tag:blogger.com,1999:blog-21201155602310530172024-03-05T19:47:34.236-05:00Saverio ManzoKeeping you up to date with Economic, Social and Global trend briefings from some of the world's brightest minds. Always seeking the truth and exposing those whom obscure it.
Captioned and summarized by Saverio Manzo, saveriomanzo.comSaverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.comBlogger160125tag:blogger.com,1999:blog-2120115560231053017.post-82393860203791780572016-11-18T00:10:00.002-05:002016-11-18T00:10:44.418-05:00How the Very Best Strategists Decide - HBR Special<br />
<i style="background-color: white; color: #444444; font-family: Arial, Tahoma, Helvetica, FreeSans, sans-serif; font-size: 14.85px;">This Article really hit me, I had to share it. Sorry, could not connect you with the source.</i><br />
<br />
<div class="MsoNoSpacing">
When it comes to setting strategy, which is more effective: one great thinker or a wise crowd?<span style="font-family: "national","serif"; mso-fareast-language: EN-CA;"><o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">To find out, I turned to my ongoing <a href="https://hbr.org/2015/06/a-tournament-pits-strategists-against-each-other-to-see-what-works"><span style="color: #0787b1;">Top Pricer Tournament</span></a>, in which 884 people — managers, consultants, professors, students — make pricing strategy decisions for a generic business competing against other generic businesses. The decision options available to each person work out to 14,739 possible strategies in each of three generic industries.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">About half of the 884 strategies entered in each industry were chosen by two or more people; some were picked by two dozen. We’ll call these the <i>popular</i> <i>strategies</i>. The other half were chosen by only one person. They are the <i>loner</i> <i>strategies</i>.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">If the wisdom of crowds applies to strategic thinking, popular strategies should outperform the loners. If it doesn’t, the loners should outperform the crowd.</span><b><span style="font-family: "national","serif"; font-size: 7.5pt; mso-fareast-language: EN-CA;"><o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">I ran a billion simulations and saw that the crowds’ strategies worked pretty well. In general, the more people who chose a strategy, the better the strategy performed. (The largest crowds, though, rated about average.) The simulations also showed that loner strategies usually performed below the crowds’ popular strategies.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;"><br /></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">But the strategies that performed the very best were also loners.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;"><br /></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">If you want to outperform the crowd, you’ve got to do something the crowd isn’t doing. That means learning two key skills:<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;"><br /></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">To do something the crowd isn’t doing, you must think something the crowd isn’t thinking. You can generate ideas by <b>broadening your decision frame.</b><o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">No one proposes a strategy thinking it will fail, so you must be able to tell the difference between good and bad loner strategies. You can evaluate those ideas by <b>embracing critical thinking.</b><o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;"><b><br /></b></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "national","serif"; font-size: 13.5pt; mso-fareast-language: EN-CA;">Broadening the Frame<o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">I conducted a business war game for a company in the food industry. We had teams for their business, competitors, customers, and government regulators. I asked each team to list key changes they might make over the next few years, and then I calculated the number of possible scenarios. In 15 minutes they’d identified 3.9 million scenarios. That quashed the idea that they could plan for a definitive future.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;"><br /></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">We narrow our decision-making frame when we believe we know what <i>the </i>future will look like. We implicitly assert that everything is locked in except for what we will do, and so we ask this simple, efficient question: “What <i>should </i>we do?”<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;"><br /></span></div>
<div class="MsoNoSpacing">
<i><span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">Should </span></i><span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">asks people to spot and advocate the one right decision. It treats decision making as a debate. It drives toward closure. We need <i>should</i>, but not when we first address a decision.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">We broaden our decision-making frame when we consider multiple futures, with shifts and disruptions in our environment interacting with shifts and disruptions we can introduce. We ask this illuminating question: “What <i>could </i>we do?”<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;"><br /></span></div>
<div class="MsoNoSpacing">
</div>
<ul>
<li><i><span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">Could </span></i><span style="font-family: guardian, serif;">lets one idea stimulate another. It asks what if, what else, and why not. It’s energizing and educational. For example:</span></li>
<li>Imagine it’s the future and you’re saying “I wish we’d thought about X.” What is X?</li>
<li>Ask what would be the equivalent in your industry of something that’s working well in another</li>
<li>Ask what you’d do if you were entrepreneurs preparing to enter your market <i style="font-family: guardian, serif;">de novo</i></li>
<li>Ask what you’re afraid your competitors might do</li>
<li>Notice your favorite metaphor for business: chess, war, making deals, doing good, enriching shareholders, satisfying customers. Switch to another.</li>
<li>Apply humor — it opens up the brain. In my workshops<span style="font-family: guardian, serif;"> I ask people to create as many ideas as they can to prevent a bathtub from overflowing. My favorite: Call the water company and tell them you won’t pay your bill.</span></li>
</ul>
<br />
<div class="MsoNoSpacing">
<b><span style="font-family: "national","serif"; font-size: 13.5pt; mso-fareast-language: EN-CA;">Embracing Critical Thinking<o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "national","serif"; font-size: 13.5pt; mso-fareast-language: EN-CA;"><br /></span></b></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">A petrochemicals company planned to disrupt a century-old distribution channel. Their plan passed every internal review. My colleagues and I ran some simulations as their final check.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">They quickly discovered competitors would have no choice but to emulate the disruption. </span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;"><br /></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">Their loner strategy would attract a crowd. That, we calculated, meant the disruption would cause cash to gush out, not in, relative to the status quo. They abandoned the plan.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">How did the plan get so far? The company didn’t have a death wish, and its strategists weren’t deficient. The problem was that their strategy development and internal reviews, like those in many companies, didn’t account for competitive dynamics.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">Strategy development and internal reviews often focus on precedents, trends, and due diligence. They implicitly address “what <i>will </i>happen.” Unfortunately, what <i>will </i>happen is susceptible to cognitive and analytic biases.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;"><br /></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">Just as we broadened <i>should </i>with <i>could, </i>we can challenge “what <i>will</i>happen” with “what <i>may </i>happen.” How?<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
</div>
<ul>
<li>Role-play other parties. “If I were a key competitor or typical customer or government regulator…”</li>
<li>Have people take turns as designated contrarians</li>
<li>Listen for assumptions in the way a strategy is supposed to work, and question them as Murphy’s Law incarnate. What could go wrong? How badly will it hurt?</li>
<li>Learn about and watch out for <a href="https://www.psychologytoday.com/blog/science-choice/201504/what-is-confirmation-bias" style="font-family: guardian, serif;"><span style="color: #c82502;">confirmation bias</span></a><span style="font-family: guardian, serif;">, </span><a href="https://www.theguardian.com/books/2015/jul/18/daniel-kahneman-books-interview" style="font-family: guardian, serif;"><span style="color: #c82502;">overconfidence</span></a><span style="font-family: guardian, serif;">, </span><a href="http://www.scientificamerican.com/article/how-the-survivor-bias-distorts-reality/" style="font-family: guardian, serif;"><span style="color: #c82502;">survivor bias</span></a><span style="font-family: guardian, serif;">, and </span><span style="color: #c82502; font-family: guardian, serif;"><a href="http://www.psysr.org/about/pubs_resources/groupthink%20overview.htm">groupthink</a></span></li>
</ul>
<br />
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;"><br /></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">Forecast your competitors’ results as well as your own. What will they do if those forecasts come true?<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">Beware of missing pieces in the tools you use. Financial analysis isn’t designed for nonfinancial factors such as competitive dynamics and customer loyalty. Extrapolating trend lines into the future assumes the future will look like the past.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "guardian","serif"; mso-fareast-language: EN-CA;">It’s not bad, wrong, or lazy to pick a popular, crowd-approved strategy. Those strategies are good, safe bets, and there’s a reason most loner strategies are so lonely. On the other hand, you can build your skill at developing good loner strategies if you can improve your ability to think strategically. With skills, processes, and tools to generate and evaluate ideas, you can spot risks worth taking.<o:p></o:p></span></div>
<div align="center" class="MsoNoSpacing" style="text-align: center;">
<span style="font-family: "Times New Roman","serif"; mso-bidi-font-family: "Times New Roman"; mso-bidi-theme-font: minor-bidi; mso-fareast-language: EN-CA;"> <hr align="center" size="0" width="100%" />
</span></div>
<div class="MsoNoSpacing">
<span style="font-family: "Times New Roman","serif"; mso-bidi-font-family: "Times New Roman"; mso-bidi-theme-font: minor-bidi; mso-fareast-language: EN-CA;"><a href="https://hbr.org/search?term=mark+chussil"><span style="color: #c82502;">Mark Chussil</span></a> is the Founder and CEO of Advanced Competitive Strategies, Inc. He has conducted business war games, taught strategic thinking, and written strategy simulators for Fortune 500 companies around the world.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: Arial, sans-serif;"><span style="font-size: x-small;"> compilation: Saverio Manzo</span></span></div>
<br />
<div class="MsoNoSpacing">
<br /></div>
<br />Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0tag:blogger.com,1999:blog-2120115560231053017.post-79535458104455629702016-11-07T20:24:00.002-05:002016-11-07T20:24:33.720-05:00Inflation Around the Corner? Know Your Implications.As much as I try to, I can't seem to get away from the economist (wannabee) in me.<br />
<br />
I picked up on the most recent release of US wage rate increases, current to Sept, 2016. See chart below.<br />
You will notice a nice uptick thru 2016. Yes, great news for us all - this means raises on on their way.<br />
<br />
However, the other side of the equation presents higher inflation (price increases), because when wages rise - the number #1 cost/expense to most Canadian businesses - comanies offest higher wages with increases prices on all goods and servioces.<br />
<br />
The next stage in this process is usually higher interest rates.<br />
<br />
So if this wage increase trend continues into Canada for the next little while, well in to 2017, expect to see higher mortgage rates coming at your local bank.<br />
<br />
(Sorry for the eco over simplification!)<br />
<br />
<br />
<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhs0P02w2tJZ7uYQua3jkmq_6MMuH8ExqGNsSEmvpyqUPVIiiq1g-_gbdpm7mx4NiNF1i9fFk1kzksFQLztDsNtu-3kXI80ZwGwCK1AAVAF-xoVWdhM-WLYyEP2B72vN0pe-MHCWGarcAY/s1600/USA+wage+rate+2016.png" style="margin-left: 1em; margin-right: 1em;"><img border="0" height="249" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhs0P02w2tJZ7uYQua3jkmq_6MMuH8ExqGNsSEmvpyqUPVIiiq1g-_gbdpm7mx4NiNF1i9fFk1kzksFQLztDsNtu-3kXI80ZwGwCK1AAVAF-xoVWdhM-WLYyEP2B72vN0pe-MHCWGarcAY/s320/USA+wage+rate+2016.png" width="320" /></a></div>
<br />
<br />
Saverio Manzo<br />
<br />Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0tag:blogger.com,1999:blog-2120115560231053017.post-88669252976829438032016-11-03T09:44:00.001-04:002016-11-03T09:44:17.993-04:00Your Company's Business Ethics: are you doing what’s right?Having recently been challenged by a business situation where I believe the competing party was playing “outside of the rules”, I thought to reassess my own prospective on ethics and morality, as it applies to my business.<br />
<div class="MsoNoSpacing">
<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<b>What we learned from Business School: Ethics Refresher</b><o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Capitalism is believed to reward ethical behavior. Unethical corporate behavior often drives away customers.<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Ethics are generally defined as “Rules of conduct recognized in respect to a particular class of human actions or a particular group, culture, etc.”<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<i>Ethics are rooted in a standard of what is right and wrong, based on what society thinks people ought to do. They consider our obligation to society, what benefits society rather than the individual, and being fair to others.<o:p></o:p></i></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Business Ethics are further defined, subjectively as:<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Employer-employee relations—how you relate to your employer or employees, with fair and honest communication being the goal.<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Investor relations—the relationship with those who give financial support to your business.<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Customer relations—how you take care of and relate to your customers.<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Vendor relations—pertaining to suppliers.<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Regulatory Authorities exist to protect the public. In our case, we are a member of OCP (Ontario College of Pharmacists) and as such, much of our ethics pertains to how we treat our patients. <o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
What’s your ethical climate?<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
A positive climate leads to happier, more productive employees; harassment, aggression, and discrimination generally result in a hostile work environment. There are five types of ethical climates in workplaces:<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Instrumental—actions by management are taken out of self-interest, with decisions made entirely to benefit the company or managers, with little or no consideration given to employees, customers or other stakeholders. This includes outright lying for personal or corporate gain, and actions to sabotage competition. It’s considered the highest level of immoral and unethical behavior.<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Caring—the company is very concerned about employee well-being and fairness, with extensive support for employees and excellent leadership. The downside of the caring environment is that there can be a tendency to overlook rules to help friends.<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Law and order—there are precise codes of conduct for employees and management, and laws are adhered to strictly. Employees follow rules out of fear of repercussion. This inflexible environment tends to ignore employee issues.<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Rules—the organization has internal professional codes of ethics or policies. This system can stifle creativity, with employees afraid to bend rules even slightly.<o:p></o:p></div>
<div class="MsoNoSpacing">
Promoting Independence—employees have a great deal of latitude, allowing them to think “outside the box” to solve problems. Employees may drift toward unethical behavior if they feel there are no ramifications.<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Most organizations are a blend of two or more environments. Punishment is threatened for any excursion from written policies, sometimes regardless of the reason.<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Open communication between regulatory bodies, management and employees is essential to prevent ethical problems. Employers must ensure that self-interest is not the main thrust of corporate decisions. Ideally, employers have created a self-audit system to quickly detect and fix any issues, preventing the poisoning of the work environment with damaging unethical behavior.<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
To prevent ethical problems in the workplace, it’s important to have clear guidelines and education regarding the ethical rules that must be followed. Managers should consider themselves important role models on ethical issues, as leadership sets the stage for what is acceptable for employee behavior. <o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
“Herd mentality” refers to individuals taking behavioral cues from others in the workplace. An entire organization can easily take on the culture of the people within it, particularly that of the leadership.<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<o:p></o:p></div>
<div class="MsoNoSpacing">
Different ethical points of view, referred to as “ethical theories” can influence what an individual considers ethical versus unethical in the business world:<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Deontology—following the rules, no matter what.<o:p></o:p></div>
<div class="MsoNoSpacing">
Consequentialism—believing that the end justifies the means.<o:p></o:p></div>
<div class="MsoNoSpacing">
Ethical relativism—right and wrong depend on norms in one’s culture.<o:p></o:p></div>
<div class="MsoNoSpacing">
Moral absolutism—believing that the same standards should be applied in all situations, regardless of culture or other factors.<o:p></o:p></div>
<div class="MsoNoSpacing">
Virtue ethics—the individual’s character, not actions, determines morality and should be considered when making judgments.<o:p></o:p></div>
<div class="MsoNoSpacing">
Care ethics—people are relational beings and require care in relationships. Consider not only rules, but people’s feelings.<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
One can readily see that it is difficult and perhaps unfair to rely on one moral code for all. Basic morality, formed through life experiences, is not the same for everyone. Laws and regulations give better standards that can be more consistently followed, with ethics being, not a replacement for laws, but guiding principles for our lives and professional practice.<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Ethical behavior in business means acting in ways that are consistent with how the business world views moral principles and values. <o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
It’s believed that ethical problems are caused by four main factors:<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Lack of integrity—not showing fairness; using intimidation, harassment or lies. Customers, co-workers and employers must be treated with the highest level of respect and honesty.<o:p></o:p></div>
<div class="MsoNoSpacing">
Organizational relationship problems—a clear mission, goals and objectives are needed, and individuals must keep these above personal goals.<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Misleading advertising—misrepresenting a product or service in order to secure benefit personally or for the company.<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Conflicts of interest—when anyone takes advantage of a business situation for personal benefit. This includes accepting bribes and gifts in exchange for influence or favours, or taking any action whose purpose or end result is personal benefit at the expense of the company or another person.<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
To avoid ethical problems in business, experts recommend employers create a code of behavior, establish expectations and reasonable goals, and set up a system of rewards and punishments for ethical and unethical behavior. Setting clear and attainable goals for employees will prevent them from feeling pressured to conduct unethical activities to achieve quotas.<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Employees, owners and managers all benefit from having a clear understanding of the types of actions that might be considered unethical in the business world.<o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
Reviewing ethical expectations as part of employee performance reviews will help to educate individuals in the behavior that is acceptable in the workplace before it creates a problem, and would give employees the opportunity to discuss any ethical concerns they have with management and co-workers as well. It’s a conversation that all sides would benefit from.<o:p></o:p></div>
<div class="MsoNoSpacing">
<o:p><br /></o:p></div>
<div class="MsoNoSpacing">
<o:p>This post has been adopted from </o:p><em style="background-color: white; color: #666666; font-family: Arial, Helvetica, sans-serif; font-size: 12px;">Jeannie Collins Beaudin</em></div>
<div class="MsoNoSpacing">
<o:p>Citation: canadianhealthcarenetwork.ca, </o:p><em style="background-color: white; color: #666666; font-family: Arial, Helvetica, sans-serif; font-size: 12px;">Jeannie Collins Beaudin</em></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<br /></div>
Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0tag:blogger.com,1999:blog-2120115560231053017.post-44800416598964728082014-01-13T17:57:00.003-05:002014-01-13T18:00:59.475-05:00Guru Stock Market Predictions for 2014Its that time of year again!<br />
<br />
<div style="background-color: white; border: 0px; color: #555555; font-family: Arial, Helvetica, sans-serif; font-size: 14px; line-height: 22.390625px; margin-bottom: 1.3em; margin-top: 1.3em; padding: 0px 0px 0px 30px; vertical-align: baseline; word-wrap: break-word;">
It’s that time of year again where we put together our fifth annual guru investment manager’s collective predictions and provide you with the consensus outlook for 2014. The New Year brings upon us the heavily skewed brush of optimism nearly across the board.</div>
<div style="background-color: white; border: 0px; color: #555555; font-family: Arial, Helvetica, sans-serif; font-size: 14px; line-height: 22.390625px; margin-bottom: 1.3em; margin-top: 1.3em; padding: 0px 0px 0px 30px; vertical-align: baseline; word-wrap: break-word;">
Our consensus view is the aggregate predictions and Outlook as documented by many world renowned market strategists and investment managers. For 2014, there were a total of 32 different predictions used to compile this consensus view. It is the broadest range of views that we have used yet.</div>
<h2>
<span style="color: lime;"><a href="http://www.financialconcepts.ca/wp-content/uploads/2014/01/Consensus-Stock-Market-Predictions-and-Outlook-2014.pdf" target="_blank">Read/Download here</a></span></h2>
<div style="background-color: white; border: 0px; color: #555555; font-family: Arial, Helvetica, sans-serif; font-size: 14px; line-height: 22.390625px; margin-bottom: 1.3em; margin-top: 1.3em; padding: 0px 0px 0px 30px; vertical-align: baseline; word-wrap: break-word;">
<span style="background-color: transparent;">Citation: www.financialconcepts.ca</span></div>
<br />
saverio<br />
<br />
.Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com1tag:blogger.com,1999:blog-2120115560231053017.post-61774515834542562222012-05-25T23:23:00.003-04:002013-04-10T22:11:20.079-04:00What is The Ultimate Financial Guide?This piece has some serious merit. The references are very accurate. Something seriously worth considering for a holistic, balanced life. SM.<br />
<br />
<br />
<b><span style="font-size: large;">Grandich is co-founder, with former</span></b> <a href="http://www.forbes.com/places/ny/new-york/">New York</a> Giants player Lee
Rouson, of Trinity Financial Sports & Entertainment <a href="http://www.forbes.com/management/">Management</a> Co., a firm that
specializes in offering guidance from a Christian perspective to professional
athletes and celebrities.<o:p></o:p><br />
<br />
He says the answers to all sorts of money issues can be found in the good
book.<o:p></o:p><br />
“I get my <a href="http://biz-advisor.ca/" target="_blank">financial guidance</a> from the Bible,” said Grandich, author of <em>Confessions
of a <a href="http://www.forbes.com/wall-street/">Wall Street</a> Whiz Kid, </em>in
a prepared statement. “Money and possessions are the second most
referenced topic in the Bible – money is mentioned more than 800 times – and
the message is clear: Nowhere in Scripture is debt viewed in a positive way.”<o:p></o:p><br />
<br />
Grandich, who says his years as a highly successful Wall Street stockbroker
left him spiritually depleted and clinically depressed, says the Bible is an
excellent financial adviser, whether or not you’re religious.<o:p></o:p><br />
<br />
“The writers of the Bible anticipated the problems we would have with money
and possessions; there are more than 2,000 references,” he says. “Our whole
culture now is built on the premise that we have to have more money and more
stuff to feel happy and secure. Public storage is the poster child for what’s
wrong with America. We have too much stuff because we’ve bought into the myth
fabricated by Wall Street and <a href="http://www.forbes.com/places/wi/madison/">Madison</a>
Avenue that more stuff equals more happiness.” He adds, “That’s the total
opposite of the truth, and the opposite of what it says in The Bible.”<o:p></o:p><br />
<br />
What’s Grandich’s No. 1 most important biblical <a href="http://biz-advisor.ca/" target="_blank">rule of finance</a>? “God owns
everything. You may have bought that house, but He gave you the money to buy
it, so it’s His.”<o:p></o:p><br />
He shares other pearls of wisdom found in Scripture.<o:p></o:p><br />
<br />
<strong><span style="font-size: large;">Do put money aside for investing:</span> </strong>One of the most revealing
parables is Jesus’ story about a wealthy master who left three servants in
charge of his financial affairs when he went away on a long journey,”
Grandich says. When he returned, two of the servants had multiplied the
coins for which they were responsible. The third buried his to keep it
safe. That last servant ended up out on his ear. The story is a
lesson: We must invest our money – and invest wisely.<o:p></o:p><br />
<br />
