Sebi.gov , Study mode

Is money bigger than education?

At this weekends daddy has a lot of time and in the evening we all family have a seat at the balcony at a very brilliant cool weather and with some sort of breakfast we chat together. The climate is brilliant and with it we together began to talk on one subject after the other and then at one point of time and on one subject I could not recall immediately, the source of the conversation starts with and it is being first taken by mummy and then daddy get into discussion about is money bigger than education?

It seems to be a tricky one but it is a good subject and mummy stresses always about that education has always greater significance than that of money but daddy supported mummy’s suggestion but also said that it is now a concept which is thing of the past and in modern times it is the money that matters and education comes into back burner.

It seems a bit of tricky situation and the matter and the crux of discussion goes on. It is for sure if you have money then you can share some of those as many said ill got ill spent but many people are spending in terms of benefits to others and so that they think God will always be with them if they had done any sort of wrong way in getting the money back.


There are also many examples can be taken into consideration , as with the real estate boom in housing sector where we can find lots of significance elements where the person without any sort of education and formal knowledge are getting richer day in day out and even they cannot speak but they are travelling all around with the main cause of money and this is surprising and on the other hand , there are also some cases when the person with gifted education qualities but it trying very hard but not earning any sort of money in the farthest of imagination. They are not getting any money with their education and they have been at the stringent end to meet their ends and these are very surprising and also painful but all have been true.

All has been of great significance where the old adage is simply fading into oblivion that money is the greatest wealth now wealth can get you education and certificates and this is the most damaging and bad side of any sort of money earnings. What these should be done and how these are happenings. There are many countries where the politicians with no knowledge and there are instances that they cannot even write their names but they are now more richer than even a highly educated person can aspire to be and these are all some sort of the way the world is heading into and all these aspects has been significantly very sort of most distressful anticipated.


The more you think on this subject the more you get entangled into all these and it is always better to have a good perspective and always on attitude but all have to be reached and concluded with the same sort of tag line that starts and ends with money. It is the money matter and if you have money and education then it does stick to you and with this you can rise higher but not higher than the person with money and no education. This is surprising but it is true , if you can venture to glance upon the real estate boom in some of the Asian counties you will soon realize and found that most of the major success of these are with illiterate who have ventured into all these and have successfully and sufficiently gained from all these. It is true and if you follow the world headlines you can know from it and all these has been surprising and it is the most underrated and not so elegant part but it is true.

The din and the bustle of real estate and the power that is inherent within all these has been the similar dream stories where not so educated persons has been getting the money and they are the real winner and mostly they are the champions of all cause in the society as they are simply distributing the money . These thoughts are like that of leaving from all sources but all has been some sort of greater significance that has been carried into where the educated person is always being harassed though they are not getting their due with due course of time and situations.


All these thoughts can be negated but when I realized that the taxi driver is highly educated person and then daddy on the way to airport surprisingly asked him why you have chosen this method, the response was he want to get to the top from the down side of the ladder though it is very technical but the education is being wasted here with full swing and part. This is not the only line that has been in the prominence there are several lines and the attitudes that meets and in this way the whole concept of education is diluting and these all making the mockery of education and if I am correct with some period of time people will question education and they will drive out and move beyond from these concepts and this can have some sort of humongous catastrophic effect and all these has been bad and going worse.

Take one example , there was the florist family , as they are very poor and even they do not have sufficient money for two daily foods and they have been living very miserably , they think that at some point of time education is important and that is why , they have been placing hard but after twenty and thirty years they are now one of the richest family as they are now importing and exporting flowers and these are very cash rich and they have been doing all these simultaneously and these proves the point that education does not matter to them to earn money it is the sheer mind that is getting them reach and now they are entering into real estate market as they have been richer and stronger and they can now have more and more power to exercise so much so that they will earn more money.

So, where is the role of education in all these aspects then? Is education is diminishing day by day as with this sort of education and writing can you earn more and all these has been getting into some sort of very dangerous trend where the education is slowly fading into oblivion and we are getting into that age of the history where once it has been called as the dark age is that sort of panel of thoughts I being rehearsed now a days things to ponder upon.


Slowly in money making and earning education has been limited and the role of education is not making you rich and known to all societies is not happening instead persons far more poorer than you is getting the limelight and money , a very serious trend and slowly can the education is getting out of hand . All these had obstacles to education can it jump all these hurdles to get back its number one position the time will tell for sure.

Monetizing your blog

You must treat your blog as an entity and go with it like that of the entrepreneur and business like-minded approach. You must be innovative and trying hard to know various new and good methods so that in this way you can always be with the time and new and interesting innovation should be with you as always.

