Hedging Options

Many fear student loans and related debt problems associated with University education costs and cause the provision of the learning process to be unfeasible. The ever-increasing education costs and therefore related debt problems have impelled (especially poorer people), such as international students, to reconsider their career aspirations and educational intentions in the pursuance of higher education from a University in the UK. Problems Related to Student DebtIn the UK, you hear all the time, news and information on increasing student debt. The main difference is in the reported numbers of students attending. These statistics regarding the students’ loans and debt problems tend to increase with each news feature. Rather than the students’ investment in their careers, higher education inflates student debt numbers and is now being treated more like a typical debt problem. Student Debt Increases:The increasing student debt statistics poses a serious question on the operational efficacy of the UK higher education sector and support machinery. In the same context, students have also reported matters with information transparency and the implicit complexities that can worsen students’ debt miseries further. The Implications of Student Debt:

Is the Student Debt Relief Enough?A prospective student’s outlook on education and the related debt problems, also leads to doubt on the efficiency and functioning standards of student debt relief and support systems. If the student debt support system is efficient, the implications may not be severe. Student Loan Debt Relief (Debt Consolidation is not the only Solution)Student debt in UK is at an all time high. These debt issues have resulted in different solutions to the student debt problem that can be immediately met. This is possible, only by collaborative efforts by all involved. Funding agencies for example, can review the existing systems and provide subsidiaries to counter the student debt problem. Institutes can also attempt to increase the awareness to students and provide student loan debt relief. However, in the meantime, before the more substantial steps to curb the student debt menace are implemented, students need to exercise patience and deal with debt problems at their respective levels.Find Student Loan and Debt Consolidation Articles by Mike Kelleyhttp://www.1st-debtconsolidation.co.uk

A) Current Status

Over the last one year the residential property in National Capital Region (NCR) has seen it all. While prices in Gurgaon-Manesar area saw an 8-10% fall, in Rohini and Kundli there was a 30-35% jump. Prices in major upcoming locations in and around Delhi, such as Dwarka, Faidabad and Noida continue to grow at a steady pace of about 10-15%.

Gurgaon

Between the years 2002 and 2005, prices in this area had seen a 10 fold jump. But in 2006 has seen residential prices coming down from INR 3,500 – 3,600 per sq ft to INR 3,200-3,300.

Dwarka

Towards the middle of 2005, due to completion of the flyover project and metro connectivity the prices saw a sudden 40-50% jump. The current prices are close to INR 3,500 per sq ft.

Noida

Prices in Noida sectors bordering Delhi are about INR 4,100 per sq ft. against INR 3,700 almost a year back.

Faridabad

In Delhi bordering areas, such as Surajkund, prices has gone up to about INR 2,500 per sq ft from INR 1,800-1,900 in the last one year.

Kundli

Kundli area, on the northern borders of Delhi, which was just about INR 1,200-1300 per square ft in Jan 2006, has grown by 40-50%.

B) Economic indicators

IMF latest report on India with gross domestic product (GDP) continuing to grow above trend, increase in international oil prices not yet fully passed through, credit and asset prices buoyant, and monetary conditions accommodative, the risk of over heating cannot be ruled out.

However, IMF has revised its 2006-2007 growth target for India to 8.9%.

“India Strategy” report by ABN AMRO Indian economic growth is being driven by a combination of structural changes and cyclical upswing. Cyclical risks may impinge on short term growth and could affect short-term growth and profitability but the structural story remains intact. Of these risks, the rise in interest rates seems to be the most critical. Rising inflation is the other key cyclical risk. While the current bout of inflation was initially driven by conventional supply-side factors, the contribution of demand factors has increased.

Other risks include –

1) The possibility of correction in US growth – Moderation in US growth will take a toll on Indian exports. The degree of association between Indian exports and US growth has increased over the years and is fairly significant. A slowdown in exports is bound to hurt overall growth.

2) Rupee appreciation – The Indian rupee should continue to receive support from Robust capital inflows in 2007. Subdued oil prices relative to 2006 should help bring down the current account deficit and reduce the downward pressure on the rupee.

While structural changes is improving fiscal situation, demographic change is manifesting in consumption growth and improvement in productivity. Infrastructure spending is the key growth driver.

C) Other relevant indicators

Entry of hedge funds

Hedge funds are aggressive investment vehicles of the wealthy international investors, known for their complex and high-risk trading strategies. They are buying financial instruments that Indian property developers have sold to raise money from overseas markets. And by doing this, they are indirectly controlling a slice of the country’s fiercely growing property market. No one knows how big the slice is, but bankers say close to 50 hedge funds are active in Indian realty papers in the overseas money market. These deals are happening outside the radar of Indian regulators, in offshore tax havens like Mauritius

It’s not a one-to-one deal; Indian developers don’t sell securities to the hedge funds. They issue shares and hybrid instruments like optionally convertible debentures and preference shares to global real estate funds owned by big banks and Wall Street bond houses. The money that flows in to India is foreign direct investment (FDI), allowed under the automatic route.