<strong><span style="font-size: large;">Debt’s not prohibited, but it should be avoided:</span> </strong>The
Bible clearly warns that the borrower will be a servant to the lender, but
it also instructs us to lend money. That suggests that
there are times when it’s OK to borrow, but it should not become a way of
life. The Bible also instructs us to repay what we’ve borrowed.<o:p></o:p><br />
<br />
<strong><span style="font-size: large;">The more you make, the more you should give</span>. </strong>This is a
hard one for people caught up in buying bigger and better things, but
there are numerous references to <a href="http://zealousaltruism.blogspot.ca/" target="_blank">charitable giving</a>. The Bible says that it’s
quite all right to buy the bigger house – but the more you make and spend
on yourself, the more you need to give to others. That doesn’t
include tithing, another very clear demand: God expects you to give 10
percent of your wealth to your place of worship.<o:p></o:p><br />
<div class="MsoNormal">
<br /></div>
<strong><span style="font-size: large;">Don’t focus on acquiring possessions.</span> </strong>There are
many, many warnings that accumulating stuff is dangerous. Material
things are fleeting and they’ll do you no good in the
long run. What you put your effort into, that’s where your heart
will be, Grandich says.<o:p></o:p><br />
Maybe it’s time to go back to Sunday school.<o:p></o:p><br />
<br />
Posted By: <a href="http://saveriomanzo.com/" target="_blank">Saverio Manzo</a><br />
<br />
===========================================<br />
<b style="background-color: #f7f5f5; border: 0px; color: #333333; font-family: Calibri, sans-serif; font-size: 13px; line-height: 23px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;"></b><br />
<div style="-webkit-box-shadow: rgba(0, 0, 0, 0.292969) 0px 2px 2px; background-color: white; border: 1px solid rgb(153, 153, 153); margin: 0px 0px 5px; outline: 0px; padding: 20px; vertical-align: baseline; width: 723px;">
<h2 style="background-color: transparent; border-bottom-color: rgb(153, 153, 153); border-bottom-style: dotted; border-width: 0px 0px 1px; color: #ff9933; font-size: 14px; margin: 0px 0px 10px; outline: 0px; padding: 0px; text-rendering: optimizelegibility; vertical-align: baseline;">
<b style="background-color: #f7f5f5; border: 0px; color: #333333; font-family: Calibri, sans-serif; font-size: 13px; line-height: 23px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">Ontario Car & Auto Insurance</b></h2>
<h3 style="background-color: transparent; border: 0px; font-size: 13px; line-height: 15px; margin: 0px; outline: 0px; padding: 0px; text-rendering: optimizelegibility; vertical-align: baseline;">
<b style="background-color: #f7f5f5; border: 0px; color: #333333; font-family: Calibri, sans-serif; font-size: 13px; line-height: 23px; margin: 0px; outline: 0px; padding: 0px; vertical-align: baseline;">At MIB, get the <a href="https://www.insuremetoo.com/" target="_blank">best rate on Car insurance in Ontario</a>. Get multiple car insurance quotes from multiple carriers - all looking to win your business. Get an instant online quote now and see how much you can save!</b></h3>
</div>
<br />
<br />
<br />Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com14tag:blogger.com,1999:blog-2120115560231053017.post-19838362018993826802012-02-09T23:21:00.000-05:002012-02-09T23:21:34.295-05:00Happiness Is The Ultimate Economic Indicator<div class="MsoNormal"><span style="font-size: 12pt;"><span style="font-family: Arial, Helvetica, sans-serif;">One factor that is increasingly being cited as an important economic indicator is happiness. After all, what good is increased production and consumption if the result isn’t increased human satisfaction? Until fairly recently, the subject of happiness was mostly avoided by economists for lack of good ways to measure it; however, in recent years, “happiness economists” have found ways to combine subjective surveys with objective data (on lifespan, income, and education) to yield data with consistent patterns, making a national happiness index a practical reality.</span><span style="font-family: 'Times New Roman', serif;"><o:p></o:p></span></span></div><div class="MsoNormal"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";"><br />
</span></div><div class="MsoNormal"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";">In <i><a href="http://www.amazon.com/Politics-Happiness-Government-Research-Well-Being/dp/0691144893" target="_blank">The Politics of Happiness: What Government Can Learn from the New Research on Well-Being</a></i>, former Harvard University president Derek Bok traces the history of the relationship between economic growth and happiness in America. During the past 35 years, per capita income has grown almost 60 percent, the average new home has become 50 percent larger, the number of cars has ballooned by 120 million, and the proportion of families owning personal computers has gone from zero to 80 percent. But the percentage of Americans describing themselves as either “very happy” or “pretty happy” has remained virtually constant, having peaked in the 1950s. The economic treadmill is continually speeding up due to growth and we have to push ourselves ever harder to keep up, yet we’re no happier as a result.<o:p></o:p></span></div><div class="MsoNormal"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";"><br />
</span></div><div class="MsoNormal" style="margin-bottom: 0.0001pt;"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";">The percentage of Americans describing themselves as either 'very happy’ or 'pretty happy’ has remained virtually constant, having peaked in the 1950s. <o:p></o:p></span></div><div class="MsoNormal" style="margin-bottom: 0.0001pt;"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";"><br />
</span></div><div class="MsoNormal"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";">Ironically, perhaps, this realization dawned first not in America, but in the tiny Himalayan kingdom of Bhutan. In 1972, shortly after ascending to the throne at the age of 16, Bhutan’s King Jigme Singye Wangchuck used the phrase “<a href="http://www.grossnationalhappiness.com/" target="_blank">Gross National Happiness</a>” to signal his commitment to building an economy that would serve his country’s Buddhist-influenced culture. Though this was a somewhat offhand remark, it was taken seriously and continues to reverberate. Soon the Centre for Bhutan Studies, under the leadership of Karma Ura, set out to develop a survey instrument to measure the Bhutanese people’s general sense of well-being.<o:p></o:p></span></div><div class="MsoNormal"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";"><br />
</span></div><div class="MsoNormal"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";">Ura collaborated with Canadian health epidemiologist Michael Pennock to develop Gross National Happiness (GNH) measures across nine domains: time use, living standards, good governance, psychological well-being, community vitality, culture, health, education, ecology.<o:p></o:p></span></div><div class="MsoNormal"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";"><br />
</span></div><div class="MsoNormal"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";">Bhutan’s efforts to boost GNH have led to the banning of plastic bags and re-introduction of meditation into schools, as well as a “go-slow” approach toward the standard development path of big loans and costly infrastructure projects.<o:p></o:p></span></div><div class="MsoNormal"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";"><br />
</span></div><div class="MsoNormal"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";">The country’s path-breaking effort to make growth humanly meaningful has drawn considerable attention elsewhere: Harvard Medical School has released a series of happiness studies, while British Prime Minister David Cameron has announced the UK’s intention to begin tracking well-being along with GDP. Sustainable Seattle is launching a Happiness Initiative and intends to conduct a city-wide well-being survey. And Thailand, following the military coup of 2006, instituted a happiness index and now releases monthly GNH data.<o:p></o:p></span></div><div class="MsoNormal"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";">Michael Pennock now uses what he calls a “de-Bhutanized” version of GNH in his work in Victoria, British Columbia. Meanwhile, Ura and Pennock have collaborated further to develop policy assessment tools to forecast the potential implications of projects or programs for national happiness.<o:p></o:p></span></div><div class="MsoNormal"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";"><br />
</span></div><div class="MsoNormal" style="margin-bottom: 0.0001pt;"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";">As GDP growth becomes an unachievable goal, it is especially important that societies re-examine their aims and measures. <o:p></o:p></span></div><div class="MsoNormal" style="margin-bottom: 0.0001pt;"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";"><br />
</span></div><div class="MsoNormal"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";">Britain’s New Economics Foundation publishes a “<a href="http://www.happyplanetindex.org/" target="_blank">Happy Planet Index</a>,” which “shows that it is possible for a nation to have high well-being with a low ecological footprint.” And a new documentary film called “<a href="http://www.theeconomicsofhappiness.org/" target="_blank">The Economics of Happiness</a>” argues that GNH is best served by localizing economics, politics, and culture.<o:p></o:p></span></div><div class="MsoNormal"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";">No doubt, whatever index is generally settled upon to replace GDP, it will be more complicated. But simplicity isn’t always an advantage, and the additional effort required to track factors like collective psychological well-being, quality of governance, and environmental integrity would be well spent even if it succeeded only in shining a spotlight of public awareness and concern in these areas. But at this moment in history, as GDP growth becomes an unachievable goal, it is especially important that societies re-examine their aims and measures. If we aim for what is no longer possible, we will achieve only delusion and frustration. But if we aim for genuinely worthwhile goals that can be attained, then even if we have less energy at our command and fewer material goods available, we might nevertheless still increase our satisfaction in life.<o:p></o:p></span></div><div class="MsoNormal"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";"><br />
</span></div><div class="MsoNormal"><span style="font-family: "Times New Roman","serif"; font-size: 12.0pt; mso-fareast-font-family: "Times New Roman";">Policy makers take note: Governments that choose to measure happiness and that aim to increase it in ways that don’t involve increased consumption can still show success, while those that stick to GDP growth as their primary measure of national well-being will be forced to find increasingly inventive ways to explain their failure to very unhappy voters.<o:p></o:p></span></div><div class="MsoNormal"><span class="submitted">Written by: <a href="http://www.fastcoexist.com/users/richard-heinberg" title="View user profile.">Richard Heinberg</a> <o:p></o:p></span></div><div class="MsoNormal"><span class="submitted"><br />
</span></div><div class="MsoNormal"><span class="submitted">Sourced: Saverio Manzo</span></div><div class="MsoNormal"><br />
</div>Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0tag:blogger.com,1999:blog-2120115560231053017.post-17660643134940837082011-11-06T19:54:00.000-05:002013-04-11T00:16:45.710-04:00What caused the financial crisis? The Big Lie goes viral.Such a great piece from Barry I had to share....<br />
<br />
I have a fairly simple approach to investing: Start with data and objective evidence to determine the dominant elements driving the market action right now. Figure out what objective reality is beneath all of the noise. Use that information to try to make intelligent investing decisions.<br />
But then, I’m an investor focused on preserving capital and managing risk. I’m not out to win the <a href="http://www.washingtonpost.com/politics/campaigns">next election</a> or drive the debate. For those who are, facts and data matter much less than a narrative that supports their interests.<br />
One group has been especially vocal about shaping a new narrative of the credit crisis and economic collapse: those whose bad judgment and failed philosophy helped cause the crisis.<br />
Rather than admit the error of their ways — Repent! — these people are engaged in an active campaign to rewrite history. They are not, of course, exonerated in doing so. And beyond that, they damage the process of repairing what was broken. They muddy the waters when it comes to holding guilty parties responsible. They prevent measures from being put into place to prevent another crisis.<br />
Here is the surprising takeaway: They are winning. Thanks to the endless repetition of the Big Lie.<br />
A Big Lie is so colossal that no one would believe that someone could have the impudence to distort the truth so infamously. There are many examples: Claims that Earth is not warming, or that evolution is not the best thesis we have for how humans developed. Those opposed to stimulus spending have gone so far as to claim that the infrastructure of the United States is just fine, Grade A (not D, as the we discussed last month), and needs little repair.<br />
Wall Street has its own version: Its Big Lie is that banks and investment houses are merely victims of <a href="http://www.washingtonpost.com/wp-srv/business/risk/index.html">the crash</a>. You see, the entire boom and bust was caused by misguided government policies. It was not irresponsible lending or derivative or excess leverage or misguided compensation packages, but rather long-standing housing policies that were at fault.<br />
Indeed, the arguments these folks make fail to withstand even casual scrutiny. But that has not stopped people who should know better from repeating them.<br />
The Big Lie made a surprise appearance Tuesday when New York Mayor Michael Bloomberg, responding to a question about <a href="http://www.washingtonpost.com/local/occupy-wall-street-hits-dc/2011/10/06/gIQAOe4RRL_gallery.html">Occupy Wall Street</a>, stunned observers by exonerating Wall Street: “It was not the banks that created the mortgage crisis. It was, plain and simple, Congress who forced everybody to go and give mortgages to people who were on the cusp.”<br />
What made his comments so stunning is that he built Bloomberg Data Services on the notion that data are what matter most to investors. The terminals are found on nearly 400,000 trading desks around the world, at a cost of $1,500 a month. (Do the math — that’s over half a billion dollars a month.) Perhaps the fact that Wall Street was the source of his vast wealth biased him. But the key principle of the business that made the mayor a billionaire is that fund managers, economists, researchers and traders should ignore the squishy narrative and, instead, focus on facts. Yet he ignored his own principles to repeat statements he should have known were false.<br />
Why are people trying to rewrite the history of the crisis? Some are simply trying to save face. Interest groups who advocate for deregulation of the finance sector would prefer that deregulation not receive any blame for the crisis.<br />
Some stand to profit from the status quo: Banks present a systemic risk to the economy, and reducing that risk by lowering their leverage and increasing capital requirements also lowers profitability. Others are hired guns, doing the bidding of bosses on Wall Street.<br />
They all suffer cognitive dissonance — the intellectual crisis that occurs when a failed belief system or philosophy is confronted with proof of its implausibility.<br />
And what about those facts? To be clear, no single issue was the cause. Our economy is a complex and intricate system. What caused the crisis? Look:<br />
●Fed Chair Alan Greenspan dropped rates to 1 percent — levels not seen for half a century — and kept them there for an unprecedentedly long period. This caused a spiral in anything priced in dollars (i.e., oil, gold) or credit (i.e., housing) or liquidity driven (i.e., stocks).<br />
●Low rates meant asset managers could no longer get decent yields from municipal bonds or Treasurys. Instead, they turned to high-yield mortgage-backed securities. Nearly all of them failed to do adequate due diligence before buying them, did not understand these instruments or the risk involved. They violated one of the most important rules of investing: Know what you own.<br />
●Fund managers made this error because they relied on the credit ratings agencies — Moody’s, S&P and Fitch. They had placed an AAA rating on these junk securities, claiming they were as safe as U.S. Treasurys.<br />
4 Derivatives had become <a href="http://www.washingtonpost.com/wp-dyn/content/article/2008/10/14/AR2008101403343.html">a uniquely unregulated financial instrument</a>. They are exempt from all oversight, counter-party disclosure, exchange listing requirements, state insurance supervision and, most important, reserve requirements. This allowed AIG to write $3 trillion in derivatives while reserving precisely zero dollars against future claims.<br />
5 The Securities and Exchange Commission changed the leverage rules for just five Wall Street banks in 2004. The “Bear Stearns exemption” replaced the 1977 net capitalization rule’s 12-to-1 leverage limit. In its place, it allowed unlimited leverage for Goldman Sachs, Morgan Stanley, Merrill Lynch, Lehman Brothers and Bear Stearns. These banks ramped leverage to 20-, 30-, even 40-to-1. Extreme leverage leaves very little room for error.<br />
6Wall Street’s compensation system was skewed toward short-term performance. It gives traders lots of upside and none of the downside. This creates incentives to take excessive risks. <br />
7 The demand for higher-yielding paper led Wall Street to begin <a href="http://www.washingtonpost.com/wp-dyn/content/article/2008/12/15/AR2008121503561.html">bundling mortgages</a>. The highest yielding were subprime mortgages. This market was dominated by non-bank originators exempt from most regulations. The Fed could have supervised them, but Greenspan did not.<br />
8 These mortgage originators’ lend-to-sell-to-securitizers model had them holding mortgages for a very short period. This allowed them to get creative with underwriting standards, abdicating traditional lending metrics such as income, credit rating, debt-service history and loan-to-value.<br />
9 “Innovative” mortgage products were developed to reach more subprime borrowers. These include 2/28 adjustable-rate mortgages, interest-only loans, piggy-bank mortgages (simultaneous underlying mortgage and home-equity lines) and the notorious negative amortization loans (borrower’s indebtedness goes up each month). These mortgages defaulted in vastly disproportionate numbers to traditional 30-year fixed mortgages.<br />
●To keep up with these newfangled originators, traditional banks developed automated underwriting systems. The software was gamed by employees paid on loan volume, not quality.<br />
●Glass-Steagall legislation, which kept Wall Street and Main Street banks walled off from each other, was repealed in 1998. This allowed FDIC-insured banks, whose deposits were guaranteed by the government, to engage in highly risky business. It also allowed the banks to bulk up, becoming bigger, more complex and unwieldy.<br />
●Many states had anti-predatory lending laws on their books (along with lower defaults and foreclosure rates). In 2004, the Office of the Comptroller of the Currency federally preempted state laws regulating mortgage credit and national banks. Following this change, national lenders sold increasingly risky loan products in those states. Shortly after, their default and foreclosure rates skyrocketed.<br />
Bloomberg was partially correct: Congress did radically deregulate the financial sector, doing away with many of the protections that had worked for decades. Congress allowed Wall Street to self-regulate, and the Fed the turned a blind eye to bank abuses.<br />
The previous Big Lie — the discredited belief that free markets require no adult supervision — is the reason people have created a new false narrative.<br />
Now it’s time for the Big Truth.<br />
<br />
<br />
Related content:<br />
<a href="http://www.washingtonpost.com/business">More from Post Business</a> <br />
<a href="http://www.washingtonpost.com/business/economy/steven-pearlstein-you-bet-its-another-bubble/2011/10/31/gIQAKOtxnM_story.html">Pearlstein: You bet it’s another bubble</a> <br />
<a href="http://www.washingtonpost.com/business/it-was-a-low-down--no-good-godawful-bailout-but-it-paid/2011/07/05/gIQAbmIZ3H_story.html">Sloan: The bailout was awful, but it worked</a> <br />
Ritholtz is chief executive of FusionIQ, a quantitative research firm. He is the author of <a href="http://www.amazon.com/gp/product/0470596325?ie=UTF8&tag=washingtonpost-20&linkCode=xm2&camp=1789&creativeASIN=0470596325">“Bailout Nation”</a> and runs a finance blog, <a href="http://www.ritholtz.com/blog/">the Big Picture.</a><br />
<br />
<br />
<br />
saverio manzo<br />
<br />
<br />
--------------------------------------------------------------------------------<br />
<br />
<a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-ontario/insurance-quotes-ontario.php">Ontario car insurance</a><br />
<cite class="tagline">SAVE on <a href="https://www.insuremetoo.com/" target="_blank">cheap car insurance</a> ontario</cite><br />
<cite class="tagline"><a href="http://financialconcepts.ca/index.html">Financial Planning advice</a> is important.</cite><br />
<cite class="tagline"><a href="http://www.biz-advisor.ca/">SMall Business help</a> here</cite><br />
<cite class="tagline"><a href="https://www.insuremetoo.com/" target="_blank">car insurance</a></cite><br />
<cite class="tagline"><a href="https://www.insuremetoo.com/" target="_blank">car insurance Ontario </a> </cite><br />
<br />
<a href="http://feelgreengood.com/index.html"><cite class="tagline"></cite></a><a href="http://www.blogger.com/post-edit.g?blogID=2120115560231053017&postID=8615896138546952024">Feel Green Good </a><br />
<br />
<b><b><b>Ontario Car insurance for High Risk Drivers </b>— 09/16/11</b></b><br />
<div style="line-height: 15px;">
<b><b>Whether you are currently shopping around for Ontario car insurance, your policy is about to expire, something in your record has changed, you’re looking to save money on your current policy or you have been refused car insurance coverage, a policy is out there for you. Here’s how to get your coverage with the best car insurance quote in Ontario<br /></b></b></div>
<cite class="tagline"></cite>Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0tag:blogger.com,1999:blog-2120115560231053017.post-56676428572558167372011-10-16T23:59:00.001-04:002011-10-17T00:16:58.195-04:00Occupy Wall Street: The what, why and howUpset with banks "too big to fail"? Or how about Tycoons taking advantage of government bailouts and getting richer by billions$? Fascinating movement happening all around the industrialized world. <br />
<br />
There seems to be some debate as to what Occupy Wall Street should be focused on.<br />
I have 3 suggestions — excerpted from my <a href="http://www.washingtonpost.com/barry-ritholtz/2011/03/31/AFWBwIBC_viewAll.html" rel="nofollow" target="_blank">Sunday column</a> in the Washington Post. You will note that these three are issues that both the Left and the Right — Libertarians and Liberals — should be able to agree upon:<br />
<blockquote><b>1. <b>No more bailouts/Bring Back Real Capitalism!</b></b> The United States used to be a capitalist system. Companies lived and died on their own successes. “Corporate Welfare” – the term coined by Wisconsin senator William Proxmire – came into being in 1971 with the bailout of Lockheed Aircraft. Thus began a run of corporatism, not capitalism. Some companies, less than successful in a competitive marketplace, chose instead to suckle at the teat of the public trough. Innovation, execution and hard work were replaced with lobbying, crony capitalism and bailouts of failure. All of this paid for by taxpayers.</blockquote><br />
<blockquote><b>2. <b>End Too Big To Fail/Restore Competition</b></b> As George Shultz once said, “<i>If they’re too big to fail, make them smaller</i>.”<br />
The current economic approach of “Too Big to Fail” is itself a failure. It reduces economic competition, concentrates risk, and raises costs for consumers. University of Missouri–Kansas City (UMKC) professor of Economics and Law William Black notes that the TBTF moniker is misleading. We should start calling these firms by the more accurate phrase “<i>Systemically Dangerous Institutions</i>” (SDIs). TBTF makes it sound like the size is the problem – in reality, the systemic risk, regardless of size, is what we should be focused on. SDI is an accurate phrase, and appropriately pejorative.</blockquote><br />
<blockquote><b>3. <b>Take Congress back from Wall Street</b> </b>Whatever changes come, they will only be temporary if the current system of spoils is allowed to continue. The United States has become a “corporatocracy.” Campaign finance and lobbying money has so utterly corrupted Congress that we might as well put elected officials up for bid on eBay – that is how corrupted the system has become. We must become a democracy again, where one man one vote matters. To do that, Wall Street money must be taken out of the process.<br />
The Supreme Court has ruled repeatedly on campaign finance reform, finding against voters and in favor of corporate interests. The only way to take the government back is a Constitutional Amendment.</blockquote>Source: Barry Ritholtz<br />
<br />
saverio manzo<br />
<br />
<br />
--------------------------------------------------------------------------------<br />
<br />
<a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-ontario/insurance-quotes-ontario.php">Ontario car insurance</a> <br />
<cite class="tagline">SAVE on <a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-ontario/insurance-quotes-ontario.php">cheap car insurance</a> ontario </cite><br />
<cite class="tagline"><a href="http://financialconcepts.ca/index.html">Financial Planning advice</a> is important. </cite><br />
<cite class="tagline"><a href="http://www.biz-advisor.ca/">SMall Business help</a> here</cite><br />
<cite class="tagline"><a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-rate-ontario/car-insurance-quotes.php">car insurance quotes</a></cite><br />
<cite class="tagline"><a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-ontario/insurance-quotes-ontario.php">car insurance Ontario </a> </cite><br />
<cite class="tagline"><a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-toronto/insurance-quotes-toronto.php">Toronto car insurance</a> </cite><br />
<a href="http://feelgreengood.com/index.html"><cite class="tagline"></cite></a><a href="http://www.blogger.com/post-edit.g?blogID=2120115560231053017&postID=8615896138546952024">Feel Green Good </a><br />
<br />
<b><b><a href="http://www.thinkinsure.ca/news/tips_page.php?tips_id=55"><b>Ontario Car insurance for High Risk Drivers </b> — 09/16/11</a> </b></b><br />
<div style="line-height: 15px;"><b><b>Whether you are currently shopping around for Ontario car insurance, your policy is about to expire, something in your record has changed, you’re looking to save money on your current policy or you have been refused car insurance coverage, a policy is out there for you. Here’s how to get your coverage with the best car insurance quote in Ontario<br />