Finally, you should be consistent in implementing the strategy so much so that whenever you go with some sort of point or mechanisms and that should be implemented straight and with the due point of course

.

All these subjects are necessary to convert your blog from a nonentity to a passionate long-term income opportunity so that it will become the expression of yours in due course of time.

Before you go for monetization the first and the foremost workaround is how to how to be more consistent in writing and developing one particular and significant mental attitude so much so that it will give rich benefits to you as well as your audiences.

It is hard work to get money but it is not impossible to achieve

 it and attain it the way you can go for the entrepreneurial activities and the way you built your blog in the path of success that is going to be the single most significant factor that will drive you to the success.

It is always right you will be facing serious threats and obstruction while crossing the barriers of passionate blogging to serious blogger

 and this is what is meant to success in monetizing your blog.

The principal factor is building
the trust and making and carrying out the long-term commitment so that you would go in the right manner without any sort of hindrances.

You must be committed to the visitor-centric issues and also can go forward with it so much so that your passion will go that way, it is not that you will not go for money but the prime factor is that if you go with the passion of what your audiences want then it is imperative that your earning will go higher up with the commitment that you would give it to your loyal visitors to your blog.

Sometimes you may feel some confusing thoughts about how to earn money or how to go about it this may be confusing but commit yourself to better writing and once you have done that then it is true that sky is the limit.

It is the commitment that compels you to post regularly and also that commit you to have the goof management of writing resources. Once you post regularly then the audience

 will be forced to come to your blog and then they will take the interest at your writings and then they will be more and more engaged with your support of writing and the way it is comprehended.

It is always better to post the article one thousand worded article once per day so that it will be constant with your schedule and that can attract more and more visitors through viral and words of mouth.

Always remember to be consistent as your visitor will always be hopeful and wanting the same schedule even after two or more years of blogging and it is better to be consistent on your posting and so that you can have the same time and the privilege while dealing with the posts.

Whenever you have the time and leisure always start to write down some of the monetization strategies and with this you can earn and also manage your online earning potentials.

Set the goals for yourself and make the time limit for that goal and with due course of time you should check

 how much you have advanced and how you could go ahead

 or by the side of this so that each and every part of this should be better understood.

Quality is very subjective

 and it differs from persons to persons and also it could go in some other way if the choice of the audiences is different.

Take for example if you are writing about monetization then focus should be on some of the real dedication and the work that will be behind this so that you could get enough attention and the ease in which the transaction will be done.

It is always important to attain the balance between your reader’s minds and make it error free so much so that this can be the silver lining in the entire aspect of this blog.

Most of the genuine blogs are constructed on the theory that they are passionate, true and give the right and correct opinions to the audience and they are richly benefitted from it.

If while writing you feel that your writings are not good and it needs improvement then do not feel the sad about it as you can make the practice this with your blog and in this way you can make it perfect and this can give the rich benefits to your audiences.

Try to write clear-cut idea inside the concept and there is some question mark in using or avoiding the longer sentences. Avoid repetitiveness while writing so that this will not hamper your practice.

The aim is to create the most significant content is to make your website more and more search friendly as this can bring out more and more visitor’s o your site and thus it can be more and more popular with this step in action.

While popularizing your website it is important to always determined what is good and what is bad , whether you are doing the right by going through some sort of processor by going the wrong by going through that populist process

.

As it seems these process may get you richer benefits in the shorter term but in longer term it can have some sort of devastating effect on the popularity of your blog and for that and you should look for the long-term solutions and this can give some sort of richer benefits to you.

If you are newer to blogging then deciding the topic can be very cumbersome but still, you will have to find out what the niche area you would like to go with it and try to be more research centric and more and more original writings so that these will have the greater impact on the running of your blog.

Try to keep the topic as broad as you could so that the choice of topic and in choosing the advertiser

 will have the greater scope to comprehend and in this manner, this can have some sort of imparting an effect on your blog.

Try to give the new and the fresh content daily so that the audiences will be attached to your blog and they will always be the return visitors and that can have the richer impact on the sidelines of the blog.

Then write the topic I such manner that can push you for the revenues sources and that can ultimately connect you with corporate and that can have the richer benefits with some sort of populist ideas in the making.

It is also true that for a blog to make money there should be an absolute

minimum number of daily audiences so much so that the contents will be viewed by many and these can provide better and higher visibility for your audiences.

If you write on particular subjects then it may bring fewer audiences but if you are trying to write on a subject that is more relevant and most interesting with wide variety and interesting aspects then it is better to go for the wide variety of topics so much so that it can give you the richer and higher visibility and with the relevant and interesting contents search engines will take the note of it and will index it and that can have the more and more audiences for you.