Realty transparency index for India

Real estate consultants Jones Lang LaSalle is working towards launching an India-specific transparency index by 2008. The index, first of its kind from JLL stable globally, will offer prospective investors and clients a scientific measure of the non-price factors influencing the country’s real estate market.

Both foreign and outstation players are keeping a hawk’s eye on India properties, primarily because of the labour cost, access to labour and real-estate cost.

Unabated rise in home loan rates

During the last two – and – a – half years alone, (floating) rates have increased from 7.5% to 11.75%, forcing the EMI for 20 year loan to go up by around 35%. With interest rates gradually crawling higher, players are worried that demand for property could be hit. Fears that property prices could be headed for a meaningful correction seem to be prompting investors in stocks of real estate companies to jump ship. Most realty stocks, which until a couple of months ago were being chased by enthusiastic investors, have shed 10-25% over the past one month.

Over the past three years, the housing sector has witnessed a CAGR of 60% to 65% on factors like easy lending rates and accumulated land bank (land purchased at low prices prior to the real estate boom). Hike in lending rates and peaking real estate prices could force the sector towards a slowdown.

The rising interest rate scenario coupled with the rising property prices will affect the off take; however, the impact is not likely to be significant. Merrill Lynch has forecasted that the Indian realty sector will grow 7.5 times from 2005 to 2015.

To read more about the happenings in the world of real estate visit http://www.indiapropertyauction.com

Regards

Lalsa

A short story by Lynn Ann Lobo

WEB OF TREACHERY

Like a seaman searching for land, Seth McKenzie an adherent gambler searched for means by which he could ante up his debts. It was an affable day. The emerald leaves gleamed brilliantly against the clear cloudless blue sky making the influx of spring apparent. He squinted against the glare as the bright sun shone on his face. His recent endeavors had eclipsed the advent of this congenial season and suddenly the qualms of his deeds had taken precedence above the pleasant spring. Seth McKenzie had staked his earnings and belongings and was now totally insolvent plus he had borrowed huge sums of money from the gambling den goons and had to repay them as well. The fear of facing their wrath loomed large in front of him and in order to obtain an immediate solution, anguished, he scurried off across to the lodge that was situated in proximity to the river banks. Seth McKenzie was relatively aware of the response he was on the brink of receiving, but the nature of the circumstances left him no other alternative.

A certain Mr. Travis Adams was in deep slumber when a sudden persistent knocking awoke him from his deep snooze. Uncertain of whom this unexpected visitor was, he hazily walked down the old cottage stairway towards the door only to find his friend Seth agitated and distraught.  Although they were roughly the same age, Seth McKenzie’s pleasant face wore the look of a man weighed with quandary. His burly, balding and aging features faded in contrast to Travis Adams lean, slender and sound posture. Although at first glance Travis came across as a polished and distinguished man, his means and methods of earning the big bucks said otherwise. After carefully listening to Seth’s dilemma, Travis could think of just one immediate solution and suggested it to Seth. “Steal why don’t cha!  Gamble your way out of this mate, a little fleece won’t does nobody no harm aye… it’s like a little white lie” he said with a speck of greed and selfish drive in his expression. Although an insurance agent for the town residents, Travis could not find the money to fund his needs and luxuries therefore bearing his own self-seeking benefits in mind he suggested the gambler to gamble his way out via conning an average townsman.

The ice cubes in the whisky laden glasses rattled as Travis and Seth engaged in a taut colloquy. Seth McKenzie could sense his heart pulsate as the conversation intensified further. The azure sky swiftly transformed into shades of auburn and ginger at the crack of dusk. The strategy was set, Miss Brie-Ann Jones, a wealthy middle aged local and Travis’s client by far seemed to be an apt target. She had no immediate family and had made out an insurance policy to a far off relative. The lady was recognized as an introvert who barely mingled much with the rest of the townsmen. Her cottage stood bleakly on the corner of the lane. Although a loner, she stepped out just once a week on Sunday evenings to pay visit to the local church after which she lingered around to engage in a little game of housie. Miss Jones would return relatively not a minute before 9 pm.  Her fancy ornaments were gossiped more about than her curious persona.   It was clear now; Seth McKenzie would break in after the church bell chimed at 7 pm on Sunday. Since most of the people would be attending the service, the streets were bound to be desolate.