<a href="http://www.thinkinsure.ca/news/tips_page.php?tips_id=55" style="color: #ff6600;">> Read more</a></b></b></div><cite class="tagline"> </cite><br />
<cite class="tagline"><a href="http://www.blogger.com/post-edit.g?blogID=2120115560231053017&postID=8615896138546952024"> </a> </cite>Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0tag:blogger.com,1999:blog-2120115560231053017.post-86158961385469520242011-09-18T22:43:00.000-04:002011-09-18T22:43:58.724-04:00Apprenticed Investor: Know ThyselfStatistical evidence suggests a high probability that you underperformed the broader market last year, and most investors will likely underperform again this year. But it’s not just retail investors. The pros are barely any better. In fact, four out of five investors will do worse than the <strong>S&P 500 </strong>this year.<br />
The problem, it seems, is a design flaw.<br />
<br />
Indeed, many classic investor errors — overtrading, groupthink, panic selling, marrying positions (i.e., refusing to sell), chasing stocks, rationalizing, freezing up — are mostly due to our genetic makeup. Humans have evolved to survive in a harsh, competitive landscape. To do well in the capital markets, on the other hand, requires a skill set that is very often the antithesis of those innate survival instincts.<br />
Why is that? The problems lay primarily in our large mammalian brains. It is actually better at some things than you may realize, but (unfortunately) much worse at many others you are unaware of. Most people are unaware they even have these (for lack of a better word) “defects.” The fact is, when it comes to investing, humans just ain’t built for it.<br />
<h4>Psychology Vs. Economics</h4>In order to understand how humans invest requires more than the study of economics; one also needs to comprehend behavioral psychology. Combining both cognitive science and behavioral economics can yield powerful insights into the conduct of investors.<br />
I recommend Cornell professor Thomas Gilovich’s book <a href="http://www.amazon.com/exec/obidos/ASIN/0029117062/thebigpictu09-20" rel="nofollow" target="_blank"><em>How We Know What Isn’t So</em></a> to investors all the time. The professor’s contribution to the investment community is his study of human reasoning errors. More specifically, Gilovich studies the inherent biases and faulty thinking endemic to all us humans. These faulty analyses are pretty much hard-wired into our species.<br />
How do these defects manifest themselves? In all too many ways: Humans have a tendency to see order in randomness. We find patterns where none exist. While that trait might have helped a baby recognize its parents (thereby improving the odds for its survival), seeing patterns where none exist is counter-productive when it comes to investing.<br />
We also selectively perceive data, hoping to find something that confirms our prior views. We ignore data that contradicts those prior views. We even reinterpret old evidence so it is more in sync with our perspective. Then, we only selectively remember those things that support our case. Last, we overuse Heuristics, which is defined as simple, efficient rules of thumb that have been proposed to explain how people make decisions, come to judgments and solve problems, typically when facing complex problems or incomplete information (call them mental short cuts). These short cuts often generate “systematic errors” or blind spots in our analytical reasoning.<br />
And that’s only a partial list of analytical imperfections you have inherited.<br />
The good news: These defects can be overcome.<br />
We can develop an awareness of these specific defects, and we can learn to employ strategies that attempt to overcome these inherent analytical shortcomings.<br />
<h4>What Have You Learned in the Past 2 Seconds?</h4>Let’s place these defects into a historical framework within the context of the capital markets. My favorite illustration as to why humans simply aren’t hard-wired to undertake risk/reward analysis in capital markets comes from Michael Mauboussin, Legg Mason Funds’ chief investment strategist.<br />
Mauboussin takes our evolutionary argument — the mind is better suited for hunting and gathering than it is for understanding Bayesian analysis — and places it into a chronological context. In an article titled <a href="http://capatcolumbia.com/Articles/FoFinance/Fof2.pdf" rel="nofollow" target="_blank"><em>What Have You Learned in the Past 2 Seconds?</em></a>, he creates a timeline of human history scaled to equal one day.<br />
He starts at the beginning: <em>Homo Sapiens</em> came into existence 2 million years ago. Next, Mitochondrial Eve, the common female ancestor among all living humans, lived less than 200,000 years ago. Last, he notes that modern finance theory, the framework to which investors are supposed to adhere, was formalized about 40 years ago. If all of human history were a day long, then investing is only about two seconds old. Is it any surprise that most humans do it so poorly? The vast majority of human history has been spent learning to survive, not analyze P/E ratios.<br />
Learning to fight nature won’t be easy. To outperform, you sometimes must go against the crowd, despite the appeal and seeming safety in numbers. You must be humble and willing to admit error; meaning you’ll have to overcome your ego’s predisposition to avoid embarrassment, so as to maintain status amongst your tribe (and thereby enhance survival probabilities).<br />
Most investors are overconfident to a fault. Don’t believe me? Consider the following anecdote: A man was terrified to fly, yet thought nothing of roaring down the street — sans helmet, no less — on his Harley. That reveals a high degree of confidence in his own skills vs. a highly trained pilot’s. That’s some <a href="http://www.thinkinsure.ca/news/tips_page.php?tips_id=55">risk</a>-analysis engine you got there, bub.<br />
That blind faith in our own abilities may have come in handy on mammoth hunts, but it is hardly beneficial when to comes to picking stocks. And that’s before we even get to the “flight or fight” response. Our natural instinct during periods of volatility is to stop the pain, not to endure it with patience. The natural reactions to discomfort or threat — coupled with a natural inability to be patient — doesn’t serve us well in the market. During market bottoms, most of the herd is selling. To buy during periods of intense selling means leaving the safety of the crowd, standing out, risking humiliation.<br />
We simply were not designed for that.<br />
<h4>Why Not Just Index?</h4>This overconfidence leads to the optimistic yet misguided belief that most of us can beat the market. We must believe we can outperform the major indices. Otherwise, the rational thing to do would be to simply buy a major index and forget about it.<br />
A few recent studies support those conclusions. One in USA Today found that <a href="http://www.usatoday.com/money/perfi/general/2005-03-23-investing-cover_x.htm" rel="nofollow" target="_blank">most people are no good at investing</a>, and another in <em>The New York Times</em> revealed that people have a poor grasp of <a href="http://www.nytimes.com/2005/04/27/business/27survey.html?ex=1272254400&en=8bfe7b27304f698b&ei=5090&partner=rssuserland&emc=rss" rel="nofollow" target="_blank">basic economics</a>.<br />
Most investors — the 80% who underperform — would probably be better off going the index route. If you’re still interested in trying to outperform — despite all we discussed today — then I admire your gumption. Over the coming months, we will share some tools to do just that.<br />
~~~<br />
Next time, we will take a closer look at the competition. (Be afraid … be very afraid.)<br />
<br />
Barry Ritholtz, The Big Picture<br />
<br />
Saverio Manzo<br />
<br />
<br />
--------------------------------------------------------------------------------<br />
<br />
<a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-ontario/insurance-quotes-ontario.php">Ontario car insurance</a> <br />
<cite class="tagline">SAVE on <a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-ontario/insurance-quotes-ontario.php">cheap car insurance</a> ontario </cite><br />
<cite class="tagline"><a href="http://financialconcepts.ca/index.html">Financial Planning advice</a> is important. </cite><br />
<cite class="tagline"><a href="http://www.biz-advisor.ca/">SMall Business help</a> here</cite><br />
<cite class="tagline"><a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-rate-ontario/car-insurance-quotes.php">car insurance quotes</a></cite><br />
<cite class="tagline"><a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-ontario/insurance-quotes-ontario.php">car insurance Ontario </a> </cite><br />
<cite class="tagline"><a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-toronto/insurance-quotes-toronto.php">Toronto car insurance</a> </cite><br />
<a href="http://feelgreengood.com/index.html"><cite class="tagline"></cite></a><a href="">Feel Green Good </a><br />
<br />
<b><b><a href="http://www.thinkinsure.ca/news/tips_page.php?tips_id=55"><span><b>Ontario Car insurance for High Risk Drivers </b></span> — <span>09/16/11</span></a> </b></b><br />
<div style="line-height: 15px;"><b><b>Whether you are currently shopping around for Ontario car insurance, your policy is about to expire, something in your record has changed, you’re looking to save money on your current policy or you have been refused car insurance coverage, a policy is out there for you. Here’s how to get your coverage with the best car insurance quote in Ontario<br />
<a href="http://www.thinkinsure.ca/news/tips_page.php?tips_id=55" style="color: #ff6600;">> Read more</a></b></b></div><cite class="tagline"> </cite><br />
<cite class="tagline"><a href=""> </a> </cite>Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com1tag:blogger.com,1999:blog-2120115560231053017.post-81254059556762479152011-08-20T09:34:00.000-04:002011-08-20T09:34:38.880-04:00The Psyche of the current state of the average investor<!--[if gte mso 9]><xml> <o:OfficeDocumentSettings> <o:AllowPNG/> </o:OfficeDocumentSettings> </xml><![endif]--><!--[if gte mso 9]><xml> <w:WordDocument> <w:View>Normal</w:View> <w:Zoom>0</w:Zoom> <w:TrackMoves/> <w:TrackFormatting/> <w:PunctuationKerning/> <w:ValidateAgainstSchemas/> <w:SaveIfXMLInvalid>false</w:SaveIfXMLInvalid> <w:IgnoreMixedContent>false</w:IgnoreMixedContent> <w:AlwaysShowPlaceholderText>false</w:AlwaysShowPlaceholderText> <w:DoNotPromoteQF/> <w:LidThemeOther>EN-US</w:LidThemeOther> <w:LidThemeAsian>X-NONE</w:LidThemeAsian> <w:LidThemeComplexScript>X-NONE</w:LidThemeComplexScript> <w:Compatibility> <w:BreakWrappedTables/> <w:SnapToGridInCell/> <w:WrapTextWithPunct/> <w:UseAsianBreakRules/> <w:DontGrowAutofit/> <w:SplitPgBreakAndParaMark/> <w:EnableOpenTypeKerning/> <w:DontFlipMirrorIndents/> <w:OverrideTableStyleHps/> </w:Compatibility> <m:mathPr> <m:mathFont m:val="Cambria Math"/> <m:brkBin m:val="before"/> <m:brkBinSub m:val="--"/> <m:smallFrac m:val="off"/> <m:dispDef/> <m:lMargin m:val="0"/> <m:rMargin m:val="0"/> <m:defJc m:val="centerGroup"/> <m:wrapIndent m:val="1440"/> <m:intLim m:val="subSup"/> <m:naryLim m:val="undOvr"/> </m:mathPr></w:WordDocument> </xml><![endif]--><!--[if gte mso 9]><xml> <w:LatentStyles DefLockedState="false" DefUnhideWhenUsed="true"
DefSemiHidden="true" DefQFormat="false" DefPriority="99"
LatentStyleCount="267"> <w:LsdException Locked="false" Priority="0" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Normal"/> <w:LsdException Locked="false" Priority="9" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="heading 1"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 2"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 3"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 4"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 5"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 6"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 7"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 8"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 9"/> <w:LsdException Locked="false" Priority="39" Name="toc 1"/> <w:LsdException Locked="false" Priority="39" Name="toc 2"/> <w:LsdException Locked="false" Priority="39" Name="toc 3"/> <w:LsdException Locked="false" Priority="39" Name="toc 4"/> <w:LsdException Locked="false" Priority="39" Name="toc 5"/> <w:LsdException Locked="false" Priority="39" Name="toc 6"/> <w:LsdException Locked="false" Priority="39" Name="toc 7"/> <w:LsdException Locked="false" Priority="39" Name="toc 8"/> <w:LsdException Locked="false" Priority="39" Name="toc 9"/> <w:LsdException Locked="false" Priority="35" QFormat="true" Name="caption"/> <w:LsdException Locked="false" Priority="10" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Title"/> <w:LsdException Locked="false" Priority="1" Name="Default Paragraph Font"/> <w:LsdException Locked="false" Priority="11" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Subtitle"/> <w:LsdException Locked="false" Priority="22" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Strong"/> <w:LsdException Locked="false" Priority="20" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Emphasis"/> <w:LsdException Locked="false" Priority="59" SemiHidden="false"
UnhideWhenUsed="false" Name="Table Grid"/> <w:LsdException Locked="false" UnhideWhenUsed="false" Name="Placeholder Text"/> <w:LsdException Locked="false" Priority="1" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="No Spacing"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 1"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 1"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 1"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 1"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 1"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 1"/> <w:LsdException Locked="false" UnhideWhenUsed="false" Name="Revision"/> <w:LsdException Locked="false" Priority="34" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="List Paragraph"/> <w:LsdException Locked="false" Priority="29" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Quote"/> <w:LsdException Locked="false" Priority="30" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Intense Quote"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 1"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 1"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 1"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 1"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 1"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 1"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 1"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 1"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 2"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 2"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 2"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 2"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 2"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 2"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 2"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 2"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 2"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 2"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 2"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 2"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 2"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 2"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 3"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 3"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 3"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 3"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 3"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 3"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 3"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 3"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 3"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 3"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 3"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 3"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 3"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 3"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 4"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 4"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 4"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 4"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 4"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 4"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 4"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 4"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 4"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 4"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 4"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 4"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 4"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 4"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 5"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 5"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 5"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 5"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 5"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 5"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 5"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 5"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 5"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 5"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 5"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 5"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 5"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 5"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 6"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 6"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 6"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 6"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 6"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 6"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 6"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 6"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 6"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 6"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 6"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 6"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 6"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 6"/> <w:LsdException Locked="false" Priority="19" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Subtle Emphasis"/> <w:LsdException Locked="false" Priority="21" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Intense Emphasis"/> <w:LsdException Locked="false" Priority="31" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Subtle Reference"/> <w:LsdException Locked="false" Priority="32" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Intense Reference"/> <w:LsdException Locked="false" Priority="33" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Book Title"/> <w:LsdException Locked="false" Priority="37" Name="Bibliography"/> <w:LsdException Locked="false" Priority="39" QFormat="true" Name="TOC Heading"/> </w:LatentStyles> </xml><![endif]--><!--[if gte mso 10]> <style>
/* Style Definitions */
table.MsoNormalTable
{mso-style-name:"Table Normal";
mso-tstyle-rowband-size:0;
mso-tstyle-colband-size:0;
mso-style-noshow:yes;
mso-style-priority:99;
mso-style-parent:"";
mso-padding-alt:0in 5.4pt 0in 5.4pt;
mso-para-margin-top:0in;
mso-para-margin-right:0in;
mso-para-margin-bottom:10.0pt;
mso-para-margin-left:0in;
line-height:115%;
mso-pagination:widow-orphan;
font-size:11.0pt;
font-family:"Calibri","sans-serif";
mso-ascii-font-family:Calibri;
mso-ascii-theme-font:minor-latin;
mso-hansi-font-family:Calibri;
mso-hansi-theme-font:minor-latin;
mso-bidi-font-family:"Times New Roman";
mso-bidi-theme-font:minor-bidi;}
</style> <![endif]--> <div style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif;"><span style="font-size: small;"><b>Buy on the dips? or sell on the short rallies? </b></span></div><div style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif;"><br />
</div><div style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif;"><span style="font-size: small;">Much has been made of the billions of dollars that small investors have been pulling out of stock funds. However, some $4 trillion sits there—and most people still aren't selling. Too frightened and angry to buy, they are simply watching with a sense of helpless horror. </span></div><span style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif; font-size: small;"> </span><div class="MsoNormal" style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif;"><br />
</div><div class="targetcaption" style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif;"><span style="font-size: small;">Greed may be good, but these days, investors are more likely to be consumed by another emotion: rage. Jason Zweig explains on The News Hub.</span></div><div class="targetcaption" style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif;"><br />
</div><!--[if gte mso 9]><xml> <o:OfficeDocumentSettings> <o:AllowPNG/> </o:OfficeDocumentSettings> </xml><![endif]--><!--[if gte mso 9]><xml> <w:WordDocument> <w:View>Normal</w:View> <w:Zoom>0</w:Zoom> <w:TrackMoves/> <w:TrackFormatting/> <w:PunctuationKerning/> <w:ValidateAgainstSchemas/> <w:SaveIfXMLInvalid>false</w:SaveIfXMLInvalid> <w:IgnoreMixedContent>false</w:IgnoreMixedContent> <w:AlwaysShowPlaceholderText>false</w:AlwaysShowPlaceholderText> <w:DoNotPromoteQF/> <w:LidThemeOther>EN-US</w:LidThemeOther> <w:LidThemeAsian>X-NONE</w:LidThemeAsian> <w:LidThemeComplexScript>X-NONE</w:LidThemeComplexScript> <w:Compatibility> <w:BreakWrappedTables/> <w:SnapToGridInCell/> <w:WrapTextWithPunct/> <w:UseAsianBreakRules/> <w:DontGrowAutofit/> <w:SplitPgBreakAndParaMark/> <w:EnableOpenTypeKerning/> <w:DontFlipMirrorIndents/> <w:OverrideTableStyleHps/> </w:Compatibility> <m:mathPr> <m:mathFont m:val="Cambria Math"/> <m:brkBin m:val="before"/> <m:brkBinSub m:val="--"/> <m:smallFrac m:val="off"/> <m:dispDef/> <m:lMargin m:val="0"/> <m:rMargin m:val="0"/> <m:defJc m:val="centerGroup"/> <m:wrapIndent m:val="1440"/> <m:intLim m:val="subSup"/> <m:naryLim m:val="undOvr"/> </m:mathPr></w:WordDocument> </xml><![endif]--><!--[if gte mso 9]><xml> <w:LatentStyles DefLockedState="false" DefUnhideWhenUsed="true"
DefSemiHidden="true" DefQFormat="false" DefPriority="99"
LatentStyleCount="267"> <w:LsdException Locked="false" Priority="0" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Normal"/> <w:LsdException Locked="false" Priority="9" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="heading 1"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 2"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 3"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 4"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 5"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 6"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 7"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 8"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 9"/> <w:LsdException Locked="false" Priority="39" Name="toc 1"/> <w:LsdException Locked="false" Priority="39" Name="toc 2"/> <w:LsdException Locked="false" Priority="39" Name="toc 3"/> <w:LsdException Locked="false" Priority="39" Name="toc 4"/> <w:LsdException Locked="false" Priority="39" Name="toc 5"/> <w:LsdException Locked="false" Priority="39" Name="toc 6"/> <w:LsdException Locked="false" Priority="39" Name="toc 7"/> <w:LsdException Locked="false" Priority="39" Name="toc 8"/> <w:LsdException Locked="false" Priority="39" Name="toc 9"/> <w:LsdException Locked="false" Priority="35" QFormat="true" Name="caption"/> <w:LsdException Locked="false" Priority="10" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Title"/> <w:LsdException Locked="false" Priority="1" Name="Default Paragraph Font"/> <w:LsdException Locked="false" Priority="11" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Subtitle"/> <w:LsdException Locked="false" Priority="22" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Strong"/> <w:LsdException Locked="false" Priority="20" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Emphasis"/> <w:LsdException Locked="false" Priority="59" SemiHidden="false"
UnhideWhenUsed="false" Name="Table Grid"/> <w:LsdException Locked="false" UnhideWhenUsed="false" Name="Placeholder Text"/> <w:LsdException Locked="false" Priority="1" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="No Spacing"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 1"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 1"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 1"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 1"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 1"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 1"/> <w:LsdException Locked="false" UnhideWhenUsed="false" Name="Revision"/> <w:LsdException Locked="false" Priority="34" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="List Paragraph"/> <w:LsdException Locked="false" Priority="29" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Quote"/> <w:LsdException Locked="false" Priority="30" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Intense Quote"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 1"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 1"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 1"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 1"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 1"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 1"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 1"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 1"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 2"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 2"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 2"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 2"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 2"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 2"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 2"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 2"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 2"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 2"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 2"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 2"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 2"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 2"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 3"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 3"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 3"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 3"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 3"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 3"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 3"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 3"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 3"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 3"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 3"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 3"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 3"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 3"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 4"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 4"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 4"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 4"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 4"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 4"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 4"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 4"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 4"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 4"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 4"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 4"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 4"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 4"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 5"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 5"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 5"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 5"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 5"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 5"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 5"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 5"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 5"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 5"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 5"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 5"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 5"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 5"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 6"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 6"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 6"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 6"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 6"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 6"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 6"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 6"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 6"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 6"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 6"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 6"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 6"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 6"/> <w:LsdException Locked="false" Priority="19" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Subtle Emphasis"/> <w:LsdException Locked="false" Priority="21" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Intense Emphasis"/> <w:LsdException Locked="false" Priority="31" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Subtle Reference"/> <w:LsdException Locked="false" Priority="32" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Intense Reference"/> <w:LsdException Locked="false" Priority="33" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Book Title"/> <w:LsdException Locked="false" Priority="37" Name="Bibliography"/> <w:LsdException Locked="false" Priority="39" QFormat="true" Name="TOC Heading"/> </w:LatentStyles> </xml><![endif]--><!--[if gte mso 10]> <style>
