Deep Blue Publications Group: Struggling businesses can avail of half-priced loans from German bank

SMALL companies will now acquire funding from Germany at 50% the interest rate charged in Ireland under a program certified by Chancellor Angela Merkel.

The German Chancellor has told her state investment bank to coordinate closely with Irish officials to enhance loans for the economy, to include availability to funds for small and medium businesses.

But funds may also be provided for investment, for construction and for bigger companies.

The development is designed to allow Irish businesses seeking capital at a lower interest rate than the one provided by Irish banks.

At present, the average interest rate applicable for a small Irish business is approximately 4.5pc – over 100% more than the rate for a similar business in Germany, where loans are provided at merely 2pc.


The plan to provide further loans at lower rates is likewise seen to motivate more businesses to invest.

“The need for loans depends on the affordability. There will be higher demand for funding if we can reduce the rate,” a Government official said.

The arrangement came as a result of negotiations between Taoiseach Enda Kenny and Chancellor Merkel regarding steps to aid the economy.

The German development bank, KFW, will determine possible steps to provide the loans.

The funds come at a lower rate because KFW is a triple-A rated bank; hence, it can acquire money at a lower rate and pass on the benefit to its clients.

The credit will be channeled through the National Treasury Management Agency and the new Strategic Investment Fund or the state-operated banks, AIB and Permanent TSB.

The Taoiseach said Ms. Merkel personally promised to coordinate hand-in-hand with Ireland to enhance funding processes.

In a report, Ms. Merkel said the German development bank will work with the Irish officials “rapidly, so as to fulfil its goals on this program as quickly as possible”.

After the announcement, the Irish Bankers Federation (IBF) released a report pointing to a marked decrease in lending to companies in the first part of this year; but banks insist this is a result of companies being reluctant to take out loans.

IBF director Felix O’Regan stated that any improvement in credit availability should be encouraged.

However, he said financiers operating here are suffering due to falling demand.

Driving business activity, by encouraging consumer spending, is the best means for achieving that, Mr O’Regan said.

Bank of Ireland head of small business, Gerry Prizeman, stated that firms are wary of fresh loans.

Business owners only took out half of the €3.6bn of funds the bank had intended to provide in 2012, for instance. Those who have availed are presently utilizing below 40pc of the cash accessible on their overdrafts.

Deep Blue Publications Group: What Is The Stock Market?

The stock market is an online trader.

Centers of finance, such as London and New York, have their own stock exchanges – that is, their own retail shops or venues where investors, whether they are private individuals or banks or pension and hedge funds, can purchase and sell shares of stock.

Remember: One share is a part-ownership of a company.

At present, stocks and shares can be more commonly acquired on the Internet through a stockbrokers' website, in the same way that Amazon conducts sales through its website.

You can acquire or sell shares in businesses from the US, UK, Europe, India, Japan and other nations over the stockbroker's website.

The Stock Market – The Traditional View

When people mention the stock market, they often refer to the stock exchange (retail outlet) in their own country. For instance, my stock market is the London Stock Exchange.

Through my stockbroker's website, I gain access to exchanges globally and buy and sell shares on the London Stock Exchange as well as The New York Stock Exchange, The NASDAQ and The American Stock Exchange.

Like Amazon, a stock market is a venue where buying and selling takes place but the only goods available offers are shares.

As you can see in particular, the stock market and stock exchanges are retail shops for the acquiring and trading shares.

How You Can Profit From the Stock Market

Customarily, people earn from the stock market through their membership of a pension plan either privately or through a company they work for. In the US, this is traditionally done through the 401(k).

At times, people will invest money into mutual funds to make money off the stock market and assign somebody else do the job of selecting stocks. The advantages of stock picking by mutual fund managers have not been that commendatory.

And this is not merely a phenomenon that occurs in the US.

The UK pension industry has been often criticized for making profit, not from the stock market, but from the fees they charge their clients.

The only way to earn from the stock market is to take ownership and control of your involvement in it. Allowing others to do it for you will lead to an erosion of the wealth you have worked so hard to create.