Sporting a shady, black attire so as to blend with the dark surrounding and go unnoticed prowling around, Seth McKenzie anxiously sneaked into Miss Jones’s cottage equipped with the appropriate tools. The back gate creaked open as Seth McKenzie made his way into the backyard. A cold chill ran down his spine as he camouflaged his way in the dark. The old cottage was uncomplicated to break into. The curtains swaying in the light breeze added to his already quivering frame. The shadows from the tress added to the eerie tone of the dark house. The mistiness spooked him.  He tried to keep his attention focused on his task. He started upstairs with the bedroom.  Surrounded by oak cabinets with a single bed in the centre and a huge dresser, Miss Jones’s bedroom was an uncluttered sanctuary.  On the dresser stood no pictures of family or friends making her solitary life evident. With the silver moon imparting adequate light through the dark clouds, Seth began rummaging through all her possessions. He moved guardedly around the room ensuring he left no part unchecked. A nondescript box at the bottom of the dresser drawer caught his attention. On opening the box to his delight he stumbled on expensive ornaments and quite a handful of cash neatly stacked. He found quite a haul but was skeptical the loot would pass muster. He then decided to proceed downstairs to check for valuable objects that could be sold for a reasonably profitable price. The kitchen seemed like an appropriate target as it could probably hold pricey crockery and china.

As light footed as possible, Seth McKenzie discreetly made his way to the kitchen creeping on his tip-toes. His conscience triggered off a bizarre whirling sensation in his abdomen. But Seth was obstinate regarding his task. This was no time to let the generic credo of moral code to avert his focus. “It’s like a little white lie”, Travis Adam’s words kept recurring and echoing in his head. Eschewing the distracting thoughts, Seth McKenzie decided to continue. The kitchen had a snug air to it. Its timber flooring, antique cabinets and jade plants gave it a pseudo- sylvan tenor. Expeditiously he started opening all the cabinets and drawers and began cramming up the valuable cutlery into his rucksack.  An inexplicable, vague stench filled his nostrils and for a split second distracted him and stopped him in his tracks. Seth decided to ignore the woozy reek and continued on with the hauling.  His anxiety was swapped over with feelings of exhilaration and avarice. The thought of having filched loot that he could pawn off later for a relatively satisfactory sum of money made the immoral, malicious characteristic in him take control.

A sudden electronic, robotic voice alarmed Seth right when he was done filling up his haversack. “It is 20:30 hrs, it is 20:30 hrs” monotonously chimed the kitchen clock. He breathed a sigh of relief after his heart skipped what seemed like a hundred heart beats and knowing that the loot would suffice, Seth decided to make a quick getaway. The resonant hunger pangs struck a chord and reminded him about a trip to the grocers. “The grocery store would have shut down by the time I got out of here, I can’t been seen prancing the streets buying groceries with a satchel full of loot in hand”  thought Seth. “I might as well just pick a leg of lamb or meat from the freezer, I’ve pilfered enough already, what loss could a little missing meat do the lady” mumbled Seth. As he moved towards the freezer the quaint reek in the air got stronger. The moment he lifted open the freezer door, a cold puff of air and unpleasant odor clouded his face and distorted his vision. When the fog settled and Seth McKenzie regained his sight and composure his body went numb with the shock of what lay in front of him.  He stood benumbed, stunned, with his jaw dropped wide open, his heart throbbing faster than ever. In the freezer lay the corpse of Miss Brie-Ann Jones. Seth McKenzie was so intensely jolted by disbelief he couldn’t feel his body. After the ‘bolt from the blue’ had sunk in, he took a closer look at the body. It was Miss Jones alright. The petite framed lady, with a pale tone to her skin and russet colored curls now lay lifeless in her own freezer.  “how..h-h-h-ow… whe-when and who could have, but I was here all the while… She left for the service….”  Seth’s mind was congested with a great deal of questions when suddenly he noticed certain plum colored marks around her neck. It was clear Brie-Ann Jones had fallen prey to cold-blooded murder. “But who could have committed this gruesome crime, and when” questioned Seth. When he realized he had no time for questions and answers, “Run Seth, run” he thought to himself, “The cops are not an option, your presence in this house will not only be questioned but you will become one their prime suspects, perhaps they will just incriminate you for the felony, flee away from the house before you get apprehended for murdering the lady”.

As Seth pulled himself together and headed towards the main door, he heard the sound of a key turning the lock. He wanted to run but it was too late, the intruder had opened the door and snapped the lights on. If Seth McKenzie thought stumbling on Miss Brie-Ann’s carcass was all the turmoil he could have for one evening, the subsequent minutes would most certainly avow otherwise. Standing in front of him at the main door, with an equally traumatized expression, in flesh and blood was Miss Brie-Ann Jones herself. Their eyes were transfixed on each other. For a minute Seth felt like he was having an ‘out of body’ experience. It was as though his life had derailed out of control in a jiffy. Before Seth could absorb the situation and comprehend what was happening, Miss Brie-Ann grabbed hold of the coat rack and took a swing at Seth McKenzie’s head, knocking him unconscious.