/* Style Definitions */
table.MsoNormalTable
{mso-style-name:"Table Normal";
mso-tstyle-rowband-size:0;
mso-tstyle-colband-size:0;
mso-style-noshow:yes;
mso-style-priority:99;
mso-style-parent:"";
mso-padding-alt:0in 5.4pt 0in 5.4pt;
mso-para-margin-top:0in;
mso-para-margin-right:0in;
mso-para-margin-bottom:10.0pt;
mso-para-margin-left:0in;
line-height:115%;
mso-pagination:widow-orphan;
font-size:11.0pt;
font-family:"Calibri","sans-serif";
mso-ascii-font-family:Calibri;
mso-ascii-theme-font:minor-latin;
mso-hansi-font-family:Calibri;
mso-hansi-theme-font:minor-latin;
mso-bidi-font-family:"Times New Roman";
mso-bidi-theme-font:minor-bidi;}
</style> <![endif]--><span style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif; font-size: small;"> </span><div style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif;"><span style="font-size: small;">The mood of investors is at least as bad as in the darkest days of early 2009, when the financial world itself seemed about to end.</span></div><div style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif;"><br />
</div><div style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif;"> <span style="font-size: small;"><span style="line-height: 115%;">The old Wall Street cliché that "money chases performance" may need to be revised. Individual investors didn't pile into the stock market even as it roughly doubled in the 12 months after March 2009; nor, in this slump, are most investors abandoning stocks or making major portfolio changes.</span></span></div><div style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif;"><br />
</div><!--[if gte mso 9]><xml> <o:OfficeDocumentSettings> <o:AllowPNG/> </o:OfficeDocumentSettings> </xml><![endif]--><!--[if gte mso 9]><xml> <w:WordDocument> <w:View>Normal</w:View> <w:Zoom>0</w:Zoom> <w:TrackMoves/> <w:TrackFormatting/> <w:PunctuationKerning/> <w:ValidateAgainstSchemas/> <w:SaveIfXMLInvalid>false</w:SaveIfXMLInvalid> <w:IgnoreMixedContent>false</w:IgnoreMixedContent> <w:AlwaysShowPlaceholderText>false</w:AlwaysShowPlaceholderText> <w:DoNotPromoteQF/> <w:LidThemeOther>EN-US</w:LidThemeOther> <w:LidThemeAsian>X-NONE</w:LidThemeAsian> <w:LidThemeComplexScript>X-NONE</w:LidThemeComplexScript> <w:Compatibility> <w:BreakWrappedTables/> <w:SnapToGridInCell/> <w:WrapTextWithPunct/> <w:UseAsianBreakRules/> <w:DontGrowAutofit/> <w:SplitPgBreakAndParaMark/> <w:EnableOpenTypeKerning/> <w:DontFlipMirrorIndents/> <w:OverrideTableStyleHps/> </w:Compatibility> <m:mathPr> <m:mathFont m:val="Cambria Math"/> <m:brkBin m:val="before"/> <m:brkBinSub m:val="--"/> <m:smallFrac m:val="off"/> <m:dispDef/> <m:lMargin m:val="0"/> <m:rMargin m:val="0"/> <m:defJc m:val="centerGroup"/> <m:wrapIndent m:val="1440"/> <m:intLim m:val="subSup"/> <m:naryLim m:val="undOvr"/> </m:mathPr></w:WordDocument> </xml><![endif]--><!--[if gte mso 9]><xml> <w:LatentStyles DefLockedState="false" DefUnhideWhenUsed="true"
DefSemiHidden="true" DefQFormat="false" DefPriority="99"
LatentStyleCount="267"> <w:LsdException Locked="false" Priority="0" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Normal"/> <w:LsdException Locked="false" Priority="9" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="heading 1"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 2"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 3"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 4"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 5"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 6"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 7"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 8"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 9"/> <w:LsdException Locked="false" Priority="39" Name="toc 1"/> <w:LsdException Locked="false" Priority="39" Name="toc 2"/> <w:LsdException Locked="false" Priority="39" Name="toc 3"/> <w:LsdException Locked="false" Priority="39" Name="toc 4"/> <w:LsdException Locked="false" Priority="39" Name="toc 5"/> <w:LsdException Locked="false" Priority="39" Name="toc 6"/> <w:LsdException Locked="false" Priority="39" Name="toc 7"/> <w:LsdException Locked="false" Priority="39" Name="toc 8"/> <w:LsdException Locked="false" Priority="39" Name="toc 9"/> <w:LsdException Locked="false" Priority="35" QFormat="true" Name="caption"/> <w:LsdException Locked="false" Priority="10" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Title"/> <w:LsdException Locked="false" Priority="1" Name="Default Paragraph Font"/> <w:LsdException Locked="false" Priority="11" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Subtitle"/> <w:LsdException Locked="false" Priority="22" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Strong"/> <w:LsdException Locked="false" Priority="20" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Emphasis"/> <w:LsdException Locked="false" Priority="59" SemiHidden="false"
UnhideWhenUsed="false" Name="Table Grid"/> <w:LsdException Locked="false" UnhideWhenUsed="false" Name="Placeholder Text"/> <w:LsdException Locked="false" Priority="1" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="No Spacing"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 1"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 1"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 1"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 1"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 1"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 1"/> <w:LsdException Locked="false" UnhideWhenUsed="false" Name="Revision"/> <w:LsdException Locked="false" Priority="34" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="List Paragraph"/> <w:LsdException Locked="false" Priority="29" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Quote"/> <w:LsdException Locked="false" Priority="30" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Intense Quote"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 1"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 1"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 1"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 1"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 1"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 1"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 1"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 1"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 2"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 2"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 2"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 2"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 2"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 2"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 2"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 2"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 2"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 2"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 2"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 2"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 2"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 2"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 3"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 3"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 3"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 3"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 3"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 3"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 3"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 3"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 3"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 3"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 3"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 3"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 3"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 3"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 4"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 4"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 4"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 4"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 4"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 4"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 4"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 4"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 4"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 4"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 4"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 4"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 4"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 4"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 5"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 5"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 5"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 5"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 5"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 5"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 5"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 5"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 5"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 5"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 5"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 5"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 5"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 5"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 6"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 6"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 6"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 6"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 6"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 6"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 6"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 6"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 6"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 6"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 6"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 6"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 6"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 6"/> <w:LsdException Locked="false" Priority="19" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Subtle Emphasis"/> <w:LsdException Locked="false" Priority="21" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Intense Emphasis"/> <w:LsdException Locked="false" Priority="31" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Subtle Reference"/> <w:LsdException Locked="false" Priority="32" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Intense Reference"/> <w:LsdException Locked="false" Priority="33" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Book Title"/> <w:LsdException Locked="false" Priority="37" Name="Bibliography"/> <w:LsdException Locked="false" Priority="39" QFormat="true" Name="TOC Heading"/> </w:LatentStyles> </xml><![endif]--><!--[if gte mso 10]> <style>
/* Style Definitions */
table.MsoNormalTable
{mso-style-name:"Table Normal";
mso-tstyle-rowband-size:0;
mso-tstyle-colband-size:0;
mso-style-noshow:yes;
mso-style-priority:99;
mso-style-parent:"";
mso-padding-alt:0in 5.4pt 0in 5.4pt;
mso-para-margin-top:0in;
mso-para-margin-right:0in;
mso-para-margin-bottom:10.0pt;
mso-para-margin-left:0in;
line-height:115%;
mso-pagination:widow-orphan;
font-size:11.0pt;
font-family:"Calibri","sans-serif";
mso-ascii-font-family:Calibri;
mso-ascii-theme-font:minor-latin;
mso-hansi-font-family:Calibri;
mso-hansi-theme-font:minor-latin;
mso-bidi-font-family:"Times New Roman";
mso-bidi-theme-font:minor-bidi;}
</style> <![endif]--><span style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif; font-size: small;"> </span><div style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif;"><span style="font-size: small;">People seem to feel like bystanders in their own financial lives—almost as if they were spectators at a racetrack equally incapable of stopping an impending car crash and of tearing their eyes away from it. </span></div><span style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif; font-size: small;"> </span><div style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif;"><span style="font-size: small;">Two-thirds of the investors in the Decision Research survey said they had spent at least one hour a day over the previous week following the financial news. Yet a mere 6% bothered to call a financial expert for advice. And fully 51% of the investors said they hadn't even checked the performance of their own portfolios.</span></div><div style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif;"><br />
</div><span style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif; font-size: small;"> <span style="line-height: 115%;">Nearly two-thirds of investors in the survey said they didn't plan to make any changes to their stocks and mutual funds over the next 12 months. Only 10% said they had changed their investments in the previous week to reduce risk—down by half from the same survey in September 2008. Just 6% said they had taken riskier positions in response to the market turmoil.</span></span><div style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif;"><br />
</div><div style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif;"><span style="font-size: small;"><span style="line-height: 115%;">A typical comment, "</span></span>I feel anger and distrust toward the government and the markets alike. "All the Federal Reserve does is look at the stock market and the big banks and figure out how to bail them out with my money," he says. "Then the bankers pay my money out to themselves as bonuses while the Fed keeps on depreciating all the savings that I worked so hard to build up all these years." </div><div style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif;"><br />
</div>In the short run, it always feels better to be a buyer when the market is euphoric; in the long run, the investors who make the most money are those who buy when the market is miserable. For investors full of anger and fear, however, benign neglect might be the best they can muster.<div style="font-family: "Helvetica Neue",Arial,Helvetica,sans-serif;"><span style="font-size: small;"><span style="line-height: 115%;"> </span></span></div><br />
<span style="font-family: "Calibri","sans-serif"; font-size: 11pt; line-height: 115%;"> Source: </span><cite class="tagline">Jason Zweig, WSJ Online</cite><br />
<cite class="tagline"><br />
</cite><br />
<cite class="tagline"><br />
</cite><br />
<cite class="tagline">.</cite><br />
<cite class="tagline">SAVE on <a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-ontario/insurance-quotes-ontario.php">cheap car insurance</a> ontario </cite><br />
<cite class="tagline"><a href="http://financialconcepts.ca/index.html">Financial Planning advice</a> is important. </cite><br />
<cite class="tagline"><a href="http://www.biz-advisor.ca/">SMall Business help</a> here</cite><br />
<cite class="tagline"><a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-rate-ontario/car-insurance-quotes.php">car insurance quotes</a> </cite><br />
<br />
Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0tag:blogger.com,1999:blog-2120115560231053017.post-28455720164086051672011-07-29T01:18:00.000-04:002011-07-29T01:18:59.358-04:00Its all about jobs, dummy. Such a simple cure for so many problems<b>Note to politicians at all levels: create jobs! </b><br />
<br />
I wrote some time ago that jobs - people like you and me - being "employed" or in some legal fashion earning some form of reliable income - is the sure to many, many societal and economic problems. In my report, I emphasized the human nature aspect to jobs - the animal spirits within. Having a job is such an incredible part of who we are, and for good reason. But the bottom line is that by humans having a job, we gain on our ever so fragile self esteem (especially men), we provide for our families and this all leads to confidence - in spending. Spending begets company expansion, economic expansion and .... more job growth. Its no mystery. Just put policies in place to create jobs, oh dear politicians.<br />
<br />
I keep hearing that what is holding U.S. businesses back from expanding and hiring is “uncertainty.” Exactly what new types of uncertainty businesses face in the current environment vs. past environments is rarely spelled out. But if, in fact, businesses are paralyzed due to uncertainty, I would not expect them to be stepping up their purchases of capital equipment. After all, capital equipment has a relatively long life. If businesses were unusually uncertain about the long-term outlook, they would be more reluctant to make longer-term commitments, which the purchase of capital equipment is. Rather, if businesses were unusually uncertain about the future, they might be more inclined to hire workers, who, after all, can be dismissed on short notice if conditions were to change suddenly. But just the opposite seems to be happening. Business hiring remains weak and business capital spending is robust.<br />
<br />
I have my thoughts on this US debt crisis....and I am planning on writing about it soon ...probably gonna call it "How to deal with excessive government spending and debt...for dummies". Again, here, the solution is simple and mildly painful.<br />
<br />
Saverio Manzo<br />
<br />
+++++++++++++++++++++++<br />
.<br />
It makes good, practical sense to shop around before making any purchase and car insurance is no exception. If you are a driver in Ontario, we make the task of finding competitive, cheap auto insurance rates quick, easy and painless.SAVE NOW on <a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-toronto/insurance-quotes-toronto.php">car auto insurance</a> in <a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-ontario/insurance-quotes-ontario.php">Ontario</a>, <a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-toronto/insurance-quotes-toronto.php">Toronto</a> with free quotes at <br />
<a href="http://financialconcepts.ca/index.html">Earn more</a><br />
<a href="http://www.biz-advisor.ca/">Keep growth</a><br />
<a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-ontario/insurance-quotes-ontario.php">Ontario car insurance </a><br />
<br />
<br />
<br />
Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0tag:blogger.com,1999:blog-2120115560231053017.post-65665975614128810652011-07-09T10:25:00.000-04:002011-07-09T10:25:44.386-04:00So whats the longer-term outlook for Oil and car gas?<!--[if gte mso 9]><xml> <o:OfficeDocumentSettings> <o:AllowPNG/> </o:OfficeDocumentSettings> </xml><![endif]--><!--[if gte mso 9]><xml> <w:WordDocument> <w:View>Normal</w:View> <w:Zoom>0</w:Zoom> <w:TrackMoves/> <w:TrackFormatting/> <w:PunctuationKerning/> <w:ValidateAgainstSchemas/> <w:SaveIfXMLInvalid>false</w:SaveIfXMLInvalid> <w:IgnoreMixedContent>false</w:IgnoreMixedContent> <w:AlwaysShowPlaceholderText>false</w:AlwaysShowPlaceholderText> <w:DoNotPromoteQF/> <w:LidThemeOther>EN-US</w:LidThemeOther> <w:LidThemeAsian>X-NONE</w:LidThemeAsian> <w:LidThemeComplexScript>X-NONE</w:LidThemeComplexScript> <w:Compatibility> <w:BreakWrappedTables/> <w:SnapToGridInCell/> <w:WrapTextWithPunct/> <w:UseAsianBreakRules/> <w:DontGrowAutofit/> <w:SplitPgBreakAndParaMark/> <w:EnableOpenTypeKerning/> <w:DontFlipMirrorIndents/> <w:OverrideTableStyleHps/> </w:Compatibility> <m:mathPr> <m:mathFont m:val="Cambria Math"/> <m:brkBin m:val="before"/> <m:brkBinSub m:val="--"/> <m:smallFrac m:val="off"/> <m:dispDef/> <m:lMargin m:val="0"/> <m:rMargin m:val="0"/> <m:defJc m:val="centerGroup"/> <m:wrapIndent m:val="1440"/> <m:intLim m:val="subSup"/> <m:naryLim m:val="undOvr"/> </m:mathPr></w:WordDocument> </xml><![endif]--><!--[if gte mso 9]><xml> <w:LatentStyles DefLockedState="false" DefUnhideWhenUsed="true"
DefSemiHidden="true" DefQFormat="false" DefPriority="99"
LatentStyleCount="267"> <w:LsdException Locked="false" Priority="0" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Normal"/> <w:LsdException Locked="false" Priority="9" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="heading 1"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 2"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 3"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 4"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 5"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 6"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 7"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 8"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 9"/> <w:LsdException Locked="false" Priority="39" Name="toc 1"/> <w:LsdException Locked="false" Priority="39" Name="toc 2"/> <w:LsdException Locked="false" Priority="39" Name="toc 3"/> <w:LsdException Locked="false" Priority="39" Name="toc 4"/> <w:LsdException Locked="false" Priority="39" Name="toc 5"/> <w:LsdException Locked="false" Priority="39" Name="toc 6"/> <w:LsdException Locked="false" Priority="39" Name="toc 7"/> <w:LsdException Locked="false" Priority="39" Name="toc 8"/> <w:LsdException Locked="false" Priority="39" Name="toc 9"/> <w:LsdException Locked="false" Priority="35" QFormat="true" Name="caption"/> <w:LsdException Locked="false" Priority="10" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Title"/> <w:LsdException Locked="false" Priority="1" Name="Default Paragraph Font"/> <w:LsdException Locked="false" Priority="11" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Subtitle"/> <w:LsdException Locked="false" Priority="22" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Strong"/> <w:LsdException Locked="false" Priority="20" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Emphasis"/> <w:LsdException Locked="false" Priority="59" SemiHidden="false"
UnhideWhenUsed="false" Name="Table Grid"/> <w:LsdException Locked="false" UnhideWhenUsed="false" Name="Placeholder Text"/> <w:LsdException Locked="false" Priority="1" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="No Spacing"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 1"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 1"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 1"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 1"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 1"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 1"/> <w:LsdException Locked="false" UnhideWhenUsed="false" Name="Revision"/> <w:LsdException Locked="false" Priority="34" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="List Paragraph"/> <w:LsdException Locked="false" Priority="29" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Quote"/> <w:LsdException Locked="false" Priority="30" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Intense Quote"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 1"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 1"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 1"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 1"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 1"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 1"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 1"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 1"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 2"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 2"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 2"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 2"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 2"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 2"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 2"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 2"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 2"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 2"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 2"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 2"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 2"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 2"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 3"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 3"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 3"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 3"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 3"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 3"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 3"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 3"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 3"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 3"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 3"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 3"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 3"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 3"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 4"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 4"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 4"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 4"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 4"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 4"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 4"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 4"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 4"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 4"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 4"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 4"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 4"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 4"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 5"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 5"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 5"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 5"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 5"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 5"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 5"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 5"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 5"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 5"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 5"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 5"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 5"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 5"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 6"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 6"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 6"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 6"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 6"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 6"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 6"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 6"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 6"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 6"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 6"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 6"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 6"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 6"/> <w:LsdException Locked="false" Priority="19" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Subtle Emphasis"/> <w:LsdException Locked="false" Priority="21" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Intense Emphasis"/> <w:LsdException Locked="false" Priority="31" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Subtle Reference"/> <w:LsdException Locked="false" Priority="32" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Intense Reference"/> <w:LsdException Locked="false" Priority="33" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Book Title"/> <w:LsdException Locked="false" Priority="37" Name="Bibliography"/> <w:LsdException Locked="false" Priority="39" QFormat="true" Name="TOC Heading"/> </w:LatentStyles> </xml><![endif]--><!--[if gte mso 10]> <style>