What Is The Stock Market? The Real Answer Deep Blue Publications Group LLC

Deep Blue Publications Group LLC provides the investor the potential to earn from the folly of other stock market players. In short, stock market is basically composed of the participants in it, such as private persons and institutions like hedge funds, pension funds, banks and mutual funds, who acquire and sell shares.

The stock market, ultimately, is not the millions of share-price figures flashing across the display monitors of day traders.

The "folly of others" simply refers to the stock markets' strange capacity to drive up and shrink the values of companies – they undervalue and overvalue them.

You can earn from their folly by:

·         Purchasing shares in businesses when they are undervalued and;
·         Selling them when they reach their full value and
·         Keep away from the stock market when and if they are overvalued.

·         This is entirely in contrast to the gamblers mentality of attempting to buy in bear markets and attempting to sell in bull markets.

Eurozone recovery fades as growth stalls

Europe’s revival from 18 months of recession caught up in the third quarter as exports slowed and the region’s second-biggest economy turnaround.

Over the preceding quarter the 17-nation eurozone’s initial estimate of GDP demonstrated growth of just 0.1%, when the economy grew by 0.3% subsequent to the contracting for six successive quarters through the depths of the region’s debt crisis.

Analysts were foreseeing growth would deliberate as one-off factors like a seasonal bounce back in German construction dull, but the regional figures were getting frailer compare to some had expected. Germany’s rate of growth more than halved to 0.3%, while the French economy shrank by 0.1%.

The numbers verifies doubts that the eurozone is currently under pressure to generate any actual momentum, as record levels of unemployment, weak investment, tight credit conditions and government austerity are weighing on demand.

In September, industrial production and retail sales both drop, and price rises plunged to 0.7%. That encouraged the European Central Bank to slash interest rates to a fresh record low preceding week in an attempt to stop the region falling into deflation and stagnation.

And ECB President Mario Draghi said the bank was ready to take further measures, including another rate cut, if the move fails to have the desired effect.

Unemployment won’t start falling until 2015 at the earliest, according to recent EU forecasts. The European Commission has trimmed its estimate of GDP growth next year to 1.1%, and said it was too early to declare an end to the region’s crisis.

Domestic demand in the eurozone is still very weak with 19 million out of work and wages hardly rising.

“While there’s not much difference between the second and third quarter GDP figures, the deceleration is, psychologically speaking, a major setback for the eurozone,” said Nicholas Spiro, managing director of Spiro Sovereign Strategy.

German domestic demand was accountable for most of the thin growth, with a recovery in exports from countries like Spain and Portugal also helping.

Italy’s economy had a constant decline, while by much less than in prior quarters, but France was weaker compared to what was anticipated.

In the previous week, ratings agency S&P downgraded France on fears the government will be not capable to reinstate the economy’s competitiveness, and the Organization for Economic Cooperation and Development weighed in Thursday, influencing the country to be more determined with its reforms.

It emphasized reasonably high tax rates, insufficient research and development, strict product market regulation and barriers to competition in business services.

The uncertain temperament of the eurozone recovery compares strongly with speedy growth and a surge in confidence in the U.K., where the topic is now concerning when the Bank of England will move to constrict monetary policy.

The central bank raised its growth forecasts on Wednesday and said it expected unemployment to fall much faster than expected just a few months back. Governor Mark Carney said he would be prepared to raise interest rates before May 2015 if it was the right decision for the economy.

What Is A Share?

A share essentially means a part ownership of a business registered on the stock market.

An individual who owns shares is called a shareholder. Stocks and shares do not merely refer to numbers on a stock monitor screen.

Share prices correspond to the present price for a company's stock.

You may ask: What about the value of the business? Is the share price an accurate measure of the worth of the business?

The whole idea I would like to focus on is this:

If a share means part-ownership of a business, then as a shareholder, one needs to analyze a certain company for investment as if one were going to acquire the entire business.

This applies even if a share refers to partial ownership of a company.

Obviously, we cannot do partial evaluation of a company corresponding to that fractional stake in a business.