When Seth McKenzie regained consciousness 15 minutes after being knocked on the head, at first all he could see was a hazy blur. The preceding events were a faint reminiscence and as he began summoning his thoughts, he recouped his trail of thoughts and actions. The soreness of the blow on his head stung him. He glanced up and saw Miss Brie-Ann standing, trembling in front of him. Just when he decided to plead guilty to her only for robbing her possessions, he saw the cops’ squad entering the cottage. The next thing he knew he was being handcuffed by inspector J.D Morgan and was dragged out of the cottage by the cops. Dazed and shattered by the trauma and hysteria of the recent events, he began to shriek “I did not kill her… Brie-Ann, I did not murder her, I’m innocent inspector I didn’t do it”. On hearing this, inspector Morgan replied “yes, we know you did not kill her, you are being charged with theft”. “But I, I…” began explaining Seth but was interrupted by inspector Morgan, “you robbed her house here Mr. and that sir is a crime you are going to have to pay for” said the inspector in his callous tone. As Miss Brie-Ann stood speaking to one of the sub-inspectors, submitting her report and ensuring that all the missing objects were found in Seth’s satchel, Seth McKenzie stared at her in utter fright and distress. Devastated, he looked as though someone or something seized the living day lights out of him. Seth McKenzie began questioning his sanity. Could he be mistaken? Was he so delirious that he hallucinated the corpse of someone who was actually alive? Or did Miss Brie-Ann bizarrely spring out of the dead only to stand in front of him and have him question his senses. Seth McKenzie felt nauseous, the conspiracy and controversy of the evening made him feel like a helpless insect caught in a web of treachery. He thought it best to leave all this behind and focus on getting out of the current pickle he was in. As the police car veered away, Miss Brie-Ann silently pushed her front door shut.

On a certain spring evening, somewhere towards the dinner hour Miss Brie-Ann sat tranquilly at her mirror undergoing the process of having her hair built up into an elaborate reflection of the prevailing fashion. She was hedged round with a great peace, the peace of one who has attained a desired end with much effort and perseverance.

Brie-Ann Jones hummed as she waltzed her way down the stairs into the kitchen. With a sly smile on her face and vile glint in her eyes she headed towards the freezer. On opening the freezer door she bitterly stared at the corpse sleeping blue in the freezer. As the cool breeze blew down the streets of the lane, somewhere in an old cottage a felony was committed and had gone unnoticed. The criminal lurked in the cottage and tossed around here and there gathering means to veil its crime. A corpse was being dragged into the backyard in a gunny bag. A six feet deep, well dug hole lay open in the backyard. Miss Brie-Ann’s body was now being shunned into the grave dug for her.  At the top of the grave stood a devious and shrewd cold blooded murderer looking down at the corpse. The murderer was none another than Miss Brie-Ann’s mentally challenged twin brother, Bryan Jones. With barely a speck of difference between their appearances, evil clone stood smiling down at his sister’s corpse with a nasty look of wickedness in his eyes. “I hope you are enjoying being dead dear sister, hahahahahahahahaaha…”smirked Bryan Jones with an unpleasant tone to his voice.” “All my life, I’ve had you steal the limelight from me, mentally challenged they called me, the weaker of the two, whose the weak one now ha… answer me” barked Bryan Jones with a great deal of fury in his voice. “They sent me away, to the asylum, said I was in dire need of medical help, while you sat home with mommy and daddy being the valued child; from attention and love right to our family riches, it was all bestowed on dear Brie-Ann” said Bryan arrogantly. “You thought I had returned to make peace and turn a new leaf, to acquire financial aid from you, little did you know my intentions. You fool; I broke out of the asylum, somewhere in the countryside they’re looking for a “run-away” psychotic, hahahahahahahahaa, now Bryan Joneses identity will be concealed under the façade of his late sister forever. Now with you, I bury my secret. We shall both rest in peace… you six feet under and me, in this house that belongs to me and me alone. I’ll steal your home, your life, your identity”.

Bryan Jones climbed up the stairway to the bathroom and took off his russet colored curly haired wig, washed the make-up off his face and changed into his robe and headed towards the bed. The evil, psychologically challenged, conniving twin lay on the bed laughing malevolently at the web of treachery he weaved for Brie-Ann and from now on the townsmen. As he closed his eyes to enjoy a little siesta, he recollected the images of how he strangled her to death with the aid of a simple rope. How she struggled during her last hours, how that prospect put off the fervent inferno of vengeance aflame in him for years. “When her body has decayed, I shall leave this town and relocate to a distant town elsewhere and till that day comes, I shall continue to wear Brie-Ann’s masquerade at day and continue to be myself at night.” schemed Bryan. “May your soul rest in peace sister, hahahaha” he viciously chuckled. Tranquilly, he looked out the bedroom window staring at the night sky and the full moon shining bright behind the tress. Somewhere in a local prison trapped in a concrete cell, a remorseful and humiliated Seth McKenzie stared at the silver moon through the prison cell opening waiting in anticipation of a new dawn and a better tomorrow.