It is right that you may need an audience of tens of thousands in order to build a good revenue model with your blog and for this, the dedicated work and motivated contents are the order of the day.

Sources & Citations:


1.https[:][//]www[.]gsb[.]stanford[.]edu[/]insights[/]matt-abrahams-tips-techniques-more-confident-compelling-presentations
2.https[:][//]www[.]profitableventure[.]com[/]licence-idea-make-money-get-rich[/]
3.https[:][//]theundercoverrecruiter[.]com[/]top-7-qualities-employers-are-looking-candidates[/]
4.https[:][//]saylordotorg[.]github[.]io[/]text_stand-up-speak-out-the-practice-and-ethics-of-public-speaking[/]s12-03-putting-it-together-steps-to-c[.]html
5.https[:][//]problogger[.]com[/]make-money-blogging[/]
6.https[:][//]www[.]bloggingbasics101[.]com[/]how-can-i-make-money-from-my-blog[/]
7.https[:][//]www[.]incomediary[.]com[/]blog-make-money
8.https[:][//]forum[.]privet[.]com[/]viewtopic[.]php[?]t[=]112481

Remove money and muscle power from politics

Life never comes to a halt, as there are many persons in this world who will justifiably find earning potential with infinite ever work environment there for all to see and trace out the real earning potential. Local body elections held recently. There are numerous side politicians who usually stay alongside numerous politicians who are contesting here, has been earning handsomely. They feel that if the day could be the bird then they could keep it inside their control and the day time would be there forever and with this their campaigning will be there for more and more time to continue. For campaigning politicians used to garner money and with it they tend to give to their trusted lieutenants and with it in each phase they used to receive money and that creates more and more potential for earning opportunities.


All these are not permanent and trusted earning opportunities for sure, though these are not called specified earning opportunities as with due course of time one can find for sure that those persons also gets the unemployment earning opportunities and other forms of earning solace still they are unemployed though they must have been relishing of thoughts of building hotels and restaurants at faraway places but still they want to be declared as unemployed so that they will continue to hold that tag and also getting definitive remuneration from the government of the day and their earning will be multiplied if they happen to be the member of government who is at the helm of affairs.


This is really a tricky situation where no one can control all these abuses of law; on the other hand these can be described as the completely fraudulent method of earning money. Now, there are instances when these small and petty lieutenants who are roaming around politicians has been earning more than what they expect, still they are not paying anything as taxes to government treasury a peculiar and one such way where there is the completely mixture of using openly the black and white money transactions.
Similarly, there are instances when these lieutenants used to distribute money to voters in order to garner their vote, it is a serious dent to the protection of democracy, where, notes distributed in order to get the votes, and this is one such illegal method of earning money by citizens and these can be termed as most illegal form of earning and the way citizens and voters are using their ballots in the exchange of notes is a sorry state figure which no one can figure it out.


Why society has been falling to such low stage with such a bad to worse state of democracy? Can this be averted and why the custodians of democracies are not stopping these stripping of law and order? Are they running away from their own responsibilities and why such strains of behavior have been there for the exchange of votes? Now, our ballots are no longer the cost of secrecy as there are provisions as political parties can now know the votes in each of voters and this is not the correct way of getting a strong and vibrant democracy. Sometimes, there are instances when these people attacked the communities as they know that after getting money these are not voting for them and these can spell a stiff disaster for the people who are voting.
It is one of the most appalling way to control politics as this goes on to show that voters who are accepting these, are satisfied with this sum of money and in turn they are not demanding about developmental works, as they want only sum of money. This surely spells a depraved taste for the success of democracy and for this as stipulated form of control from among administrators is the need of hour.

The way all these catapulted into a form of non-developmental form of democracy is surely not going to make benefits out of it, but all total one has to think beyond one has to die out from such situations on order to find the real benefit of it.
Politics should not be about forced capturing of voting power as it should be about the proper conduct of the exercise of the franchise and for this a correlated and good citizens who not only active with his courteous conduct as well as seamless utilization of voting rights. Votes should not be bought by them. Take for example, one domestic help who has four children and all are grown ups, so they have in total six members of family and six votes, so it is heard and the talk of the town is that some lieutenants of politician have paid them handsomely to vote in their favor, she is happy as she got the money and for her money is the real vote as she does not want to demand roads and other forms of developmental works as she only want money and that is all for her,

In these circumstances, how can she be decided on herself to vote as per her conscience as it seems highly immoral to ask for votes in exchange for money. It is simply destruction of democracy through money and muscle power. How can we develop with such attitude in the long run when there are many such issues which are not so congenial development of democracy? Similarly, in another instance from here say, one can find after the declaration of results at the constituency, some lieutenants of political leader came and reached near a small group of persons who are living inside mud houses and then ask them to come to the front of their space, and then they stood them one after another and began to beat them mercilessly, from among them there are girls, and also small kids apart from ladies, gents and older persons.