The public's awareness about shares

For many years, people have voiced out their opinion to me in diverse manners about the stock market being nothing but a huge casino and that shares and stock are practically poker chips to be purchased and traded for the delightful experience.

An educated, smart investor will view things in another way.

Quantitative analysis means evaluating a business, its cash flow, its liabilities, its debts, how it generates money and many more.

The purpose is to ascertain that:

You do not gamble your money away but make an informed decision about your investments
You do not lose, or, as much as possible, you reduce the danger of losing your money.
This may appear like very difficult work.
If so, gambling is much easier.

Why a company issues shares by Deep Blue Publications Group LLC

They issue a slice, not all, but a piece of their company to be apportioned into tiny bits we refer to as shares.

In exchange, company gets paid by investors who acquire the shares through a stock exchange.

Companies who issue shares have the obligation to shell out dividends to their shareholders, as cash amounts drawn from the earnings of the company.

Not every company pays a dividend and some usually do not, particularly if they encounter rough financial weather or plan to withhold money from shareholders to plow back into building up or maintaining the business.

Shares can be purchased and sold by investors any time during the trading hours of the stock exchange on which the shares are listed, often online through a stockbroker's website.

Share prices and what they represent to value investors

As an example, if a share price is quoted today at £2.20 per share but by using quantitative analysis you figured that the business was valued at £4.00 per share, then you have found an undervalued business.

For value investors, therefore, stock market quotes and share prices provides an occasion for a person to weigh price against value. That is, the current price of the share versus the current value of the business.

However, it is more often the case that this kind of an assessment through meticulous quantitative analysis leads to the discovery of a fairly valued or overvalued stock.

Occasionally, an investor will discover an undervalued company in relation to the share price.

As such, a share is a chance to buy a stake in a business that is undervalued.


U.S. consumer confidence at six-year high, Europeans also more upbeat – survey

A global survey showed that consumer confidence in the United States reached a six-year high in the third quarter, as prospects for jobs and personal finances improved, and also rose sharply in Europe.

In a quarterly survey by global information and insights company Nielsen, Americans were among the majority optimistic consumers, this reflects rising confidence that the world’s leading economy is a on a continuous growth path. U.S. stockmarkets have lifted record highs, generating a wealth result that has also made consumers more enthusiastic to spend.

Released Wednesday last week, the survey was taken before a 16-day partial government shutdown early this month which economists expect will hurt U.S. economic growth in the fourth quarter.

“In the United States, the labor market is slowly healing, and low interest rates are helping the housing market come back and bringing up the stock market, which is perhaps especially beneficial to higher-income consumers with more assets,” said Venkatesh Bala, chief economist at The Cambridge Group, a part of Nielsen.

“It’s still going to be a slow climb – we’re not going to see huge growth rates – but this improvement is recurring and it is sustainable.”

Indonesia continued to be the most bullish consumer market worldwide, next are the Philippines and India, as in the preceding quarter, but confidence levels in all three up-and-coming markets hollowed. It also dipped in Brazil.

From the previous three months at 94, up 2 points from the same period a year earlier, the Nielsen Global Consumer Confidence Index was unchanged in the third quarter. A reading below 100, yet, signals still comparatively low consumer morale.

Portugal saw the biggest leap in consumer confidence worldwide in the third quarter, by a hefty 22 points, while Ukraine saw the biggest drop, by 13 points.

Portugal’s bounce back led a pick-up in consumer attitude in peripheral euro zone countries that have been wrestling with tough soberness measures as they required cutting heavy debt levels.

While the recovery is encouraging and tied with other latest economic data signifying the euro zone economy has curved the corner, Portugal, Italy, Greece, and also as France, were still among the most miserable consumer markets globally.

“In Europe, we’ve seen a change in mindset as policymakers have moved away from austerity measures and toward growth policies,” said Bala.

“While recovery is still uneven, many consumers – especially in countries such as Germany and the United Kingdom – are feeling that the worst is behind them, and their confidence is improving as they sense growth returning.”

Non-euro zone member Hungary was the one thinking the most negative market globally even though it illustrated a development from the third quarter.