Of course the steps are many and will rely upon your individual circumstances. However, one of the key benefits of a well-laid out fiscal plan that is implemented and monitored is that it will often allow you to reach independence earlier than if you had not designed a plan of action.Financial independence can imply different things for different folks but for many it means the facility to cease regular employment. Wealth management resources, astutely deployed, can help you to have enough assets and retirement revenue to maintain a certain approach to life for the rest of your life and supply for your beneficiaries after death.Everyone has different goals and objectives, and everyone has different financial conditions and circumstances. According to medical research, we all make calls in the emotional part of our brains, and benefit from the rational side of our brains to justify them. This severely limits our ability to make logical investment choices. But what sort of wealth management resources would have helped in this finance meltdown? One analogy that is making rounds lately, is that when a fire is raging your first priority must be to put it out! There will positively is water damage subsequently but perhaps you will have time to rectify that.The question we need to look at is how we’re going to employ our wealth management resources in this age of high taxes, to deal with our finances in this environment. Incorporation offshore is an absolutely doable action that you can take.In the meantime the headlong drive to reduce interest rates has little effect simply because, although money is inexpensive, the banks are disinclined to lend. And as monetary results are released by companies, banks will find that their balance sheets do not warrant further credit risks!Most of us buy and keep private assets – not trade them regularly. If it is real estate or stock & stocks in our own companies, or jewelry. The real cost of these assets in several cases is far greater than their monetary price. So you do not really know the value of what you have till you sell it. Of course, the more classy the fund manager appears to be, and the more complex the model. And it is harder for the client to tell what sort of returns the technique will produce. As a result of market turbulence over the last five years, the private client has noticed that a traditional core domestic equity/bond portfolio is incapable of delivering consistent returns in all market circumstances.Wealth management resources will of course ensure that the client isn’t invested in these funds only. Wealth management resources pros are concerned to deliver a suitable reply to the client and to demonstrate how performance volatility can be managed thru a wider set of market conditions.There are a selection of options readily available to support the investment open architecture models thru use of fund cars. Wealth management is a sophisticated sort of financial planning that benefits not only high net worth individuals and families, but also middle earnings ones.Due to their higher price accounts, banks create separate branches, services and other ‘benefits’ to keep or attract these high net worth customers who are usually more lucrative than other retail banking customers. But families recognize that when the concentration of information and experience resides with a patriarch or office executive, it can stop other family members from fully assuming responsibility for wealth management.Few resources have been available to help families meet the complex challenge of wealth management education. Now, thanks to the accessibly enabled by the internet, anyone can take financial matters into their hands.Wealth management resources are available simply – not only in the halls of expensive firms. For more wealth management strategies and resources visit.

The means of transportation have changed even beyond recognition. We can’t believe it took so many months for Vasco da Gama to reach India or Christopher Columbus to reach America. Now all we need is to buy airline tickets, hop in to the flights and see your destinations on the other side of the world in a day or two. The biggest delays are at the airports waiting for connecting flights. So much have changed about the way we travel and the way we see our world. Adventure seekers, business travellers, pleasure seekers, executives taking their annual holidays, etc now check out airline tickets prices even as they are at their worktables.

The demands of airline tickets go up and down with different seasons. When it is high time for travellers, airlines raise the prices. This goes on to hotels, restaurants, entry tickets to museums and dozens of other areas. However, savvy travellers do make best plans to milk the maximum out of airline tickets. Their strategies including making good use of connecting flights, booking tickets as early as possible, and taking advantage of cheap or free adventures and attractions available everywhere they go. In addition, they also make maximum use of airline miles, especially if they take frequent flights.

They also pick their destinations according to their tastes, budget and style. The calmness of Caribbean islands, the biodiversity of Ecuador, the abundance of antiquities in Egypt, city breaks in Las Vegas, relaxing experiences in Maldives – airline tickets really are ticket to anywhere you want to go and to experience whatever experience you seek. Take your dear one or family with you on your adventures. If you are single, you have wonderful travel options for you too.