/* Style Definitions */
table.MsoNormalTable
{mso-style-name:"Table Normal";
mso-tstyle-rowband-size:0;
mso-tstyle-colband-size:0;
mso-style-noshow:yes;
mso-style-priority:99;
mso-style-parent:"";
mso-padding-alt:0in 5.4pt 0in 5.4pt;
mso-para-margin-top:0in;
mso-para-margin-right:0in;
mso-para-margin-bottom:10.0pt;
mso-para-margin-left:0in;
line-height:115%;
mso-pagination:widow-orphan;
font-size:11.0pt;
font-family:"Calibri","sans-serif";
mso-ascii-font-family:Calibri;
mso-ascii-theme-font:minor-latin;
mso-hansi-font-family:Calibri;
mso-hansi-theme-font:minor-latin;
mso-bidi-font-family:"Times New Roman";
mso-bidi-theme-font:minor-bidi;}
</style> <![endif]--> <div class="MsoNormal"><b>A slowing economy and massive government intervention and the price of WTI oil and <a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-ontario/insurance-quotes-ontario.php">gas for cars</a> is still near a 3-year high. What gives?</b></div><div class="MsoNormal"><br />
</div><div class="MsoNormal">Unlike past bubble pricing in <a href="http://financialconcepts.ca/index.html">financial assets</a>, crude oil futures potentially have an element of reality to them because arbitrage opportunities exist between notional and delivery pricing when spreads get too wide. Within this context, consider the long term trend. WTI futures reached a peak of $145/barrel in 2008 before plunging to $45/barrel, traded mostly above $80/barrel since June 2009, above $90/barrel since December 2010, and above $100/barrel from February through mid-June of this year. <em><span style="font-family: "Calibri","sans-serif"; mso-ascii-theme-font: minor-latin; mso-bidi-font-family: "Times New Roman"; mso-bidi-theme-font: minor-bidi; mso-hansi-theme-font: minor-latin;">Crude oil is in the midst of a multi-year bull market based on fundamentals</span></em>. Unlike past bubble pricing in financial assets, crude oil futures potentially have an element of reality to them because arbitrage opportunities exist between notional and delivery pricing when spreads get too wide. Within this context, consider the long term trend. WTI futures reached a peak of $145/barrel in 2008 before plunging to $45/barrel, traded mostly above $80/barrel since June 2009, above $90/barrel since December 2010, and above $100/barrel from February through mid-June of this year. <em><span style="font-family: "Calibri","sans-serif"; mso-ascii-theme-font: minor-latin; mso-bidi-font-family: "Times New Roman"; mso-bidi-theme-font: minor-bidi; mso-hansi-theme-font: minor-latin;">Crude oil is in the midst of a multi-year bull market based on fundamentals</span></em>.</div><div class="MsoNormal"><br />
</div><div class="MsoNormal"><i><b>The math:<span style="mso-spacerun: yes;"> </span>$100 in the price of crude WTI = approximately $1.30 per liter (average across Canada)</b></i></div><div class="MsoNormal"><br />
</div><div class="MsoNormal">From our seat, the regional market gears are working smoothly. <em><span style="font-family: "Calibri","sans-serif"; mso-ascii-theme-font: minor-latin; mso-bidi-font-family: "Times New Roman"; mso-bidi-theme-font: minor-bidi; mso-hansi-theme-font: minor-latin;">The globe is still short to the tune of 1.0-1.5 million barrels per day and no new meaningful supply will be added before 2015, as we forecast it</span></em>.”</div><div class="MsoNormal"><br />
</div><div class="MsoNormal">Desperate times call for desperate measures.</div><div class="MsoNormal"><br />
</div><div class="MsoNormal">The marketplace is implying that a price range of $95 to $130/barrel is where supply meets demand (WTI & Brent) <em><span style="font-family: "Calibri","sans-serif"; mso-ascii-theme-font: minor-latin; mso-bidi-font-family: "Times New Roman"; mso-bidi-theme-font: minor-bidi; mso-hansi-theme-font: minor-latin;">at the current level of global base money</span></em>. This implies a <a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-rate-ontario/car-insurance-quotes.php">price of car</a> gas of $1.30 to $1.75 per liter.</div><div class="MsoNormal"><br />
</div><div class="MsoNormal">If one wants to blame financial markets for higher gas prices at the pump then one should blame high levels of overall market sponsorship, which derives directly from high levels of <a href="http://www.wealthconcepts.ca/index.html">investor leverage</a>, which in turn is generated directly by banks through their lending and prime brokerage divisions, which ultimately derives from easy global monetary conditions.</div><div class="MsoNormal"><br />
</div><div class="MsoNormal">So we think that the <a href="http://www.biz-advisor.ca/">global marketplace</a> for crude oil is naturally biased to trend towards pricing that global policy makers find problematic (too high vis-à-vis wages), and that global policy makers are desperately applying short-term fixes. They will lose. The marketplace reigns supreme over time whether or not there is temporary froth in futures markets.</div><div class="MsoNormal"><br />
</div><div class="MsoNormal">Excerpts and quotes from: Lee Quaintance & Paul Brodsky</div><div class="MsoNormal"><br />
</div><div class="MsoNormal"><a href="http://saveriomanzo.com/index.html">Saverio Manzo</a> </div><div class="MsoNormal"><br />
</div>Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0tag:blogger.com,1999:blog-2120115560231053017.post-67651221720257878222011-06-29T23:01:00.000-04:002011-06-29T23:01:32.864-04:00The Coming Population Bomb: 9 Billion and Counting<!--[if gte mso 9]><xml> <o:OfficeDocumentSettings> <o:AllowPNG/> </o:OfficeDocumentSettings> </xml><![endif]--><!--[if gte mso 9]><xml> <w:WordDocument> <w:View>Normal</w:View> <w:Zoom>0</w:Zoom> <w:TrackMoves/> <w:TrackFormatting/> <w:PunctuationKerning/> <w:ValidateAgainstSchemas/> <w:SaveIfXMLInvalid>false</w:SaveIfXMLInvalid> <w:IgnoreMixedContent>false</w:IgnoreMixedContent> <w:AlwaysShowPlaceholderText>false</w:AlwaysShowPlaceholderText> <w:DoNotPromoteQF/> <w:LidThemeOther>EN-US</w:LidThemeOther> <w:LidThemeAsian>X-NONE</w:LidThemeAsian> <w:LidThemeComplexScript>X-NONE</w:LidThemeComplexScript> <w:Compatibility> <w:BreakWrappedTables/> <w:SnapToGridInCell/> <w:WrapTextWithPunct/> <w:UseAsianBreakRules/> <w:DontGrowAutofit/> <w:SplitPgBreakAndParaMark/> <w:EnableOpenTypeKerning/> <w:DontFlipMirrorIndents/> <w:OverrideTableStyleHps/> </w:Compatibility> <m:mathPr> <m:mathFont m:val="Cambria Math"/> <m:brkBin m:val="before"/> <m:brkBinSub m:val="--"/> <m:smallFrac m:val="off"/> <m:dispDef/> <m:lMargin m:val="0"/> <m:rMargin m:val="0"/> <m:defJc m:val="centerGroup"/> <m:wrapIndent m:val="1440"/> <m:intLim m:val="subSup"/> <m:naryLim m:val="undOvr"/> </m:mathPr></w:WordDocument> </xml><![endif]--><!--[if gte mso 9]><xml> <w:LatentStyles DefLockedState="false" DefUnhideWhenUsed="true"
DefSemiHidden="true" DefQFormat="false" DefPriority="99"
LatentStyleCount="267"> <w:LsdException Locked="false" Priority="0" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Normal"/> <w:LsdException Locked="false" Priority="9" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="heading 1"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 2"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 3"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 4"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 5"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 6"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 7"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 8"/> <w:LsdException Locked="false" Priority="9" QFormat="true" Name="heading 9"/> <w:LsdException Locked="false" Priority="39" Name="toc 1"/> <w:LsdException Locked="false" Priority="39" Name="toc 2"/> <w:LsdException Locked="false" Priority="39" Name="toc 3"/> <w:LsdException Locked="false" Priority="39" Name="toc 4"/> <w:LsdException Locked="false" Priority="39" Name="toc 5"/> <w:LsdException Locked="false" Priority="39" Name="toc 6"/> <w:LsdException Locked="false" Priority="39" Name="toc 7"/> <w:LsdException Locked="false" Priority="39" Name="toc 8"/> <w:LsdException Locked="false" Priority="39" Name="toc 9"/> <w:LsdException Locked="false" Priority="35" QFormat="true" Name="caption"/> <w:LsdException Locked="false" Priority="10" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Title"/> <w:LsdException Locked="false" Priority="1" Name="Default Paragraph Font"/> <w:LsdException Locked="false" Priority="11" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Subtitle"/> <w:LsdException Locked="false" Priority="22" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Strong"/> <w:LsdException Locked="false" Priority="20" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Emphasis"/> <w:LsdException Locked="false" Priority="59" SemiHidden="false"
UnhideWhenUsed="false" Name="Table Grid"/> <w:LsdException Locked="false" UnhideWhenUsed="false" Name="Placeholder Text"/> <w:LsdException Locked="false" Priority="1" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="No Spacing"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 1"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 1"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 1"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 1"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 1"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 1"/> <w:LsdException Locked="false" UnhideWhenUsed="false" Name="Revision"/> <w:LsdException Locked="false" Priority="34" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="List Paragraph"/> <w:LsdException Locked="false" Priority="29" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Quote"/> <w:LsdException Locked="false" Priority="30" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Intense Quote"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 1"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 1"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 1"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 1"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 1"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 1"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 1"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 1"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 2"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 2"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 2"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 2"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 2"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 2"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 2"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 2"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 2"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 2"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 2"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 2"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 2"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 2"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 3"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 3"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 3"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 3"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 3"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 3"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 3"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 3"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 3"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 3"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 3"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 3"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 3"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 3"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 4"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 4"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 4"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 4"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 4"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 4"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 4"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 4"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 4"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 4"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 4"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 4"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 4"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 4"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 5"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 5"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 5"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 5"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 5"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 5"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 5"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 5"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 5"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 5"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 5"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 5"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 5"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 5"/> <w:LsdException Locked="false" Priority="60" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Shading Accent 6"/> <w:LsdException Locked="false" Priority="61" SemiHidden="false"
UnhideWhenUsed="false" Name="Light List Accent 6"/> <w:LsdException Locked="false" Priority="62" SemiHidden="false"
UnhideWhenUsed="false" Name="Light Grid Accent 6"/> <w:LsdException Locked="false" Priority="63" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 1 Accent 6"/> <w:LsdException Locked="false" Priority="64" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Shading 2 Accent 6"/> <w:LsdException Locked="false" Priority="65" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 1 Accent 6"/> <w:LsdException Locked="false" Priority="66" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium List 2 Accent 6"/> <w:LsdException Locked="false" Priority="67" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 1 Accent 6"/> <w:LsdException Locked="false" Priority="68" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 2 Accent 6"/> <w:LsdException Locked="false" Priority="69" SemiHidden="false"
UnhideWhenUsed="false" Name="Medium Grid 3 Accent 6"/> <w:LsdException Locked="false" Priority="70" SemiHidden="false"
UnhideWhenUsed="false" Name="Dark List Accent 6"/> <w:LsdException Locked="false" Priority="71" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Shading Accent 6"/> <w:LsdException Locked="false" Priority="72" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful List Accent 6"/> <w:LsdException Locked="false" Priority="73" SemiHidden="false"
UnhideWhenUsed="false" Name="Colorful Grid Accent 6"/> <w:LsdException Locked="false" Priority="19" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Subtle Emphasis"/> <w:LsdException Locked="false" Priority="21" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Intense Emphasis"/> <w:LsdException Locked="false" Priority="31" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Subtle Reference"/> <w:LsdException Locked="false" Priority="32" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Intense Reference"/> <w:LsdException Locked="false" Priority="33" SemiHidden="false"
UnhideWhenUsed="false" QFormat="true" Name="Book Title"/> <w:LsdException Locked="false" Priority="37" Name="Bibliography"/> <w:LsdException Locked="false" Priority="39" QFormat="true" Name="TOC Heading"/> </w:LatentStyles> </xml><![endif]--><!--[if gte mso 10]> <style>
/* Style Definitions */
table.MsoNormalTable
{mso-style-name:"Table Normal";
mso-tstyle-rowband-size:0;
mso-tstyle-colband-size:0;
mso-style-noshow:yes;
mso-style-priority:99;
mso-style-parent:"";
mso-padding-alt:0in 5.4pt 0in 5.4pt;
mso-para-margin-top:0in;
mso-para-margin-right:0in;
mso-para-margin-bottom:10.0pt;
mso-para-margin-left:0in;
line-height:115%;
mso-pagination:widow-orphan;
font-size:11.0pt;
font-family:"Calibri","sans-serif";
mso-ascii-font-family:Calibri;
mso-ascii-theme-font:minor-latin;
mso-hansi-font-family:Calibri;
mso-hansi-theme-font:minor-latin;
mso-bidi-font-family:"Times New Roman";
mso-bidi-theme-font:minor-bidi;}
</style> <![endif]--> <br />
<div class="MsoNormal"></div><div class="yiv226868643msonormal">Sshh. Don’t tell anyone. But “while you are reading these words, four people will have died from starvation. Most of them children.” Seventeen words. Four deaths. That statistic is from a cover of Paul Ehrlich’s 1968 provocative “Population Bomb.” </div><div class="yiv226868643msonormal">By the time you finish this column, another five hundred will die. By starvation. Mostly kids. Dead. </div><div class="yiv226868643msonormal"><br />
</div><div class="yiv226868643msonormal"><b><span style="font-size: 13.5pt;">Man robs banks for health care</span></b></div><div class="yiv226868643msonormal">A man with health problems and no insurance robs a bank to get thrown in jail and receive medical treatment.. </div><div class="yiv226868643msonormal">But global population will just keep growing, growing, growing. Why? The math is simple: Today there are more than two births for every death worldwide. One death. Two new babies. </div><div class="yiv226868643msonormal">Bomb? Tick-tick-ticking? Or economic bubble? Population growth is a basic assumption hard-wired in traditional economic theory. Unquestioned. Yes, population is our core economic problem. Not a military problem. But the bigger this economic bubble grows, the more we all sink into denial, the closer the point of no return where bubble becomes bomb, where war is the only alternative. </div><div class="yiv226868643msonormal">Yes, folks, ultimately population growth is an economic nuclear bomb, tick-tick-ticking a silent countdown to global disaster. In denial, we march a self-destructive path to WWIII. </div><div class="yiv226868643msonormal"><br />
</div><div class="yiv226868643msonormal"><b><span style="font-size: 13.5pt;">Simple math: One death + two births = America’s poison pill </span></b></div><div class="yiv226868643msonormal">Worldwide population doubled to 3.5 billion between the Great Depression and the Great Society. One generation, from the ‘30s to the ‘60s when “The Population Bomb” was published. Since the ‘60s, we’ve doubled again. This year global population shot past seven billion. Two billion living in poverty, surviving on less than two dollars a day. We do live in a globalized economy. And the math is simple: One death, two births. </div><div class="yiv226868643msonormal">Warning: This economic bomb will not stop tick-ticking any time soon. Why? Scientific American said population is “the most overlooked and essential strategy for achieving long-term balance with the environment.” No wonder Bill McKibben, author of “The End of Nature,” warns: “Act now, we’re told, if we want to save the planet from a climate catastrophe. Trouble is, it might be too late. The science is settled, and the damage has already begun.” </div><div class="yiv226868643msonormal">We’re on suicide watch and yet population control, the world’s No. 1 economic issue in “off the table.” Why? Last year Mother Jones made it abundantly clear why. In “The Last Taboo,” columnist Julia Whitty asked: “What unites the Vatican, lefties, conservatives and scientists in a conspiracy of silence? Population.” That hot-button issue ignites so many powerful reactions. Politicians won’t touch this third rail. </div><div class="yiv226868643msonormal">Our denial is a massive “conspiracy of silence.” Yes, we’re all in this global self-destructive conspiracy. Families love making babies. Economists obsess about their population-growth assumption. </div><div class="yiv226868643msonormal">Stockholders demand earnings growth. Wall Street is insatiable. Corporate CEOs shoot for quarterly targets to get ever bigger bonuses. The global Super Rich see population growth as opportunities to increase their wealth, widening the wealth gap. We’re all in this rat race together, in a “conspiracy of silence.” </div><div class="yiv226868643msonormal"><br />
</div><div class="yiv226868643msonormal"><b><span style="font-size: 13.5pt;">Population is the key economic power driving all economic issues </span></b></div><div class="yiv226868643msonormal">Yes, you can forget “Peak Oil.” Forget global warming. Forget debt, deficits, defaults. Forget commodities, scarce resource depletion. Forget all other economic, political, military problems. Yes, forget all of them. None of them matter … if our leaders fail to deal with the world’s out-of-control population bomb. Nothing else matters. Nothing. </div><div class="yiv226868643msonormal">Still, the silence is defining. We’re trapped in this deafening “conspiracy of silence.” Neutered. Blind to this suicidal path, incapable and unwilling to face the greatest single economic challenge in history. Won’t wake up till it’s too late. </div><div class="yiv226868643msonormal">Why? Deep in our hearts we see no acceptable universal solution. So we wait … until this economic bomb stops tick-tick-ticking. Explodes in our faces. Till the wake-up call, a total economic collapse. Till then, the silence is deafening. We stay in denial. Waiting. </div><div class="yiv226868643msonormal">The United Nations predicts there will be nine billion or more humans on Earth by 2050. And while demographers want us to believe total population will level off, they’re just guessing. Depending on an unpredictable range of mathematical scenarios, maybe our planet could top 15 billion by 2100, all demanding a better lifestyle, all demanding more natural resources, more commodities, starting revolutions to achieve their economic goals. </div><div class="yiv226868643msonormal">Demonstrators shout slogans as they crowd Madrid's Neptuno plaza near Spanish parliament in Madrid last week.Tens of thousands of Spaniards abandoned their customary Sunday quiet day with families and friends to march against the so-called "Euro Pact" and the handling of the economic crisis. </div><div class="yiv226868643msonormal">But the economic problem isn’t just the simple math of adding more bodies. “What really counts,” says Jared Diamond in “Collapse: How Societies Choose to Fail or Succeed,” “is not the number of people alone, but their impact on the environment,” the “per-capita impact.” First World citizens “consume 32 times more resources such as fossil fuels, and put out 32 times more waste, than do the inhabitants of the Third World.” </div><div class="yiv226868643msonormal">So the race to 2050 rages on: “Low impact people are becoming high-impact people” demanding “First World living standards.” But unfortunately, if all nations in the world consumed resources at the same rate as Americans, we’d need six Earths just to survive. Today. </div><div class="yiv226868643msonormal">Worse, the competition’s growing and we’re outnumbered. While America grows from 300 million to a 400 million by 2050, the rest of the world explodes into a nine billion bubble, with over 1.4 billion each in China and India. The bomb keeps tick-ticking. </div><div class="yiv226868643msonormal"><br />
</div><div class="yiv226868643msonormal"><b><span style="font-size: 13.5pt;">Pentagon warns of ‘desperate all-out wars for food, water, energy’ </span></b></div><div class="yiv226868643msonormal">What a “conspiracy of silence.” Seems everybody’s on the “economic growth” bandwagon. And with population growth comes chaos, anger, war. Remember 2011: Unemployed college kids in the Arab Spring. Higher pay for China’s workers. Wisconsin unions revolt. Warning, by 2100 the science-fiction solutions of “Avatar” and “Wall*E” will be reexamined seriously, perhaps even the unthinkable in the “Boomsday” novel. </div><div class="yiv226868643msonormal">WWIII is no fiction. We’re in the buildup now. During the Bush era, Fortune analyzed a classified Pentagon report predicting that “climate could change radically and fast. That would be the mother of all national security issues.” Population unrest would then create “massive droughts, turning farmland into dust bowls and forests to ashes.” Soon “there is little doubt that something drastic is happening ... as the planet’s carrying capacity shrinks, an ancient pattern reemerges: the eruption of desperate all-out wars over food, water, and energy supplies” with “warfare defining human life.” </div><div class="yiv226868643msonormal">Forget “Peak Oil.” The real economic force behind “Peak Oil” is “Peak Population.” Fail to defuse the population bomb and experts on sites like LifeAftertheOilCrash.com make clear the inevitable consequences of our denial, silence and inaction: “Civilization as we know it is coming to an end soon. This is not the wacky proclamation of a doomsday cult … it is the scientific conclusion of the best paid, most widely respected geologists, physicists, bankers and investors in the world.” </div><div class="yiv226868643msonormal">We are at the tipping point: Failing to defuse the population bomb guarantees global economic collapse. </div><div class="yiv226868643msonormal"><br />