Non-euro zone member Hungary was the one thinking the most negative market globally even though it illustrated a development from the third quarter.


Build knowledge Build confidence Build wealth

Like everyone else, you probably also would like to make more money – which is totally alright. We all know that there is no such thing as a free lunch and that building wealth requires a lot of perseverance and diligent work.

You might have already taken a look at some stock market systems or subscribed to highly-reputed tip sheets and realized they just don't cut it. There are many scammers out there, whether online or offline -- who will give worthless advice to individual investors. This is merely one of many reasons I do not give advice – just my own personal insight founded on statistical analysis and conservative intrinsic assessment.

At Deep Blue Publications Group LLC, we show you how we are creating wealth for the long-term, a single day at a time, by following simple stock market investing principles. If you already have an operating portfolio, we do hope that our track record – gains as well as losses – can aid you attain your goals.

If you have not invested in the stock market investing but just now planning on doing so, you can see what it is all about, what you can derive from it and find out what it takes to make proper decisions on your own without risking any money: follow Deep Blue Publications Group LLC without having to constantly check for updates as you will be notified by email whenever new content is uploaded.


Bookkeeping Tips for Business Owners

Plan for major expenses. You will probably overlook business opportunities or have to mix up for a loan when the expenses become inescapable.

A year in advance or, preferably, three to five years ahead, put events like a major computer upgrade on the calendar. Admit the cyclic ups and downs, something many entrepreneurs are unwilling to do.

“This helps you to be honest about the fact that it’s coming and plan for it,” says James LeMay, a director with the accounting firm Daigle & Associates in Boston.

Track expenses. You or else could fail to spot some tax write-offs and might lose out on others.

A credit card that you use solely for business can be a basic accounting system, says Raffaele Mari, an accountant in Newport Beach, Calif., who teaches a financial course for entrepreneurs at Pepperdine University.

For you to be able to see which outlays relate to which business activities, most card statements categorize expenses. If you always use your business credit card for business expenses you’re less likely to pay cash.

Additionally, Mari says, routinely jot down business trips, lunches, coffee dates and other events with cash outlays in your electronic or paper day planner. This habit can go a long way toward substantiating those items for your tax records in the event of an audit.

“Often on tax returns, those numbers are too round. No one drives exactly 5,000 miles for business in a year, so the IRS knows this is an estimate,” Mari says. “In an audit, if you can’t substantiate those numbers, the whole category [of write-offs] can get thrown out.”

That data, along with a day planner recording the trip, are usually enough record keeping to satisfy the IRS, Mari says.

Record deposits correctly. You may be less likely to pay taxes on money that isn’t income.

Implement a system for keeping your financial activities straight. Business owners normally make a diversity of deposits into their bank account through the year, counting loans, revenue from sales and cash infusions from their personal savings. The trouble, Mari says, is that at the end of the year, you or your bookkeeper might erroneously record some deposits as income, and consequently pay taxes on more money than you’ve actually made.

Set aside money for paying taxes. The IRS can charge penalties and interest for not filing quarterly tax returns on time.

Thoroughly put part of money aside throughout the year for taxes. Next, note tax deadlines on your calendar, together with prep time if you need it, to be certain you in fact make payments when they’re due.

Payroll taxes that go unpaid can be especially problematic, Mari says. He often sees cash-crunched entrepreneurs get through a down cycle by dipping into employee withholdings that they should have sent to the IRS.

Keep a close eye on your invoices. Late and unpaid bills harm your cash flow.

Hand over someone in your organizations to monitor your billing. After this, put a process in place for issuing a second invoice, making a phone call and perhaps charging penalties like extra fees at definite deadlines.

“You want to have a plan for what happens if they’re 30, 60 or 90 days late,” Mari says.
Some entrepreneurs believe that once they’ve sent out an invoice, they’ve taken care of billing. Not so, Mari says. “Every late payment is an interest-free loan and hurts your cash flow.”


5 Useful Accounting Tips for Small Businesses

You have to make sure you stay focused on accounting when running a small business. Your company will tumble down before it succeeds, if you don’t manage debt, receivables, and marketing expenses accurately.