Apart from airline tickets, other expenses include travel insurance. It is necessary that you get adequate coverage – wherever you go and whatever adventure you take. This can save big money, in case something goes wrong. However, no one really thinks about bad experiences when they pack bag and baggage. Keeping a hedge against anything bad is a great idea. Travelling is a big time to spend money – not only on airfare, hotels and transportation, but also on local culinary, souvenirs, wines and beer. When you take a flight for a weekend getaway or a year-end holiday, make sure you make the right decisions on everything from choice of destination to deals on airline tickets.

Although China Sourcing is a sure shot success in current times, but for it to be success there are certain norms that a company needs to follow. Top management is required to understand the broader view and only then make a sourcing strategy. Middle level management needs to make sure that the benefits of the low cost strategies outweigh the risks and inventory costs. With, this approach a company can safely invest into Chinese sourcing and make the most out of the low cost strategy and also the innovations Chinese products are bringing into the international trade.

China Sourcing is no more the domain of large corporations. Also, China sourcing isn’t just about sourcing cheap from China. However, on your own Sourcing from China can be really a daunting exercise unless you are at ease with it. It requires buyers to go out in the market and face challenges that can be unfamiliar.

It is interesting to see how trends in China sourcing changes; sourcing from China is a major booster for economy at large and for shipping and logistics companies and thus opening a whole new set of vistas. Still it is just another aspect of a retail business that’s going global.

Companies like Carrefour has China sourcing for a large range of their products with a 40% cut in expenditure as compared to buying those products from their respective countries. Products like chemicals, basic commodities, packaging, molding, casting, small machining and many other products or components are an important part of China Sourcing. Intelligent companies source only a fraction of their components where they can get the best results, while others are produced in the country. This can be done after a thorough market analysis. One such company is Ford Motors. It is very important to realize that it is not as easy to relocate all the sourcing strategies in a small period of time. In global sourcing, many companies have failed to meet the requirements due to lack of analysis and planning. This was because evaluating suppliers and managing supply chain operations turned out to be a little more complex then assumed.

A company can be convinced of the professionalism by a very attractive website and a very convincing sales proposition. But, the most difficult job is to find good suppliers. It is very difficult for many companies to convince the suppliers. But this is not the end of the struggle. Custom delays and lack of proper communication are also reasons for making sourcing a less appealing option. Language and culture factors are often neglected. A number of companies considered only the cost factor but did not pay heed to factors like communication gaps, language barrier and cultural barrier which later on turned out to be bigger threats than anticipated.

With boundaries shrinking rapidly and an increasing number of SMEs in India reaching out to emerging markets to increase their export base, it has become critical for them to pay attention to not only expanding their reach, but also managing the risks that accompany market expansion. One of the most important aspects that need attention is managing financial risks. Having a smart strategy to mitigate the risks involved during volatile currency movements will help the SME exporters.Sharp currency fluctuations have a considerable impact on the business of exporters, especially in the SME segment. Therefore, there is a greater need for small units to guard themselves against the risk of fluctuations in exchange rates.Covering currency fluctuation risks: A necessity SMEs venturing in the competitive export market also run the risk of being left exposed to the changes in exchange rates, which can adversely affect their bottom-lines. Therefore, it is important for SMEs to manage their foreign exchange risks efficiently and effectively.“Depreciation of the US dollar against rupee causes the export value realisations to drop down sharply, thereby leading to the erosion of the gross margins of exporters. Therefore, exporters should first determine their exposure to the foreign exchange risk and then undertake measures accordingly to deal with adverse fluctuations,” said OP Agarwal, chairman of AMBO Exports, a small-sized tea exporting unit in Kolkata.Experts recommend exporters to first assess the type of market they are trading in and then analyse if they can pass on currency losses to customers by raising their prices.“To arm themselves against the risk of exchange rate fluctuations, exporters need to evaluate their cash flow position, examine the degree of influence on their profitability during fluctuations in exchange rates and analyse all possibilities. While sealing a deal with an overseas client for delivery of their goods, exporters must negotiate the clauses and must keep the option of entering into a price variance with their customer based on exchange fluctuations,” said Vishnu Bang, senior analyst at FutureSafe, a securities firm in Hyderabad.With an effective and smart strategy in place, exporters can effectively manage currency fluctuations risks. The key is to ensure that all decisions involving payments, contractual terms, financial hedging and the use of derivatives are taken after assessing important factors. It is imperative for SME exporters to be armed with the right information to manage currency risks, both at strategic and transactional levels.For more detail on B2B log on to http://www.bizxchange.in/

Whatever the reason you begin to explore international expansion for your company, a weak US dollar, growth in emerging markets, or the desire to tap into global pools of talent and resources, it is crucial that the decisions you make in the early stages of international business development are made from a fully informed position.  Knowing how to prioritize potential markets and grow sales in a new country can be critical for the realization of your business goals.  A focused international growth strategy is a must, and if you don’t have a good grasp of the issues, then it is imperative that you acquire professional and qualified assistance.  This strategy is a multifaceted process, each step, while seemingly complex, can be accomplished when broken down and understood as detailed below. 