</div><div class="yiv226868643msonormal"><b><span style="font-size: 13.5pt;">Throughout history, myopic leaders never act … till it’s too late </span></b></div><div class="yiv226868643msonormal">Will our leaders rise to the occasion? History says no. Diamond put all this in perspective in “Collapse”: “One of the disturbing facts of history is that so many civilizations collapse. Few people, however, least of all our politicians, realize that a primary cause of the collapse of those societies has been the destruction of the natural resources on which they depend. Fewer still appreciate that many of those civilizations share a sharp curve of decline. Indeed, a society’s demise may begin only a decade or two after it reaches its peak population, wealth and power.” Tick, tick, tick …. </div><div class="yiv226868643msonormal">So what is this one common flaw that drives nations to collapse worldwide and over the centuries? Diamond says leaders “focused only on issues likely to blow up in the next 90 days,” lacking the will “to make bold, courageous, anticipatory decisions.” Their short-term thinking, unfortunately, sets the stage for a rapid “sharp curve of decline.” </div><div class="yiv226868643msonormal">And given the myopic mind-set consuming American politicians today, it’s easy to see how the daily trench warfare of the 2012 presidential campaign is connected to the Pentagon’s prediction of WWIII, of “desperate all-out wars” dead ahead. </div><div class="yiv226868643msonormal">Unfortunately, that is the end game of our “conspiracy of silence,” our unwillingness to confront the inevitable. Our inaction means war will be the ultimate economic solution: For America, for capitalism, for civilization, for Planet Earth. The bomb just keeps tick-tick-ticking. Nothing can, nothing will, stop this tick-ticking population bomb. Nothing, except a global nuclear economic bomb. </div><div class="yiv226868643msonormal">Sshh, quiet, you’ll wake the babies. </div><div class="MsoNormal"><br />
</div><div class="MsoNormal"> <span style="font-size: 12.0pt;">By <a href="http://ca.mc309.mail.yahoo.com/mc/compose?to=PaulBFarrell@charter.net" rel="nofollow" target="_blank"><span style="color: blue;">Paul B. Farrell</span></a>, MarketWatch </span></div><div class="MsoNormal"><br />
</div><div class="MsoNormal"><a href="http://saveriomanzo.com/index.html"><span style="font-size: 12pt;">Saverio Manzo</span></a></div><div class="MsoNormal"><a href="http://www.biz-advisor.ca/"><span style="font-size: 12pt;">Biz-Advisor</span></a></div><div class="MsoNormal"><a href="http://financialconcepts.ca/index.html"><span style="font-size: 12pt;">Financial Concepts</span></a></div><div class="MsoNormal"><span style="font-size: 12pt;"><a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-ontario/insurance-quotes-ontario.php">ThunkInsure Car Insurance</a></span></div><div class="MsoNormal"><br />
</div><div class="MsoNormal"><br />
</div><div class="MsoNormal"><br />
</div>Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0tag:blogger.com,1999:blog-2120115560231053017.post-62790237631607958362011-06-08T23:19:00.000-04:002011-06-08T23:19:19.756-04:00How to Make Wealth<b><span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;">Money Is Not Wealth</span></b><span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><br />
<br />
If you want to create wealth, it will help to understand what it is. Wealth is not the same thing as money. <span style="color: #777777;">[<a href="http://www.paulgraham.com/wealth.html#f3n"><span style="color: #777777;">3</span></a>]</span> Wealth is as old as human history. Far older, in fact; ants have wealth. Money is a comparatively recent <a href="http://www.biz-advisor.ca/">invention</a>.<br />
<br />
<a href="http://wealthconcepts.ca/index.html"> Wealth</a> is the fundamental thing. Wealth is stuff we want: food, clothes, houses, <a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-ontario/insurance-quotes-ontario.php">car</a>, gadgets, travel to interesting places, and so on. You can have wealth without having money. If you had a magic machine that could on command make you a car or cook you dinner or do your laundry, or do anything else you wanted, you wouldn't need money. Whereas if you were in the middle of Antarctica, where there is nothing to buy, it wouldn't matter how much money you had.<br />
<br />
Wealth is what you want, not money. But if wealth is the important thing, why does everyone talk about making money? It is a kind of shorthand: money is a way of moving wealth, and in practice they are usually interchangeable. But they are not the same thing, and unless you plan to get rich by counterfeiting, talking about <i>making money</i> can make it harder to understand how to make money.<br />
<br />
Money is a side effect of specialization. In a specialized society, most of the things you need, you can't make for yourself. If you want a potato or a pencil or a place to live, you have to get it from someone else.<br />
<br />
How do you get the person who grows the potatoes to give you some? By giving him something he wants in return. But you can't get very far by trading things directly with the people who need them. If you make violins, and none of the local farmers wants one, how will you eat?<br />
<br />
The solution societies find, as they get more specialized, is to make the trade into a two-step process. Instead of trading violins directly for potatoes, you trade violins for, say, silver, which you can then trade again for anything else you need. The intermediate stuff-- the <i>medium of exchange</i>-- can be anything that's rare and portable. Historically metals have been the most common, but recently we've been using a medium of exchange, called the <i>dollar</i>, that doesn't physically exist. It works as a medium of exchange, however, because its rarity is guaranteed by the U.S. Government.<br />
<br />
The advantage of a medium of exchange is that it makes trade work. The disadvantage is that it tends to obscure what trade really means. People think that what a business does is make money. But money is just the intermediate stage-- just a shorthand-- for whatever people want. What most businesses really do is make wealth. They do something people want. <span style="color: #777777;">[<a href="http://www.paulgraham.com/wealth.html#f4n"><span style="color: #777777;">4</span></a>]</span><br />
<br />
<b>The Pie Fallacy</b><br />
<br />
A surprising number of people retain from childhood the idea that there is a fixed amount of wealth in the world. There is, in any normal family, a fixed amount of <i>money</i> at any moment. But that's not the same thing.<br />
<br />
When wealth is talked about in this context, it is often described as a pie. "You can't make the pie larger," say politicians. When you're talking about the amount of money in one family's bank account, or the amount available to a government from one year's tax revenue, this is true. If one person gets more, someone else has to get less.<br />
<br />
I can remember believing, as a child, that if a few rich people had all the money, it left less for everyone else. Many people seem to continue to believe something like this well into adulthood. This fallacy is usually there in the background when you hear someone talking about how x percent of the population have y percent of the wealth. If you plan to start a startup, then whether you realize it or not, you're planning to disprove the Pie Fallacy.<br />
<br />
What leads people astray here is the abstraction of money. Money is not wealth. It's just something we use to move wealth around. So although there may be, in certain specific moments (like your family, this month) a fixed amount of money available to trade with other people for things you want, there is not a fixed amount of wealth in the world. <i>You can make more wealth.</i> Wealth has been getting created and destroyed (but on balance, created) for all of human history.<br />
<br />
Suppose you own a beat-up old <a href="http://www.thinkinsure.ca/car-auto-insurance/car-insurance-toronto/insurance-quotes-toronto.php">car</a>. Instead of sitting on your butt next summer, you could spend the time restoring your car to pristine condition. In doing so you create wealth. The world is-- and you specifically are-- one pristine old car the richer. And not just in some metaphorical way. If you sell your car, you'll get more for it.<br />
<br />
In restoring your old <a href="http://www.thinkinsure.ca/index.php">car </a>you have made yourself richer. You haven't made anyone else poorer. So there is obviously not a fixed pie. And in fact, when you look at it this way, you wonder why anyone would think there was. <span style="color: #777777;">[<a href="http://www.paulgraham.com/wealth.html#f5n"><span style="color: #777777;">5</span></a>]</span><br />
<br />
Kids know, without knowing they know, that they can create wealth. If you need to give someone a present and don't have any money, you make one. But kids are so bad at making things that they consider home-made presents to be a distinct, inferior, sort of thing to store-bought ones-- a mere expression of the proverbial thought that counts. And indeed, the lumpy ashtrays we made for our parents did not have much of a resale market.<br style="mso-special-character: line-break;" /> <!--[if !supportLineBreakNewLine]--><br style="mso-special-character: line-break;" /> <!--[endif]--></span><br />
<span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;">If you wanted to get rich, how would you do it? I think your best bet would be to start or join a startup. That's been a reliable way to get rich for hundreds of years. The word "startup" dates from the 1960s, but what happens in one is very similar to the venture-backed trading voyages of the Middle Ages.<br />
<br />
Startups usually involve technology, so much so that the phrase "high-tech startup" is almost redundant. A startup is a small company that takes on a hard technical problem.<br />
<br />
Lots of people get rich knowing nothing more than that. You don't have to know physics to be a good pitcher. But I think it could give you an edge to understand the underlying principles. Why do startups have to be small? Will a startup inevitably stop being a startup as it grows larger? And why do they so often work on developing new technology? Why are there so many startups selling new drugs or computer software, and none selling corn oil or laundry detergent?<br style="mso-special-character: line-break;" /> <!--[if !supportLineBreakNewLine]--><br style="mso-special-character: line-break;" /> <!--[endif]--></span></span><br />
<span class="Apple-style-span" style="font-family: Verdana, sans-serif; font-size: x-small;">One example....</span><br />
<span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;">In the average car restoration you probably do make everyone else microscopically poorer, by doing a small amount of damage to the environment. While environmental costs should be taken into account, they don't make <a href="http://wealthconcepts.ca/index.html">wealth</a> a zero-sum game. For example, if you repair a machine that's broken because a part has come unscrewed, you create wealth with no environmental cost.</span></span></span><br />
<span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><br />
</span></span><br />
<span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><i><span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;">(This essay was originally published in <a href="http://www.amazon.com/gp/product/0596006624/104-0572701-7443937">Hackers & Painters</a>.)</span></i></span></span><br />
<br />
<span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><a href="http://financialconcepts.ca/index.html">Saverio Manzo</a></span></span><br />
<span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><br />
</span></span><br />
<span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><br />
</span></span><br />
<span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><br />
</span></span><br />
<span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><br />
</span></span><br />
<span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><br />
</span></span><br />
<span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><br />
</span><br />
<span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><br />
</span><br />
<span style="font-family: "Verdana","sans-serif"; font-size: 10.0pt; mso-ansi-language: EN-CA; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-fareast-font-family: "Times New Roman"; mso-fareast-language: EN-US;"><br />
</span>Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0tag:blogger.com,1999:blog-2120115560231053017.post-37118779740913972222011-05-09T17:34:00.001-04:002013-04-11T00:17:09.196-04:00Auto Gas Prices: Are Canadians Getting Ripped Off?<div style="margin-bottom: .0001pt; margin: 0cm;">
<span style="color: black; font-family: Calibri, sans-serif;">Canada is a producer and Net exporter (to the USA, etc.) of oil which is used to producer gasoline to run our car and auto vehicles. Car and auto gas prices are set on oil prices, as measured by the "barrel of oil". It costs us in Canada about $40 to produce a barrel of oil in Canada, on average, and the world price of a barrel of oil is about $110. That’s why we see the price at the pump for gas to fuel our car and autos so high > gasoline prices are set based on the underlying cost of the commodity, in this case its a barrel of oil. But if our cost is only $40 a barrel, why then are Canadians paying gasoline at the equivalent of $110 a barrel? Yes, this is ridiculous.<o:p></o:p></span></div>
<div style="margin-bottom: .0001pt; margin: 0cm;">
<br /></div>
<div style="margin-bottom: .0001pt; margin: 0cm;">
<span style="color: black; font-family: Calibri, sans-serif;">It’s been a few years since I wrote about this last, and thought we were long overdue for this debate. Well, it’s really not much of a debate any longer, thanks to facts coming to surface this time around.<o:p></o:p></span></div>
<div style="margin-bottom: .0001pt; margin: 0cm;">
<br /></div>
<div style="margin-bottom: .0001pt; margin: 0cm;">
<span style="color: black; font-family: Calibri, sans-serif;">The issue here is the lack of initiative of our federal government to step in and come up with some form of "fair" pricing policy to Canadians. And they don’t have to think or look very far and hard to come up with what policy is used in most other countries around the globe, countries like Canada that are net exporters of oil. Some countries like Venezuela and Columbia produce oil at a lesser rate than Canada, and the governments in these respective countries have a national pricing policy that brings the average price per litre of car gasoline to about 25 cents!<o:p></o:p></span></div>
<div style="margin-bottom: .0001pt; margin: 0cm;">
<br /></div>
<div style="margin-bottom: .0001pt; margin: 0cm;">
<span style="color: black; font-family: Calibri, sans-serif;">More likely, the norm for pricing around the globe is as follows: domestic users (that is, residents of the home country) pay a domestic market price, which is somewhere around cost plus 20% profit margins. Pretty fair. That would put Canada at $40 per barrel cost plus 20% gives us about $48, call it $50 a barrel. That’s still 60% less than the global price of a barrel of oil at $110! If we enacted this pricing policy, we would be paying about 60 cents a liter at the pump to fill our car and auto vehicles. 60 cents!!! And what we don’t use is sold to the world at global prices, currently at $1.40 a liter or $110 per barrel of oil.<o:p></o:p></span></div>
<div style="margin-bottom: .0001pt; margin: 0cm;">
<br /></div>
<div style="margin-bottom: .0001pt; margin: 0cm;">
<span style="color: black; font-family: Calibri, sans-serif;">Wake up Canada! This is our country, our natural resource, our commodity.<o:p></o:p></span></div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
<span style="font-family: Calibri, sans-serif;">Written by: Saverio Manzo<o:p></o:p></span></div>
<br />
<br />
<a href="https://www.insuremetoo.com/" target="_blank"><b>Getting your car insurance has never been easier. Click here to get a quick quote and save now!</b></a><br />
<br />
<br />
<br />
http://wealthconcepts.ca<br />
<br />
http://feelgreengood.com/Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com1tag:blogger.com,1999:blog-2120115560231053017.post-57472158414542004462011-05-05T00:20:00.001-04:002011-05-05T00:23:52.038-04:00Things To Be Concerned About Regarding This Market<div style="margin: 1em 0pt 3px;">M<span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">an this guy is sharp....heed his words...</span></div><div style="margin: 1em 0pt 3px;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">Thanks Barry R. (The Big Picture)</span><br />
<span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;"><br />
</span></div><div style="margin-bottom: 0pt; margin-left: 0pt; margin-right: 0pt; margin-top: 0pt;"><div style="color: black; line-height: 140%;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">Whenever we are nearly fully invested (like <a href="http://www.ritholtz.com/blog/2011/04/media-appearance-the-kudlow-report-42811/" rel="nofollow" saprocessedanchor="true" target="_blank">we are now</a>), my cognitive biases become acutely aware of all the things that could go wrong. (When we are short or in cash, the focus is what could go right)</span></div><div style="color: black; line-height: 140%;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">It is the opposite of <a href="http://www.ritholtz.com/blog/?domains=http%3A%2F%2Fwww.ritholtz.com%2F&sitesearch=http%3A%2F%2Fwww.ritholtz.com%2F&cx=015905226837203657063%3Ax1cwdcykvvw&ie=UTF-8&oe=UTF-8&cof=FORID%3A11&s=Search&q=confirmation+bias&sa.x=0&sa.y=0#1149" rel="nofollow" saprocessedanchor="true" target="_blank">confirmation bias</a> I write about so often.</span></div><div style="color: black; line-height: 140%;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;"><br />
</span></div><div style="color: black; line-height: 140%;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">What is it that makes me concerned about our investment posture over the short term — say, the next 30-90 days?</span></div><blockquote style="color: black; line-height: 140%;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">• Hot money seems to be rotating from speculation to speculation, rather than inflows accumulating longer term holdings;</span></blockquote><blockquote style="color: black; line-height: 140%;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">• Traditional measures of Stocks (P/E, return on capital) suggest stocks are no longer cheap; Longer term measures of valuation — Q ratio, Shiller’s 10 year P/E — show stocks are actually pricey; </span></blockquote><blockquote style="color: black; line-height: 140%;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">• China is on the verge of rolling over, falling nearly 8% in a single session; That wiped out 3 months of gains;</span></blockquote><blockquote style="color: black; line-height: 140%;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">• Defensive sectors — especially health care, but also staples, telecom and utilities — have found a bid. Often telegraphing a reduction of buying by fund managers;</span><br />
<span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">• Way too much cap weight is tied up in a handful of stocks. Apple (AAPL) is responsible for far too much of the Nasdaq gains than is healthy.</span></blockquote><blockquote style="color: black; line-height: 140%;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">• The rally that began March 2009 — now well over 2 years old – may have gotten ahead of itself;</span><br />
<span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">• The rampant speculation in Silver and its collapse is a reminder that money that piles into a sector very quickly heads out the door ever faster;</span></blockquote><blockquote style="color: black; line-height: 140%;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">• Assumptions about earnings seem to project double digit gains forever;</span></blockquote><blockquote style="color: black; line-height: 140%;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">• The end of QE2 removes a significant bid under equities and bonds. It also will allow the dollar to rally, potentially punishing commodity traders;</span></blockquote><blockquote style="color: black; line-height: 140%;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">• While earnings have been good, future guidance from companies is starting to moderate. This does not bode well for earnings supporting SPX 1400-1500 future levels;</span></blockquote><blockquote style="color: black; line-height: 140%;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">• Speaking very generally, the low volume Markets just feel tired here.</span></blockquote><div style="color: black; line-height: 140%;"><em><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">What is keeping us long? </span></em></div><div style="color: black; line-height: 140%;"><em><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;"><br />
</span></em></div><div style="color: black; line-height: 140%;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">None of the usual technical or internal signs of a major correction are present (yet). Supply continues to be constrained, selling pressure is light to moderate, breadth and liquidity are strong.</span></div><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;"><span class="Apple-style-span" style="line-height: 140%;">Giving the markets the benefit of the doubt has been the winning play so far. We expect this to continue to work until it </span><span class="Apple-style-span" style="line-height: 18px;">doesn't</span><span class="Apple-style-span" style="line-height: 140%;">.</span></span><br />
<div style="color: black; line-height: 140%;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;"><br />
</span></div><div style="color: black; line-height: 140%;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">Hopefully, I will be able to warn you in advance before markets get too far gone.</span></div><div style="color: black; line-height: 140%;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;"><br />
</span></div><div style="color: black; line-height: 140%;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">saverio manzo</span></div><div style="color: black;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;"><br />
</span></div><div style="color: black;"><a href="http://financialconcepts.ca/"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">http://financialconcepts.ca/</span></a></div><div style="color: black;"><a href="http://financialconcepts.ca/"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;">http://financialconcepts.ca/</span></a></div><div style="color: black;"><span class="Apple-style-span" style="font-family: 'Trebuchet MS', sans-serif;"><br />
</span></div><div style="color: black;"><br />
</div></div>Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com1tag:blogger.com,1999:blog-2120115560231053017.post-13303723369399586872011-05-01T23:35:00.002-04:002011-05-01T23:42:51.731-04:00A Biblical Prospective on Matters of FinanceA very well written piece with excellent ties to history and religion...on all matters concerning money and wealth...from our good friend Peter Grandich...<br />
<br />
The Bible contains over 700 direct references about money, including the<br />
majority of the Parables, and one out of every six verses in the Gospels<br />
concerns itself with the right and wrong use of material possessions. It<br />
clearly states that spirituality goes hand in hand with matters of money. It<br />
teaches us that God is our only true provider and to honor him by being<br />
good stewards with what he has given us. It teaches us that debt in most<br />
cases is not wise and a prosperous life is not measured by what we have in<br />
the bank, but what is in our hearts.<br />
<br />
An exclusive AARP-Modern Maturity survey of a random number of<br />
North Americans 18 and over had some very interesting results. The first question<br />
asked was: Do you want to be wealthy? 65% of all people surveyed said<br />
they wanted to be wealthy. By race, caucasians answered ‘yes’ to the<br />
question more than other races. By generation, those ages 18-35 answered<br />
positively more frequent than their older counterparts. And by gender, men<br />
answered ‘yes’ 72% of the time compared to women’s 58%.<br />
<br />
When asked what can money buy, the percentage of who chose the answers<br />
is below:<br />
<br />
71% - freedom to choose<br />
29% - self-fulfillment<br />
68% - excitement<br />
23% - self-esteem<br />
56% - less stress<br />
19% - happiness<br />
47% - peace of mind<br />
8% - love<br />
34% - good health<br />
<br />
When asked Why do you need money?, the results were:<br />
74% - to provide for my family<br />
27% - contribute to worthy causes<br />
68% - get good medical attention<br />
18% - buy more stuff<br />
64% - stay healthy 18% - to travel<br />
34% - have more free time<br />
<br />
<br />
<b>What Is Money?</b><br />
Money was created simply to be a means of exchange of work for goods or<br />
service of equal value needed to survive. It is acquired by means of a job,<br />
by investing, owning a business, buying and selling products of labor,<br />
lending money at interest, renting property, etc. In 1891, Pope Leo XIII<br />
promoted the need of a “living wage”. In the era of whoever ends up with<br />
the most toys wins, the living wage has gone the route of the horse and<br />
buggy. Profits are obtained at virtually all costs to individuals.<br />
God had commanded us to “earn your bread by the sweat of your brow”<br />
(Genesis 3:19.) The world today seems “hell” bent on earning as much<br />
money with as little sweat as possible—at least your own.<br />
<br />
<br />
<br />
<b>Is More Money the Answer to Your Problems?</b><br />
<br />
An employee of Henry Ford’s once said his number one goal was to make<br />
a million dollars. Ford gave the man a pair of glasses made of two silver<br />
dollars. When asked what he saw, the man replied, “nothing, the dollars are<br />
in the way.” Ford replied, “When dollars are your only goal, you miss a<br />
host of greater opportunities.”<br />
<br />
Jesus Christ said, “You cannot serve both God and money”. No one can<br />
have two masters. It took me a long time and almost cost me my life to<br />
learn money is a wonderful servant, but a terrible master. The more money<br />
we try to possess, the more the money ends up possessing you. It can and<br />
will possess you. Many other problems arise from this obsession, including<br />
willingness to sacrifice our health. The results are virtually the same for<br />
everyone—we spend our newfound wealth trying to get back our health.<br />
Year after year, people cite financial issues as the chief cause of marital<br />
disputes and admit to more worry over wealth than health or any other<br />
facet of their lives, even love! Is it any wonder then why there are more<br />
Bible verses on the subject of money and possessions (16 of the 38 Parables<br />
deal with the use of money) than any other topic including salvation itself.<br />
<br />
History is full of people who did just about anything to obtain wealth....<br />
<br />
<br />
Again, Jesus Christ gave the best advice (he always does) when he told us<br />
<br />
the Parable of the Rich Fool (Luke 12:13-21). He never implied the man<br />
was bad or even crazy—only foolish. From all we can make of the Parable,<br />
the man was a cautious, careful investor who came by his wealth honestly.<br />
He didn’t cheat, lie or steal. Jesus also never suggested he was evil. This is<br />
a critical point, as Jesus doesn’t suggest that having money is wrong. First<br />
Timothy is perhaps the most misquoted scripture. We often hear it quoted<br />
as “money is the root of all evil”, when in fact it says, “the LOVE of money<br />
is the root of all evil”. Here too, St. Paul does not condemn money; rather<br />
he condemns our losing perspective regarding its true value.<br />
Having money is okay. In fact, both Jesus and Paul clearly tell us the most<br />
foolish thing we do regarding money is to deny its importance. Jesus clearly<br />
was telling us the rich man was foolish because he “mishandled” money.<br />