You can keep your company by putting into practice trouble-free bookkeeping approach.

Weigh the options very carefully of bookkeeper against DIY accounting. Despite the fact that entrepreneurs could feel ready to act as head of accounting, sales, and marketing at the same time to cut costs, it may help to hire a bookkeeper. It can assist you on knowing someone with experience and has the best understanding is working on your books. To begin, you can employ someone part time or maybe as a freelancer, therefore you are not paying a full time wage for these services. As an option, the U.S. Small Business Administration offers assistance with managing expenses on your own, while free accounting software from lets you crunch the numbers on your own.

Continue accounts receivable payments apart from borrowed funds. Small business owners need financial backing and/or loans for startup capital, marketing campaigns, and other initial things in the early on first days. To be certain the loans won’t appear in the receivables, make use of the software that separates income from borrowed funds. Don’t mislay sight of what is yours and what needs paying back.

Remember not to permit clients to leave with not paying balances. Observing a large amount in the receivables column is a good thing, nevertheless the money doesn’t really add up until it is in your bank account. Don’t let clients keep away from regular payments. Stand firm and not take no for an answer if you receive payment for past orders before letting them have more materials or services. The receivables department is very important in maintaining your company buoyant.

So you can budget for the coming weeks, specify daily expenses. It’s a good idea for business owners to carry records of everyday expenses they gain in the company. As an alternative of calculating expenses every two weeks for payroll purposes, center on every day or every week. This can lend a hand so you have a better idea of where finances are each week and how much money you’ll need to budget for in the upcoming weeks.

Calculate a minimum monthly profit. When planning how much it takes to maintain a small business operating, the numbers can get complicated. Plan a precise system of expenses and regular obligations so you know accurately the minimum income you require every month. Because income can be the easiest to calculate, make an austere target you’ll need to earn. Without that exactness, accounting becomes confusing and your business can be at risk.


Rabobank fined $1bn over Libor

According to Dutch bank Rabobank, it has agreed to pay fines of 774m euros ($1bn; £662m) imposed by US, UK and Dutch regulators over the Libor interest rate-fixing scandal.

The bank added that its chief executive, Piet Moerland, had stepped down.

To set trillions of dollars of financial contracts, Libor rates are used.

These comprise many car loans and mortgages, and this also includes complex financial transactions around the whole world.

From the time of the year 2012 in the wake of Barclays’ £290m ($454m) fine by US and UK authorities, regulators have been investigating the exploitation of Libor inter-bank lending rates.

A thread of international banks has been concerned in the matter, while more than a few criminal charges have been conveyed in opposition to traders.

Tracey McDermott Director of enforcement and financial crime, FCA said “Traders and submitters treated Libor submissions as a possible method to make money, with no look upon for the truthfulness of the market.”

‘Extremely disappointing’

The UK’s Financial Conduct Authority (FCA) said it had fined Rabobank £105m for “serious, prolonged and widespread misconduct relating to Libor”.

The £105m fine is the third-highest on record by the FCA or its predecessor, the Financial Services Authority (FSA).

The FCA said the bank’s “poor internal controls” encouraged collusion between its traders and Libor submitters and attempts at benchmark manipulation.

Rabobank did not fully address these failings until August 2012, despite assuring the regulator in March 2011 that “suitable arrangements” were in place, the FCA said.

Tracey McDermott, director of enforcement and financial crime at the FCA, said: “Traders and submitters treated Libor submissions as a potential way to make money, with no regard for the integrity of the market. This is unacceptable.”

Ms McDermott added: “Rabobank’s flawed assurances and failure to get a grip on what was going on in its business were extremely disappointing.”

Royal Bank of Scotland (RBS) was fined £390m by UK and US regulators for its involvement in the Libor scandal in February 2013.

At the time, the FSA fined RBS £87.5m, at the same time as about £300m was paid to US regulators and the US Department of Justice.

UK broker ICAP was fined $87m for its part in the rate-fixing scandal last month.

Three of its former traders were charged in New York with several counts of wire fraud as well.