The first step is to conduct market surveys or market research.  This will include a geographic survey to determine potential locations best suited to your particular business.  Market surveys will help to identify macroeconomic trends, import and export trends, social and business factors as they relate to your goals, and competitive benchmarking.  The end goal being to select a short list of target countries for international growth or expansion.  Once a target country/city is selected through a geographic survey, the next step is to conduct a detailed local dynamics survey.  A detailed local dynamics survey in the targeted country/city is used to specifically determine the local business dynamics as related to customers, competitors, suppliers and product/service attributes.  

Secondly, you will need to build local infrastructure, in the form of a local presence, for the targeted region/city.  Options for local infrastructure vary and can include a virtual office, a physical office, acquisitions, joint ventures, franchising, licensing or finding local distributors/resellers.  The local infrastructure option chosen should depend on the amount of control the company would like to have in foreign operations, the company’s understanding of the foreign market, investment budget, growth goals and the successes/failures of competing firms entering the market.  

Finally, you need to establish a comprehensive local sales and marketing campaign.  This campaign can be achieved through direct marketing, media buys, sponsorships, trade shows, a sales force, working with local agencies and devising a locally appropriate go-to market/distribution strategy.

Few companies have the capabilities of working through this process efficiently in a new country without the experience and expertise of a partner firm that understands the differences in local options and opportunities.  The ideal solution to international growth and business development is to seek out a team who, for many years, has facilitated international expansion for countless clients.   PanXpan is one such company.  This professional partner can help you take a disciplined approach to expanding abroad.  PanXpan is headquartered in Los Angeles, USA and works with partners in the United Arab Emirates, Pakistan, India, Hong Kong/China, Singapore and Malaysia.  When you enlist the services of a highly qualified market expansion company, you can be assured of international growth success.

Yale Resources Takes a Rock Solid Approach in Mexico

Packard Richardson

The management team of Yale Resources Ltd. (TSXV: YLL) has a sound strategy that continues to place them in attractive positions. The team focuses on countries whose governments are mining friendly. They consider existing infrastructure or feasibility of bringing in infrastructure at new sites. One of their key strategies, however, is to explore areas near producing or past producing mines. Many companies have had much success with this strategy (a prime example is Inco’s 777 mine in Manitoba). To this end, Yale’s properties in Mexico have already begun to turn up exquisite results.

For example, Yale’s Carol property 20 km north of Alamos, Mexico is well positioned to take advantage of significant finds in the area. Frontera Copper Corp. has a reported proven and probable reserve of 191 million tonnes grading 0.36% copper. The Carol property is located 6 kilometres north of their property and has excellent infrastructure to work with, as well as a road to the core of the property. Three zones make up the Carol property, yielding copper, zinc, silver and gold. The Carol property has six claims over a total area of approximately 750 hectares.

Precious metal prices are still on the rise, and with the current state of the US economy they continue to remain a good hedge against inflation. Gold has gone up approximately 12% in the past year, and has been rising steadily since 2001. Silver is also in bull mode with a 27% increase in the past 12 months. As Canada increases interest rates later in the year, we will see increased movement by investors towards precious metals. Yale Resources has capitalized on these bull markets in precious metals and has put itself in a position to benefit from the commodities’ increasing value. One property that really stands to benefit from silver’s upward movement, is Yale’s Zacatecas property.

The Zacatecas District is one of the largest historic silver districts in the world, with past production estimated at 1.2 billion ounces. Yale’s property here has shown excellent results so far. The area has a run of mine dumps from historic work on the site. The samples from the mine dumps have yielded on average above 300 g/t silver. Select samples from the San Jose area of the project have shown very high grades, with the highest being 4,970 g/t silver, 6.74 g/t gold, 1.67 % lead, and 2.98 % zinc. Significant exploration potential remains on the San Jose project as well.

Yale Resources has partnered with IMPACT Silver Corp (TSXV: IPT) on the properties in Zacatecas District: Mina San Jose, Salvador, and Zacatecas. They stand to earn a 80% interest on each of the claims. Yale and IMPACT are in the process of investigating the option of processing the mineralized dumps at the nearby Veta Grande Mill. Processing the dumps will act as a bulk sample and may generate cash flow. With the processing plant, established infrastructure and a producing mine nearby, the ingredients for Yale Resources’ success here are already in place.

Recent drilling results have been promising, especially on the Mina San Jose property which yielded a significant intercept of 1,340 grams per tonne of silver at a vertical depth of approximately 75 metres below surface. Their next drill program is scheduled for the fall. Further work will go towards expanding their knowledge of the high-grade mineralization.