“What shall I do?” the rich man thought to himself. “Since I have no place<br />
to store my crops, I will tear down my barns and build bigger ones, and<br />
there I will store all my grain and my goods. And I’ll say to myself, you<br />
have plenty of good things laid up for many years. Take life easy; eat drink<br />
and be merry.”<br />
This is exactly what most financial institutions advertise in their quest to<br />
capture you as a client. They suggest that they can help you obtain the good<br />
life by not having to worry anymore and instead live off your wealth and<br />
relax. THIS IS CLEARLY WRONG FOR TWO REASONS:<br />
• Most financial institutions do not have our best interests at heart<br />
• The pursuit of wealth for the sole desire of personal pleasure is not<br />
what God intends for us.<br />
If you haven’t learned already, you will find that financial security alone<br />
will never bring you real peace. Genuine happiness only comes when we<br />
make a deep commitment to the network of all creation. Happiness comes<br />
from sharing what we have with others. No one proved this more to me<br />
then Jean Paul Getty. In his day, he was one of the richest men in the world.<br />
Yet he was certainly not a happy man. How do I know this? One of his<br />
grandsons was once kidnapped. Getty refused to give the kidnappers a one<br />
million dollar ransom. It wasn’t as if one million would seriously impact<br />
his life, but he stated money would be wasted on any ransom. He also felt<br />
paying would give reason for others in his family to be kidnapped. Forgetting<br />
for the moment he could pay for all his families’ ransoms and still be quite<br />
wealthy, Getty simply ignored the first ransom. Only after the grandson’<br />
<br />
ear was cut off and mailed to Getty did he agree to pay. Did the story have<br />
a happy ending? Not really. Oh the grandson was released, minus one ear.<br />
But the fact that Getty demanded his son pay him back for the ransom of<br />
his grandson, suggests strongly Getty was a prime candidate for a Parable.<br />
<br />
<br />
<br />
see attached for full piece....<br />
<br />
<a href="http://www.trinityfsem.com/docs/finance.pdf" rel="nofollow" saprocessedanchor="true" target="_blank">A Biblical Prospective on Matters of Finance</a><br />
<br />
thanks Peter!<br />
<br />
saverio manzo<br />
<br />
<br />
<script type="text/javascript" src="http://www.brainyquote.com/link/quotebr.js"></script><br />
<span style="font-size: x-small;">About me: I give Economic, Social and Global trend briefings from some of the world's brightest minds at my blog </span><a href="http://saveriomanzo.com/"><span style="font-size: x-small;">http://saveriomanzo.com/</span></a><span style="font-size: x-small;"> and </span><a href="http://saveriomanzo.blogspot.com/"><span style="font-size: x-small;">http://saveriomanzo.blogspot.com/</span></a><span style="font-size: x-small;">. I also provide true and tested </span><a href="http://financialconcepts.ca/"><span style="font-size: x-small;">financial planning </span></a><span style="font-size: x-small;">and </span><a href="http://wealthconcepts.ca/"><span style="font-size: x-small;">wealth advice</span></a><span style="font-size: x-small;">. Most recently, over the past few years, I have become </span><a href="http://feelgreengood.com/"><span style="font-size: x-small;">socially conscious </span></a><span style="font-size: x-small;">and have been attempting to practise ways in which I can live my life more </span><a href="http://feelgreengood.blogspot.com/"><span style="font-size: x-small;">environmentally friendly</span></a><span style="font-size: x-small;">. Along with some truly exceptional friends, we provide <a href="http://www.biz-advisor.ca/">consulting</a> and <a href="http://www.biz-advisor.ca/">business development</a> for small-medium sized businesses. </span><span style="font-size: x-small;">In addition, I truly believe in being </span><a href="http://zealousaltruism.blogspot.com/"><span style="font-size: x-small;">philanthropic</span></a><span style="font-size: x-small;">, giving and doing unto other as we would have them do unto us. Some of my fondest resources are from </span><a href="http://www.ritholtz.com/blog/"><span style="font-size: x-small;">Barry Ritholtz of The Big Picture</span></a><span style="font-size: x-small;">, </span><a href="http://www.gluskinsheff.com/"><span style="font-size: x-small;">David Rosenberg </span></a><span style="font-size: x-small;">and what Warren Buffett of </span><a href="http://www.berkshirehathaway.com/"><span style="font-size: x-small;">Berkshire Hathaway</span></a><span style="font-size: x-small;"> is up to behind the scenes, as an example.</span> saverio manzo <br />
<br />
<a href="http://www.everyoneweb.com/saveriomanzo/"><span style="font-size: xx-small;">http://www.everyoneweb.com/saveriomanzo/</span></a><span style="font-size: xx-small;"> </span><a href="http://saverio-manzo.jimdo.com/"><span style="font-size: xx-small;">http://saverio-manzo.jimdo.com/</span></a> <a href="http://saverio-manzo.yolasite.com/"><span style="font-size: xx-small;">http://saverio-manzo.yolasite.com/</span></a><span style="font-size: xx-small;"> </span><a href="http://saverio-manzo.webs.com/"><span style="font-size: xx-small;">http://saverio-manzo.webs.com/</span></a><span style="font-size: xx-small;"> </span><a href="http://saverio-manzo.weebly.com/"><span style="font-size: xx-small;">http://saverio-manzo.weebly.com/</span></a> <a href="http://saveriomanzo.terapad.com/"><span style="font-size: xx-small;">http://saveriomanzo.terapad.com</span></a><span style="font-size: xx-small;"> </span><a href="http://www.shareowners.org/profile/SaverioManzo"><span style="font-size: xx-small;">http://www.shareowners.org/profile/SaverioManzo</span></a> <a href="http://www.linkedin.com/pub/saverio-manzo/b/995/63"><span style="font-size: xx-small;">http://www.linkedin.com/pub/saverio-manzo/b/995/63</span></a><span style="font-size: xx-small;"> </span><a href="http://twitter.com/saveriomanzo"><span style="font-size: xx-small;">http://twitter.com/saveriomanzo</span></a> <a href="http://www.facebook.com/people/Saverio-Manzo/854720596?ref=search"><span style="font-size: xx-small;">http://www.facebook.com/people/Saverio-Manzo/854720596?ref=search</span></a>Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0tag:blogger.com,1999:blog-2120115560231053017.post-60628340329962854562011-04-26T09:13:00.000-04:002011-04-26T09:13:57.062-04:0024 Signs Of Decline In AmericaThe United States is in the middle of a devastating long-term economic decline and it is getting really hard to deny it. Over the past year I have included literally thousands of depressing statistics in my articles about the U.S. economy. I have done this in order to make an overwhelming case that the U.S. economy is in deep decline and is dying a little bit more every single day. Until we understand exactly how bad our problems are we will never be willing to accept the solutions. The truth is that our leaders have absolutely wrecked the greatest economic machine that the world has ever seen. Most Americans just assume that we will always experience overwhelming prosperity, but that is not anywhere close to the truth. We are not guaranteed anything. Our manufacturing base has been gutted, the number of jobs is declining, more Americans are dependent on government handouts than ever before, our dollar is dying and as a nation we are absolutely drowning in debt. The economists that are trumpeting an “economic recovery” and that are declaring that the U.S. economy will soon be “better than ever” are delusional. We really are steamrolling toward a complete and total economic collapse and our leaders are doing nothing to stop it.<br />
<br />
The following are 24 more signs of economic decline in America. Hopefully you will not get too depressed as you read them….<br />
<br />
<strong>#1</strong> On Monday, Standard & Poor’s altered its outlook on U.S. government debt from “stable” to “negative” and warned the U.S. that it <a href="http://www.washingtonpost.com/business/economy/sandp-lowers-its-outlook-on-us-debt-stocks-decline/2011/04/18/AFRK601D_story.html">could soon lose its AAA rating</a>. This is yet another sign that the rest of the world is losing faith in the U.S. dollar and in U.S. Treasuries.<br />
<br />
<strong>#2</strong> China <a href="http://www.zerohedge.com/article/it%E2%80%99s-official-china-will-be-dumping-us-dollars">has announced</a> that they are going to be reducing their holdings of U.S. dollars. In fact, there are persistent rumors that this has already been happening.<br />
<strong>#3</strong> Hedge fund manager Dennis Gartman says that “<a href="http://www.cnbc.com/id/42703813">panic dollar selling is setting in</a>” and that the U.S. dollar could be in for a huge decline.<br />
<br />
<strong>#4</strong> The biggest bond fund in the world, PIMCO, <a href="http://www.businessweek.com/news/2011-04-11/pimco-s-gross-sets-bet-against-government-debt-boosts-cash.html" target="_blank">is now shorting U.S. government bonds</a>.<br />
<br />
<strong>#5</strong> This cruel economy is causing “ghost towns” to appear all across the United States. There are quite a few counties across the nation that now have home vacancy rates <a href="http://finance.yahoo.com/real-estate/article/112463/american-ghost-towns-21st-century-247wallst">of over 50%</a>.<br />
<br />
<strong>#6</strong> There are now about <a href="http://www.calculatedriskblog.com/2011/04/more-than-lost-decade.html">7.25 million less jobs</a> in America than when the recession began back in 2007.<br />
<br />
<strong>#7</strong> The <a href="http://endoftheamericandream.com/archives/35-statistics-that-show-the-average-american-family-has-been-broke-down-tore-down-beat-down-busted-and-disgusted-by-this-economy" target="_blank">average American family</a> is having a really tough time right now. Only 45.4% of Americans had a job during 2010. The last time the employment level was that low was back in 1983.<br />
<br />
<strong>#8</strong> Only <a href="http://www.usatoday.com/money/economy/employment/2011-04-13-more-americans-leave-labor-force.htm" target="_blank" title="66.8%">66.8%</a> of American men had a job last year. That was the lowest level that has ever been recorded in all of U.S. history.<br />
<br />
<strong>#9</strong> According to a new report from the AFL-CIO, the average CEO made <a href="http://www.economyincrisis.org/content/ceo-pay-now-343-times-higher-average-american" target="_blank" title="343 times more money">343 times more money</a> than the average American did last year.<br />
<br />
<strong>#10</strong> Gas prices reached <a href="http://www.upi.com/News_Photos/view/f772b5b1f31e2af83d29d52d228dd553/Gas-prices-continue-to-rise-in-Washington/#ixzz1K51rtdwA" target="_blank">five dollars per gallon</a> at a gas station in Washington, DC on April 19th, 2011. Could we see $6 gas soon?<br />
<br />
<strong>#11</strong> Over the past 12 months the average price of gasoline in the United States has gone up <a href="http://theeconomiccollapseblog.com/archives/gold-silver-and-oil-are-all-skyrocketing-and-that-is-bad-news-for-the-u-s-economy">by about 30%</a>.<br />
<br />
<strong>#12</strong> Due to rising fuel prices, American Airlines <a href="http://www.usatoday.com/money/companies/earnings/2011-04-20-american-airlines-q1-loss_N.htm" target="_blank">lost a staggering $436 million</a> during the first quarter of 2011.<br />
<br />
<strong>#13</strong> U.S. households are now receiving more income from the U.S. government <a href="http://money.msn.com/tax-tips/post.aspx?post=63c403d6-0a2f-4506-a8b8-25124d49889b" target="_blank" title="than they are paying to the government in taxes">than they are paying to the government in taxes</a>.<br />
<strong>#14</strong> Approximately one out of every four dollars that the U.S. government borrows <a href="http://gonzalolira.blogspot.com/2011/04/whats-really-worrisome-about-treasury.html" target="_blank">goes to pay the interest on the national debt</a>.<br />
<strong>#15</strong> Total home mortgage debt in the United States is now <a href="http://www.businessinsider.com/30-charts-you-must-see-before-buying-a-home-2011-4#-8">about 5 times larger</a> than it was just 20 years ago.<br />
<br />
<strong>#16</strong> Total credit card debt in the United States is now <a href="http://endoftheamericandream.com/archives/broke-and-getting-broker-22-jaw-dropping-statistics-about-the-financial-condition-of-american-families" target="_blank" title="more than 8 times larger">more than 8 times larger</a> than it was just 30 years ago.<br />
<br />
<strong>#17</strong> Average household debt in the United States <a href="http://endoftheamericandream.com/archives/35-statistics-that-show-the-average-american-family-has-been-broke-down-tore-down-beat-down-busted-and-disgusted-by-this-economy">has now reached a level of 136%</a> of average household<br />
income. In China, average household debt is only 17% of average household income.<br />
<strong>#18</strong> The average American now spends <a href="http://www.businessinsider.com/john-mauldin-jobless-recovery-2011-4" target="_blank" title="approximately 23 percent">approximately 23 percent</a> of his or her income on food and gas.<br />
<br />
<strong>#19</strong> In a recent survey conducted by Deloitte Consulting, <a href="http://www.cnbc.com/id/42553544" target="_blank" title="74 percent">74 percent</a> of Americans said that they planned to slow down their spending in coming months due to rising prices.<br />
<strong>#20</strong> <a href="http://www.zerohedge.com/article/it%E2%80%99s-game-over-us" target="_blank" title="59 percent">59 percent</a> of all Americans now receive money from the federal government in one form or another.<br />
<br />
<strong>#21</strong> According to the U.S. Bureau of Labor Statistics, the average length of unemployment in the U.S. is now <a href="http://theeconomiccollapseblog.com/archives/how-to-find-a-job-just-be-willing-to-flip-burgers-and-work-for-minimum-wage">an all-time record 39 weeks</a>.<br />
<strong>#22</strong> As the economy continues to collapse, frustration among young people will continue to grow and we will see more seemingly “random acts of violence”. One shocking example of this happened in the Atlanta area recently. The following is <a href="http://www.ajc.com/news/atlanta/horde-of-teens-attack-917772.html?cxtype=rss_news">how a local Atlanta newspaper</a> described the attack….<br />
<blockquote><em>Roughly two dozen teens, chanting the name of a well-known Atlanta gang, brought mob rule to MARTA early Sunday morning, overwhelming nervous passengers and assaulting two Delta flight attendants.</em></blockquote><strong>#23</strong> Some Americans have become so desperate for cash that they are literally <a href="http://abcnews.go.com/Business/gold-high-price-consumers-selling-teeth-bridges-coins/story?id=13421105&sms_ss=facebook&at_xt=4db04a0d1cd03f2f,0">popping the gold teeth right out of their mouths</a> and selling them to pawn shops.<br />
<strong>#24</strong> As the economy has declined, the American people have been gobbling up larger and larger amounts of antidepressants and other prescription drugs. In fact, the American people spent <a href="http://www.businessinsider.com/trends-prescription-drug-use-2011-4#sending-on-medication-was-60-billion-higher-than-five-years-ago-1">60 billion dollars more</a> on prescription drugs in 2010 than they did in 2005.<br />
<br />
Source: The Trading Report<br />
<br />
<a href="http://saveriomanzo.com/">http://saveriomanzo.com/</a>Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0tag:blogger.com,1999:blog-2120115560231053017.post-2402566384225074942011-04-14T18:04:00.000-04:002011-04-14T18:04:47.383-04:00How to Close a Deal Like Warren Buffett<span class="Apple-style-span" style="font-family: Arial, sans-serif; font-size: 13px;"><a href="http://dealbook.nytimes.com/2011/04/05/steinhardt-talks-of-buffetts-snow-job/">Warren Buffett might be catching a lot of flack</a></span><span class="Apple-style-span" style="font-family: Arial, sans-serif; font-size: 13px;"> these days, but I think if you want to know about closing big deals, he’s still the guy to watch. Why? The man knows how to talk about money when he’s dealmaking.</span><br />
<div class="MsoNormal"><br />
</div><div class="MsoNormal"><span style="font-family: Arial, sans-serif; font-size: 10pt;">Buffett is famous for doing ginormous deals with as little information as a few pages of business plans and the standard financials a company would submit to a bank to qualify for a loan. What he has when he goes into any conversation is an encyclopedic knowledge of how businesses work financially. He knows “their money,” “their wallet,” and how investments and outcomes should work. Follow his lead and you will close more business.<o:p></o:p></span></div><div class="MsoNormal"><br />
</div><div class="MsoNormal"><span style="font-family: Arial, sans-serif; font-size: 10pt;">Here are seven things I’ve learned as I’ve watched Buffett from afar:<o:p></o:p></span></div><div class="MsoNormal"><br />
</div><ol start="1" style="margin-top: 0cm;" type="1"><li class="MsoNormal" style="mso-list: l0 level1 lfo1;"><span style="font-family: Arial, sans-serif; font-size: 10pt;">Know the other guy’s money - How they make it, how they count it, how they spend it. This is obviously much easier to do for publicly traded companies. For privately held companies, the numbers are fairly easy to estimate, at least the cost of goods sold and probably the cost of sale. These numbers are critical to discussing the possibilities of working together. Too often the discussion stops at budget. When you don’t know, ask. Not the trade secrets, but at least the industry averages. This provides a basic framework for the discussion.<o:p></o:p></span></li>
</ol><div class="MsoNormal" style="margin-left: 36.0pt;"><br />
</div><div class="MsoNormal"><span style="font-family: Arial, sans-serif; font-size: 10pt;">2. Know the other guy’s wallet - How does this sale impact any of these critical numbers? The terms of the deal should be looked at from their side of the table first, then yours.<o:p></o:p></span></div><div class="MsoNormal"><br />
</div><div class="MsoNormal"><span style="font-family: Arial, sans-serif; font-size: 10pt;">3. Start discussing the money early - You know you are going to discuss the money later. Early in the conversation, you do not have enough information for precision. Instead, you have an understanding of the economics of the prospect’s industry, so you have enough to determine if a deal makes any sense at all. Use that economic information and industry knowledge to frame a shared understanding of the reality of the money for this opportunity.<o:p></o:p></span></div><div class="MsoNormal"><br />
</div><div class="MsoNormal"><span style="font-family: Arial, sans-serif; font-size: 10pt;">4. Use ranges to qualify and disqualify - Understand early (and throughout the discussion) whether you and your prospect are in the same arena. By using ranges of prices, cost structures, yields, and performance you can both be sure that you are dealing in a shared reality rather than getting to the end and finding yourselves so far apart that there is permanent damage done to the relationship.<o:p></o:p></span></div><div class="MsoNormal"><br />
</div><div class="MsoNormal"><span style="font-family: Arial, sans-serif; font-size: 10pt;">5. Speak the language of investment and outcomes - Every large sale is an investment on both parts in an outcome. When you move the conversation from price to investment and cost to outcomes you are focusing on the business impact rather than budget impact. This is the language of large sales.<o:p></o:p></span></div><div class="MsoNormal"><br />
</div><div class="MsoNormal"><span style="font-family: Arial, sans-serif; font-size: 10pt;">6. Don’t discount early - I regularly hear fearful “deal makers” use language like, “Let’s not let money get in the way of working together.” There’s a word for this that is not used in polite company. This is the language of discounting before the scope has been clearly defined. The sales person believes that he is being clever by taking money off the table. What he has really done is to take margin off the table, his and his company’s margin. If qualifying investment and impact has been made up front, then this point does not need to be made again.<o:p></o:p></span></div><div class="MsoNormal"><br />
</div><div class="MsoNormal"><span style="font-family: Arial, sans-serif; font-size: 10pt;">7. Don’t negotiate until it’s time - Work on the deal points one at a time. Work through the investment and outcome ideas clearly, then negotiate. True, all of these points require negotiation. However, too often the conversation turns to negotiations too early before real scope and deliverables have been defined. Which means that the whole is reduced to the little parts before the shared picture of the whole has been established.<o:p></o:p></span></div><div class="MsoNormal"><br />
</div><div class="MsoNormal"><span style="font-family: Arial, sans-serif; font-size: 10pt;">Side Note: I watched a deal unravel recently because the players did not observe these guidelines. The sale involved the installation of a point-of-sale system into a retail chain. The details are complicated as many large deals are, but the numbers were simple:<o:p></o:p></span></div><div class="MsoNormal"><span style="font-family: Arial, sans-serif; font-size: 10pt;">If you calculated the investment necessary for the system, the transaction cost was going to be >5% of the transaction revenue value. That’s more than the cost of the charge card processing fee! Never going to work regardless of the reporting bells and whistles, speed to data consolidation and so on.<o:p></o:p></span></div><div class="MsoNormal"><br />
</div><div class="MsoNormal"><span style="font-family: Arial, sans-serif; font-size: 10pt;">This violates rules 1-5. The selling team did not understand the fundamental money issues of their prospect. They had not asked, done their research or even estimated. They were focused on the features of their system and what they had heard the IT people say would be the selection criteria without working through the money issues. That always leads to disaster.<o:p></o:p></span></div><br />
saverio manzo<br />
<br />
<script src="http://www.brainyquote.com/link/quotebr.js" type="text/javascript">
</script><br />
<span style="font-size: x-small;">About me: I give Economic, Social and Global trend briefings from some of the world's brightest minds at my blog </span><a href="http://saveriomanzo.com/"><span style="font-size: x-small;">http://saveriomanzo.com/</span></a><span style="font-size: x-small;"> and </span><a href="http://saveriomanzo.blogspot.com/"><span style="font-size: x-small;">http://saveriomanzo.blogspot.com/</span></a><span style="font-size: x-small;">. I also provide true and tested </span><a href="http://financialconcepts.ca/"><span style="font-size: x-small;">financial planning </span></a><span style="font-size: x-small;">and </span><a href="http://wealthconcepts.ca/"><span style="font-size: x-small;">wealth advice</span></a><span style="font-size: x-small;">. Most recently, over the past few years, I have become </span><a href="http://feelgreengood.com/"><span style="font-size: x-small;">socially conscious </span></a><span style="font-size: x-small;">and have been attempting to practise ways in which I can live my life more </span><a href="http://feelgreengood.blogspot.com/"><span style="font-size: x-small;">environmentally friendly</span></a><span style="font-size: x-small;">. Along with some truly exceptional friends, we provide <a href="http://www.biz-advisor.ca/">consulting</a> and <a href="http://www.biz-advisor.ca/">business development</a> for small-medium sized businesses. </span><span style="font-size: x-small;">In addition, I truly believe in being </span><a href="http://zealousaltruism.blogspot.com/"><span style="font-size: x-small;">philanthropic</span></a><span style="font-size: x-small;">, giving and doing unto other as we would have them do unto us. Some of my fondest resources are from </span><a href="http://www.ritholtz.com/blog/"><span style="font-size: x-small;">Barry Ritholtz of The Big Picture</span></a><span style="font-size: x-small;">, </span><a href="http://www.gluskinsheff.com/"><span style="font-size: x-small;">David Rosenberg </span></a><span style="font-size: x-small;">and what Warren Buffett of </span><a href="http://www.berkshirehathaway.com/"><span style="font-size: x-small;">Berkshire Hathaway</span></a><span style="font-size: x-small;"> is up to behind the scenes, as an example.</span> saverio manzo<br />
<br />
<br />
<script badgetype="small-votes" src="http://d.yimg.com/ds/badge2.js" type="text/javascript">
ARTICLEURL
</script><br />
http://www.thinkinsure.ca/Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0tag:blogger.com,1999:blog-2120115560231053017.post-70217266250518282202011-04-10T10:53:00.002-04:002011-04-10T10:58:15.960-04:00Should You Buy a Home?<span class="Apple-style-span" style="font-family: Arial, sans-serif; font-size: medium;">The following excerpt is from a USA prospective, but I have added some a Canadian content and stats along the way. Regardless, the decison-making process of home ownership is quite similar...</span><br />
<span class="Apple-style-span" style="font-family: Arial, Helvetica, sans-serif; font-size: medium;"><br />
</span><br />
<div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;">I posted a video of my pal James Altucher on <a href="http://finance.yahoo.com/tech-ticker/why-i-am-never-going-to-own-a-home-again-536051.html" target="_blank">Yahoo Tech Ticker</a> this week, declaring he was “<strong>Never going to buy a home ever again</strong>!”<o:p></o:p></span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;"><br />
</span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;">Whenever I hear that sort of declaration, it tells me we are closer to the end of down cycle than the beginning. The psychology is reaching a negative extreme, and that means we are nearer to a capitulation.<o:p></o:p></span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;">Lets take a closer look at Jame’s thesis: I do not agree with much of what he states here — from buying the home builders (why?) to being a renter (maybe) to not owning a home (huh?) to homes being illiquid (exaggerated). And while there are many reasons to buy a house, as an investment is not really one of them.<o:p></o:p></span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;"><br />
</span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;">Indeed, I find myself noting the following in response to Jim’s concerns:<o:p></o:p></span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;"><br />
</span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;">• Home ownership allows you to live in one place for as long as you like, without worries that the property owner will not renew your lease.<o:p></o:p></span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;">• You get to select the school district you like for your kids’ education.<o:p></o:p></span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;">• Those of us who lived in a city know what its like to be subject to the capricious whims of a landlord. (no fun).<o:p></o:p></span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;">• When you own your home, you have the option of painting the walls whatever color you want, doing capital improvements, renovations, etc.<o:p></o:p></span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;">• Homes are less liquid than stocks, but price any home correctly and it will sell quickly.<o:p></o:p></span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;">• If you buy a home you can actually afford, there is no more stress about mortgage payments than paying your rent.<o:p></o:p></span></div><div><span style="color: black; font-family: Arial, Helvetica, sans-serif;"><span class="Apple-style-span" style="font-size: x-small;"><span class="Apple-style-span" style="line-height: 140%;">• For middle class Americans, the mortgage deduction is a huge tax savings. No such </span><span class="Apple-style-span" style="line-height: 18px;">benefit</span><span class="Apple-style-span" style="line-height: 140%;"> exists here in Canada (formally, anyway) although one can re-structure their financial affairs to put themselves in a position to be able to tax-</span><span class="Apple-style-span" style="line-height: 18px;">deduct</span><span class="Apple-style-span" style="line-height: 140%;"> much of their mortgage payment. (Email or call me to find out how).<o:p></o:p></span></span></span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;"><br />