It is a worst form of democracy in actions where all these people are paid prior to election to vote a particular party though after election they come to know that these people have not voted for them and that is why they are beating them and after that they would be returning the sums of money that has been given to them and these people seems to be the people from the party in power and for it they are more merciless and more figured in attacking them with sticks and might. The question is how they know that this particular place has not voted for them. We are supposed to cause the secret ballot but the concerned political parties know to whom we are going to cast votes, it is not only surprising but the completely blindness and chaos of ideas that has been making the mockery of a strong and vibrant democracy.

HSBC money laundering report: Key findings

From among these culprits there was one person whose name was Julio. According to investigating officers, Julio was principal to other culprits who was making the illegal money legal or in a process was involved in the process of money laundering.

It was said by special investigative executive James. The ICI agency is investigating this case. According to a lawyer from Columbia, Julio Chaparo was the middle man in this process of money laundering by these groups of people. The spokes person of HSBC said no comment in this issue. Till now it was not clear that drug traffickers were using as their payment gateway or not.

In the attorney office of New York and California, the secret report that specifically told how HSBC was used for drug is trafficking and money laundering. It was first traced by federal task force of South America, which analyses all wire transfers, e-mail, computer and other resources, how these money laundering and drug trafficking was taken place. In this way federal task force of South America knew the gang that was actively involved in money laundering and drug trafficking.

This gang sells narcotics at America, and then the money gathered from this sell was sent to Mexico and then was deposited with HSBC bank there. It was being perceived that at Mexico, if you deposit a huge amount of money then no one suspect you, this is not the case at America so they chose Mexico for this. According to investigating officer of America, Chaparo and others drug traffickers and money launders, deposits all the money that they get from drug selling to Mexico HSBC bank. Then, they send this money to America and to some other places.

One member of that narcotic gang became a seller and they receive the offer from these members and they export all these electrical materials like that of computer and washing machine to South America. According to judiciary of America, due to some loop holes with HSBC transactions, these narcotics gang benefited immensely from this. At HSBC it was not been clearly investigated about the depositors, electronic wire transfer, and other money laundering issues.

The task force that was investigating these narcotics group money laundering and drug trafficking issues started investigation of this issue from 2007. From investigation the executive came to light how courier companies from Miami and Houston , indulging sending these ill got money to south American countries. Then, they came to know how HSBC bank of Mexico was being used by these narcotics group and how this money comes again to New York, they knew it in detail.

He was active in spending the money that has been received through illegal drug sale. Fernado got his bail at the cost of two lacs as dollar. There was one criminal conspiracy case against him. Then, the investigative team stopped him and search and at that time from two bags he had 1, 53,000 dollars. Then the investigative team went to his apartment and there they found ledger and other important documents, and after analyzing all these it was understood that was the case of money laundering. Then, he was arrested, after interrogation, they knew about Chaparo and his way of doing these money laundering activities.

This was reported to justice department by investigating team. According to investigating reports, the federal agencies will be investigating about money laundering of HSBC Mexico to HSBC America , about huge sum of money , huge money , and it was said by the investigative agencies that , from 2008 April 5 to 2009 April 13 , with the sell of narcotics by these narcotics groups , then they gained huge money and these money were illegal and they money launder illegally through Chaparo and other narcotics groups.

Summary:

According to investigating officers, Julio was principal to other culprits who was making the illegal money legal or in a process was involved in the process of money laundering.

According to a lawyer from Columbia, Julio Chaparo was the middle man in this process of money laundering by these groups of people.
In the attorney office of New York and California, the secret report that specifically told how HSBC was used for drug is trafficking and money laundering. It was first traced by federal task force of South America, which analyses all wire transfers, e-mail, computer and other resources, how these money laundering and drug trafficking was taken place. In this way federal task force of South America knew the gang that was actively involved in money laundering and drug trafficking. This gang sells narcotics at America, and then the money gathered from this sell was sent to Mexico and then was deposited with HSBC bank there. According to investigating officer of America, Chaparo and others drug traffickers and money launders, deposits all the money that they get from drug selling to Mexico HSBC bank. Then, they send this money to America and to some other places.

At HSBC it was not been clearly investigated about the depositors, electronic wire transfer, and other money laundering issues.

Then the investigative team went to his apartment and there they found ledger and other important documents, and after analyzing all these it was understood that was the case of money laundering.