Additional projects for Yale Resources include a large claim on the historic Sierra Madre gold belt of northern Mexico. Titled the Urique project, it is 290 square kilometers in size and covers ten mineralized targets, a number of which have previously been in production.

Utilizing the strategy of exploring near proven resources, the Urique claims lie forty kilometers north of Goldcorp’s El Sauzal mine, which hosts over two million ounces of gold. After recent sample work, Yale has advanced their target to the drill ready stage. Yale has the right to earn a 75% interest in the Urique Project from EXMIN Resources Inc. Other producing mines in the area factor into this property’s appeal. These include Mulatos (Alamos Gold), Dolores (Minefinders), Ocampo (Gammon Lake), as well as the El Sauzal mine (Glamis Goldcorp).

Yale Resources is in a strong position in Mexico and is making significant progress on its properties. With the added value of existing infrastructure and proven resources surrounding the claims, Yale Resources’ strategies are taking effect. Since President and CEO Ian Foreman began launching Yale’s exploration programs in Mexico and gathering around him a seasoned management team, volume trading has tripled, the company’s stock price has doubled and still Yale has only issued 26 million shares, which represents good value for a junior exploration company.

This article is intended for informational purposes only and should not be considered as a recommendation to buy stock in any company. Although the author has made efforts to verify the information contained herein, the accuracy of all the information cannot be guaranteed. As always, it is recommended that you commit considerable time to completing your due diligence before buying stocks in publicly traded companies. A fee has been paid for the creation and distribution of this article.

Investment Bank Lehman Brothers, the 158 year old, fourth largest investment banker in the US declared bankruptcy after concerted efforts for a bailout failed. With total assets of $640 billion, this would be termed as the largest ever bankruptcy filing in history. Insurance company American International Group (AIG), America’s largest insurance company, received $85- billion as a rescue package from the federal authorities which staved off an impending collapse of the company. The bank of America is buying investment bank Merrill Lynch. All three of these companies at the centre of the storm have been damaged by the related mortgage and credit crisis and all three have lost much of their stock market value.The potential fallout of the Lehman bankruptcy has had huge repercussions leading to a meltdown in major stock exchanges across the globe including India. The significant moves by the U.S. Govt. which included a $ 700 billion rescue fund along with hand holding measures from the private sector can be lauded as a timely intervention intended to mitigate the potential risks and disruptions caused to the world financial markets and would mean well towards working out a plan to cushion the world financial system.Of particular concern in this issue is the abrupt weakening in the US labor market along with continued rapid decline in home prices which have eroded the main source of the average American’s wealth and financial security and compromised their solvency. The acute stresses in the financial system (as underlined by the failure of several important regional and investment banks), and the perpetual volatility in the equity market, has resulted in an all time low in consumer confidence.The question that most of us would want to ask at this point in time is that what would the long term implications of such a fallout be on the Indian financial system, given the fact that a few of our banks in India particularly the hi-tech ones in the private sector have exposure on equity, debt and interest rate swaps to Lehman India.A re-look at India’s globalization policies and economic reforms adapted post 1991, which have envisaged accelerated growth, enhanced stability and strengthened the financial sectors can now lead us to believe that our trade and financial policies are fairly well integrated with the global economy. Secondly, India’s cautious approach towards opening up of the capital account (partially convertible at the moment) and viewing capital account liberalization as a process contingent upon certain preconditions has stood India in good stead in the sense that we stand well insulated from such financial debacles. The current global financial turmoil would most certainly see an exodus of Indian professionals scurrying back home seeking new avenues within the Indian markets, (popular acronyms like B2B…back to Bombay and B2C… back to Chennai, already saying it all) giving the local markets some brownie points.Though the economic growth in India has slowed down from 9.6% in financial year 2006-07 to 8.7% last year (2007-08), perhaps due to impacts caused by recessionary trends in worlds markets, the appreciating rupee and inflation due to rising oil and commodity prices, the consumption, savings and investment patterns are still quite robust. Moreover, India’s huge infrastructure requirements will continue to envisage a further increase in both Govt. as well as private sector spending, increasing the stock of physical capital, increasing investment and consumption and would have a long term positive effect on the aggregate demand.While analyzing the enormity of the situation from a global perspective, it becomes imperative to understand the market dynamics, exercise caution and enter the equity markets with a long-term view of three to five years. People who are risk averse may have a good option to invest in gold as it acts as a hedge against inflation. Infrastructure, Banking, Media and FMCG are areas which will continue to invite demand and may not be prone to interest rate fluctuations.In the final analysis, India unfailingly continues its onward journey of growth in the midst of global financial uncertainties, showing its magnanimity and resolve to stand up to the rigors of both internal as well as external pressures and thrive on chaos.

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