</span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;">There are lots of reasons to choose between <em>Owning</em> and <em>Renting</em> — it is a personal life choice — but since you have to live somewhere, its simple math to determine what the price differences are. Are the marginal cost differences worth the perceived advantages? That is your calculus.<o:p></o:p></span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;"><br />
</span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;">Currently, our 3 metrics for measuring home prices show prices remain elevated by various degrees.<o:p></o:p></span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;"><br />
</span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;">1. <strong><u>Median Income to Median Home Price</u></strong> — it is still about 10% too high nationally. This is the most reliable of our indicators, and it shows the most expensive home prices of the three.<o:p></o:p></span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;"><br />
</span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;">2. <strong><u>Cost of Renting vs Cost of Ownership</u></strong>: This metric is now reasonable — rents have gone up, people are fearful of buying an asset whose price is falling — so it makes Ownership look more attractive, depending upon the region. But it is the most volatile and least reliable of the three, as it is easily influenced by risk aversion psychology and rising rent <a href="http://www.thinkinsure.ca/index.php">prices</a>.<o:p></o:p></span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;"><br />
</span></div><div style="line-height: 140%;"><span style="color: black; font-family: Arial, Helvetica, sans-serif; font-size: 10pt; line-height: 140%;">3. <strong><u>Housing Value as a % of GDP</u></strong>: It shows only a slightly over-valued housing market, but that is due to the weak economy. A more robust GDP makes housing look pricier.<o:p></o:p></span></div><span class="Apple-style-span" style="font-family: Arial, Helvetica, sans-serif;"><br />
</span><br />
<span class="Apple-style-span" style="font-family: Arial, Helvetica, sans-serif;">Barry R, The Big Picture.</span><br />
<span class="Apple-style-span" style="font-family: Arial, Helvetica, sans-serif;"><br />
</span><br />
<div class="MsoNormal"><span style="color: blue; font-family: Georgia, serif; font-size: 8pt;"><script src="http://www.brainyquote.com/link/quotebr.js" type="text/javascript">
</script><o:p></o:p></span></div><div class="MsoNormal"><span style="color: blue; font-family: Arial, sans-serif; font-size: 8pt;"><span style="font-size: xx-small;">About me: I give Economic, Social and Global trend briefings from some of the world's brightest minds at my blog </span><a href="http://saveriomanzo.com/"><span style="font-size: xx-small;">http://saveriomanzo.com/</span></a><span style="font-size: xx-small;"> and </span><a href="http://saveriomanzo.blogspot.com/"><span style="font-size: xx-small;">http://saveriomanzo.blogspot.com/</span></a><span style="font-size: xx-small;">. I also provide true and tested </span><a href="http://financialconcepts.ca/"><span style="font-size: xx-small;">financial planning </span></a><span style="font-size: xx-small;">and </span><a href="http://wealthconcepts.ca/"><span style="font-size: xx-small;">wealth advice</span></a><span style="font-size: xx-small;">. Most recently, over the past few years, I have become </span><a href="http://feelgreengood.com/"><span style="font-size: xx-small;">socially conscious </span></a><span style="font-size: xx-small;">and have been attempting to practise ways in which I can live my life more </span><a href="http://feelgreengood.blogspot.com/"><span style="font-size: xx-small;">environmentally friendly</span></a><span style="font-size: xx-small;">. Along with some truly exceptional friends, we provide <a href="http://www.biz-advisor.ca/">consulting</a> and <a href="http://www.biz-advisor.ca/">business development</a> for small-medium sized businesses. </span><span style="font-size: xx-small;">In addition, I truly believe in being </span><a href="http://zealousaltruism.blogspot.com/"><span style="font-size: xx-small;">philanthropic</span></a><span style="font-size: xx-small;">, giving and doing unto other as we would have them do unto us. Some of my fondest resources are from </span><a href="http://www.ritholtz.com/blog/"><span style="font-size: xx-small;">Barry Ritholtz of The Big Picture</span></a><span style="font-size: xx-small;">, </span><a href="http://www.gluskinsheff.com/"><span style="font-size: xx-small;">David Rosenberg </span></a><span style="font-size: xx-small;">and what Warren Buffett of </span><a href="http://www.berkshirehathaway.com/"><span style="font-size: xx-small;">Berkshire Hathaway</span></a><span style="font-size: xx-small;"> is up to behind the scenes, as an example.</span> saverio manzo <o:p></o:p></span></div><div class="MsoNormal"><br />
</div><div class="MsoNormal"><span style="color: blue; font-family: Arial, sans-serif; font-size: 8pt;"><a href="http://www.everyoneweb.com/saveriomanzo/"><span style="font-size: xx-small;">http://www.everyoneweb.com/saveriomanzo/</span></a><span style="font-size: xx-small;"> </span><a href="http://saverio-manzo.jimdo.com/"><span style="font-size: xx-small;">http://saverio-manzo.jimdo.com/</span></a> <a href="http://saverio-manzo.yolasite.com/"><span style="font-size: xx-small;">http://saverio-manzo.yolasite.com/</span></a><span style="font-size: xx-small;"> </span><a href="http://saverio-manzo.webs.com/"><span style="font-size: xx-small;">http://saverio-manzo.webs.com/</span></a><span style="font-size: xx-small;"> </span><a href="http://saverio-manzo.weebly.com/"><span style="font-size: xx-small;">http://saverio-manzo.weebly.com/</span></a> <a href="http://saveriomanzo.terapad.com/"><span style="font-size: xx-small;">http://saveriomanzo.terapad.com</span></a><span style="font-size: xx-small;"> </span><a href="http://www.shareowners.org/profile/SaverioManzo"><span style="font-size: xx-small;">http://www.shareowners.org/profile/SaverioManzo</span></a> <a href="http://www.linkedin.com/pub/saverio-manzo/b/995/63"><span style="font-size: xx-small;">http://www.linkedin.com/pub/saverio-manzo/b/995/63</span></a><span style="font-size: xx-small;"> </span><a href="http://twitter.com/saveriomanzo"><span style="font-size: xx-small;">http://twitter.com/saveriomanzo</span></a> <a href="http://www.facebook.com/people/Saverio-Manzo/854720596?ref=search"><span style="font-size: xx-small;">http://www.facebook.com/people/Saverio-Manzo/854720596?ref=search</span></a><o:p></o:p></span></div><div class="MsoNormal"><span style="color: blue; font-family: Arial, sans-serif; font-size: 8pt;"><br />
</span></div><div class="MsoNormal"><span style="color: blue; font-family: Arial, sans-serif; font-size: 8pt;"><br />
</span></div>Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0tag:blogger.com,1999:blog-2120115560231053017.post-38499688883520408132011-03-23T22:30:00.000-04:002011-03-23T22:30:31.129-04:00Nuclear. Oil. Whats next? thats exactly the problemGood article. First one about energy that connects the dots with all options and whats happening and what will happen. We, our leaders, need to make the hard decisions NOW.<br />
<br />
<strong>The next energy crisis is here</strong><br />
<br />
<br />
<em>Nuclear power is dangerous, our oil supply is unstable, and alternative energy is stumbling. With no easy options left, how will we power our future?</em><br />
<br />
By Michael McCullough<br />
The catastrophe at Japan's Fukushima Dai-ichi power plant has undeniably damaged the nuclear industry, setting back its slow-building recovery from the Chernobyl accident 25 years ago. Not only has Japan, the world's third-largest economy, shut down plants (some of them permanently) that provide one-fifth of the country's electricity, but Germany, China and Switzerland moved to halt expansions and life-extending refits to their nuclear plants.<br />
<br />
But nuclear is far from the only villain. There seems to be no source of new energy we can live with. Last year, it was deep-water oil drilling that provoked a public outcry. The leak from BP's well in the Gulf of Mexico inspired moratoriums and costly regulations not just in the United States but around the world. The accident offered new reasons to oppose carbon-belching sources like coal and oilsands.<br />
<br />
Adding to the list of undesirable power sources, Quebec this year reacted to concerns about water contamination, methane gas leaks and other issues by imposing a near moratorium on shale gas drilling. Likewise Ontario, already committed to phase out coal power by 2014, cancelled a project to build a gas-fired power plant in Oakville last year in the face of fierce local opposition. Even renewable sources like wind power are coming under fire from residents fearful of "wind sickness." Al Gore, the world's most prominent environmentalist, last year changed his mind about biofuels, the environmental benefits of which are looking increasingly doubtful<br />
<br />
The non-monetary costs of energy production now loom so large that governments are stuck in policy gridlock, unable to approve any new option that could help meet rising demand — with results ranging from higher gasoline prices to the rolling blackouts that Japan is now experiencing. It graphically illustrates the point made by Canadian energy economist Peter Tertzakian in his books and speeches, that we are approaching a "break point" where no major energy source is simultaneously cheap, secure and clean. Following 12 months of rising demand, catastrophic spills and political instability in the Middle East, oil is none of the above.<br />
<br />
"What we're seeing today is very classic in terms of how history has treated energy or how society has evolved with its energy," Tertzakian says from his office at Arc Financial Corp. in Calgary. "Every few generations, there's a series of events that come together to punctuate and change the way we do things."<br />
<br />
In his 2006 book, A Thousand Barrels a Second, Tertzakian predicted a new energy break point within 10 years, when major economies would switch from one "disadvantaged" source of energy to one, or several, other options. Now he believes that time has come.<br />
<br />
"The hallmark of a break point is when government gets involved and starts enacting a whole series of policies that change the way things are done," he says. "It's just a matter of time before you're going to see policies implemented by major consuming countries to deal with the oil situation. And now we have a nuclear situation. In some ways, it's a double break point."<br />
<br />
Both North America and the developing world will need to think hard about how they will produce the energy needed to meet growing demand. Even mature economies like Japan and Germany must decide how to backfill their energy needs as old nuclear plants come offline.<br />
<br />
"The scalable winners out of this are going to be coal and natural gas," Tertzakian says. There will also be a move to renewables, but they can't replace the output of an oil well or a nuclear plant. And in the time-tested hierarchy of energy needs, security — knowing that the lights come on when you flip a switch — always comes first. Affordability comes next, and cleanliness comes last — "unless it's going to kill you," as in the case of Japan's nuclear emergency.<br />
<br />
"What you see at a break point is a tremendous tension between those three dimensions," Tertzakian says. "People are going to have to prioritize."<br />
<br />
There is, of course, another way of dealing with a break point, which is cutting back energy use, though it has seldom been used throughout history. "Society has become accustomed to supply-side solutions," Tertzakian observes. However, as he argued in his most recent book, The End of Energy Obesity, modern societies have at their disposal the technological tools, and possibly the social pressure, to consume less energy in absolute terms, not just per capita or per dollar of GDP. "Ironically, the one country that has made the most use of that dimension," he says, "is Japan."<br />
<br />
If there is an upside to the new energy crisis, it's the greater understanding it gives consumers of the non-monetary costs of their energy consumption, instead of just taking the benefits for granted. "There really is no energy source that comes for free. There are issues that come with every single one," Tertzakian says. "Some will kill you slowly; some will kill you fast."Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0tag:blogger.com,1999:blog-2120115560231053017.post-47912673002072135112011-03-16T16:25:00.000-04:002013-04-11T00:19:16.826-04:00Warren Buffett’s annual address. Interesting stuff on the world...Thought to turn to Mr. Buffett for some colour on things. Here are some of the highlights:<br />
<br />
On Discussing why Berkshire keeps so much cash on hand:<br />
<br />
<br />
"Borrowers then learn that credit is like oxygen. When either is abundant, its presence goes unnoticed. When either is missing, that’s all that is noticed."<br />
<br />
****<br />
<br />
“Money will always flow toward opportunity, and there is an abundance of that in America.”<br />
<br />
****<br />
<br />
On human potential and the nation’s future:<br />
<br />
"Human potential is far from exhausted, and the American system for unleashing that potential–a system that has worked wonders for over two centuries despite frequent interruptions for recessions and even a Civil War—remains alive and effective."<br />
<br />
****<br />
<br />
"John Kenneth Galbraith once slyly observed that economists were most economical with ideas: They made the ones learned in graduate school last a lifetime. University finance departments often behave similarly. Witness the tenacity with which almost all clung to the theory of efficient markets throughout the 1970s and 1980s, dismissively calling powerful facts that refuted it “anomalies.” (I always love explanations of that kind: The Flat Earth Society probably views a ship’s circling of the globe as an annoying, but inconsequential, anomaly."<br />
<br />
****<br />
<br />
One footnote: When we issued a press release about Todd [Comb's] joining us, a number of commentators pointed out that he was “little-known” and expressed puzzlement that we didn’t seek a “big-name.” I wonder how many of them would have known of Lou in 1979, Ajit in 1985, or, for that matter, Charlie in 1959. Our goal was to find a 2-year-old Secretariat, not a 10-year-old Seabiscuit. (Whoops–that may not be the smartest metaphor for an 80-year-old CEO to use.)<br />
<br />
****<br />
<br />
On hedge funds:<br />
<br />
The hedge-fund world has witnessed some terrible behavior by general partners who have<br />
<br />
received huge payouts on the upside and who then, when bad results occurred, have walked away rich, with their limited partners losing back their earlier gains. Sometimes these same general partners thereafter quickly started another fund so that they could immediately participate in future profits without having to overcome their past losses. Investors who put money with such managers should be labeled patsies, not partners.<br />
<br />
****<br />
<br />
Berkshire and the housing/mortgage crisis:<br />
<br />
Our borrowers get in trouble when they lose their jobs, have health problems, get divorced, etc. The recession has hit them hard. But they want to stay in their homes, and generally they borrowed sensible amounts in relation to their income. In addition, we were keeping the originated mortgages for our own account, which means we were not securitizing or otherwise reselling them. If we were stupid in our lending, we were going to pay the price. That concentrates the mind. If home buyers throughout the country had behaved like our buyers, America would not have had the crisis that it did.<br />
<br />
(Emphasis added)<br />
<br />
****<br />
<br />
On home ownership<br />
<br />
Home ownership makes sense for most Americans, particularly at today’s lower prices and bargain interest rates. … But a house can be a nightmare if the buyer’s eyes are bigger than his wallet and if a lender–often protected by a government guarantee–facilitates his fantasy. Our country’s social goal should not be to put families into the house of their dreams, but rather to put them into a house they can afford.<br />
<br />
****<br />
<br />
On the worst of the global financial crisis:<br />
<br />
As one investor said in 2009: “This is worse than divorce. I’ve lost half my net worth–and I still have my wife.”<br />
<br />
****<br />
<br />
In discussing the bazaar that is the coming annual meeting:<br />
<br />
Remember: Anyone who says money can’t buy happiness simply hasn’t learned where to shop.<br />
<br />
Money will always flow toward opportunity, and there is an abundance of that in America. Commentators today often talk of “great uncertainty.” But think back, for example, to December 6, 1941, October 18, 1987 and September 10, 2001. No matter how serene today may be, tomorrow is always uncertain.<br />
<br />
Don’t let that reality spook you. Throughout my lifetime, politicians and pundits have constantly moaned about terrifying problems facing America. Yet our citizens now live an astonishing six times better than when I was born. The prophets of doom have overlooked the all-important factor that is certain: Human potential is far from exhausted, and the American system for unleashing that potential – a system that has worked wonders for over two centuries despite frequent interruptions for recessions and even a Civil War – remains alive and effective.<br />
<br />
We are not natively smarter than we were when our country was founded nor do we work harder. But look around you and see a world beyond the dreams of any colonial citizen. Now, as in 1776, 1861, 1932 and 1941, America’s best days lie ahead.<br />
<br />
<br />
<br />
Life and Debt<br />
<br />
The fundamental principle of auto racing is that to finish first, you must first finish. That dictum is equally applicable to business and guides our every action at Berkshire. Unquestionably, some people have become very rich through the use of borrowed money. However, that’s also been a way to get very poor. When leverage works, it magnifies your gains. Your spouse thinks you’re clever, and your neighbors get envious. But leverage is addictive. Once having profited from its wonders, very few people retreat to more conservative practices. And as we all learned in third grade – and some relearned in 2008 – any series of positive numbers, however impressive the numbers may be, evaporates when multiplied by a single zero. History tells us that leverage all too often produces zeroes, even when it is employed by very smart people.<br />
<br />
Leverage, of course, can be lethal to businesses as well. Companies with large debts often assume that these obligations can be refinanced as they mature. That assumption is usually valid. Occasionally, though, either because of company-specific problems or a worldwide shortage of credit, maturities must actually be met by payment. For that, only cash will do the job.<br />
<br />
Borrowers then learn that credit is like oxygen. When either is abundant, its presence goes unnoticed. When either is missing, that’s all that is noticed. Even a short absence of credit can bring a company to its knees.<br />
<br />
In September 2008, in fact, its overnight disappearance in many sectors of the economy came dangerously close to bringing our entire country to its knees. Charlie and I have no interest in any activity that could pose the slightest threat to Berkshire’s wellbeing. (With our having a combined age of 167, starting over is not on our bucket list.) We are forever conscious of the fact that you, our partners, have entrusted us with what in many cases is a major portion of your savings. In addition, important philanthropy is dependent on our prudence. Finally, many disabled victims of accidents caused by our insureds are counting on us to deliver sums payable decades from now. It would be irresponsible for us to risk what all these constituencies need just to pursue a few points of extra return.<br />
<br />
A little personal history may partially explain our extreme aversion to financial adventurism. I didn’t meet Charlie until he was 35, though he grew up within 100 yards of where I have lived for 52 years and also attended the same inner-city public high school in Omaha from which my father, wife, children and two grandchildren graduated. Charlie and I did, however, both work as young boys at my grandfather’s grocery store, though our periods of employment were separated by about five years. My grandfather’s name was Ernest, and perhaps no man was more aptly named. No one worked for Ernest, even as a stock boy, without being shaped by the experience.<br />
<br />
On the facing page you can read a letter sent in 1939 by Ernest to his youngest son, my Uncle Fred. Similar letters went to his other four children. I still have the letter sent to my Aunt Alice, which I found – along with $1,000 of cash – when, as executor of her estate, I opened her safe deposit box in 1970.<br />
<br />
Ernest never went to business school – he never in fact finished high school – but he understood the importance of liquidity as a condition for assured survival. At Berkshire, we have taken his $1,000 solution a bit further and have pledged that we will hold at least $10 billion of cash, excluding that held at our regulated utility and railroad businesses. Because of that commitment, we customarily keep at least $20 billion on hand so that we can both withstand unprecedented insurance losses (our largest to date having been about $3 billion from Katrina, the insurance industry’s most expensive catastrophe) and quickly seize acquisition or investment opportunities, even during times of financial turmoil.<br />
<br />
By being so cautious in respect to leverage, we penalize our returns by a minor amount. Having loads of liquidity, though, lets us sleep well. Moreover, during the episodes of financial chaos that occasionally erupt in our economy, we will be equipped both financially and emotionally to play offense while others scramble for survival. That’s what allowed us to invest $15.6 billion in 25 days of panic following the Lehman bankruptcy in 2008.<br />
<br />
The pace of the earth’s movement around the sun is not synchronized with the time required for either investment ideas or operating decisions to bear fruit.<br />
<br />
<script src="http://www.brainyquote.com/link/quotebr.js" type="text/javascript">
</script><br />
Is it about time for a really good financial advisor? let us recommend one of the very best to you:<br />
<b><span style="font-size: large;"><a href="http://www.financialconcepts.ca/" target="_blank">Financial Concepts</a>.</span></b> We highly recommend them.<br />
<br />
<br />
<span style="font-size: x-small;">About me: I give Economic, Social and Global trend briefings from some of the world's brightest minds at my blog </span><a href="http://saveriomanzo.com/"><span style="font-size: x-small;">http://saveriomanzo.com/</span></a><span style="font-size: x-small;"> and </span><a href="http://saveriomanzo.blogspot.com/"><span style="font-size: x-small;">http://saveriomanzo.blogspot.com/</span></a><span style="font-size: x-small;">. I also provide true and tested </span><a href="http://financialconcepts.ca/"><span style="font-size: x-small;">financial planning </span></a><span style="font-size: x-small;">and </span><a href="http://wealthconcepts.ca/"><span style="font-size: x-small;">wealth advice</span></a><span style="font-size: x-small;">. Most recently, over the past few years, I have become </span><a href="http://feelgreengood.com/"><span style="font-size: x-small;">socially conscious </span></a><span style="font-size: x-small;">and have been attempting to practise ways in which I can live my life more </span><a href="http://feelgreengood.blogspot.com/"><span style="font-size: x-small;">environmentally friendly</span></a><span style="font-size: x-small;">. Along with some truly exceptional friends, we provide <a href="http://www.biz-advisor.ca/">consulting</a> and <a href="http://www.biz-advisor.ca/">business development</a> for small-medium sized businesses. </span><span style="font-size: x-small;">In addition, I truly believe in being </span><a href="http://zealousaltruism.blogspot.com/"><span style="font-size: x-small;">philanthropic</span></a><span style="font-size: x-small;">, giving and doing unto other as we would have them do unto us. Some of my fondest resources are from </span><a href="http://www.ritholtz.com/blog/"><span style="font-size: x-small;">Barry Ritholtz of The Big Picture</span></a><span style="font-size: x-small;">, </span><a href="http://www.gluskinsheff.com/"><span style="font-size: x-small;">David Rosenberg </span></a><span style="font-size: x-small;">and what Warren Buffett of </span><a href="http://www.berkshirehathaway.com/"><span style="font-size: x-small;">Berkshire Hathaway</span></a><span style="font-size: x-small;"> is up to behind the scenes, as an example.</span> saverio manzo <br />
<br />
<a href="http://www.everyoneweb.com/saveriomanzo/"><span style="font-size: xx-small;">http://www.everyoneweb.com/saveriomanzo/</span></a><span style="font-size: xx-small;"> </span><a href="http://saverio-manzo.jimdo.com/"><span style="font-size: xx-small;">http://saverio-manzo.jimdo.com/</span></a> <a href="http://saverio-manzo.yolasite.com/"><span style="font-size: xx-small;">http://saverio-manzo.yolasite.com/</span></a><span style="font-size: xx-small;"> </span><a href="http://saverio-manzo.webs.com/"><span style="font-size: xx-small;">http://saverio-manzo.webs.com/</span></a><span style="font-size: xx-small;"> </span><a href="http://saverio-manzo.weebly.com/"><span style="font-size: xx-small;">http://saverio-manzo.weebly.com/</span></a> <a href="http://saveriomanzo.terapad.com/"><span style="font-size: xx-small;">http://saveriomanzo.terapad.com</span></a><span style="font-size: xx-small;"> </span><a href="http://www.shareowners.org/profile/SaverioManzo"><span style="font-size: xx-small;">http://www.shareowners.org/profile/SaverioManzo</span></a> <a href="http://www.linkedin.com/pub/saverio-manzo/b/995/63"><span style="font-size: xx-small;">http://www.linkedin.com/pub/saverio-manzo/b/995/63</span></a><span style="font-size: xx-small;"> </span><a href="http://twitter.com/saveriomanzo"><span style="font-size: xx-small;">http://twitter.com/saveriomanzo</span></a> <a href="http://www.facebook.com/people/Saverio-Manzo/854720596?ref=search"><span style="font-size: xx-small;">http://www.facebook.com/people/Saverio-Manzo/854720596?ref=search</span></a>Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0tag:blogger.com,1999:blog-2120115560231053017.post-39781570864963100002011-02-24T10:06:00.000-05:002011-02-24T10:06:23.550-05:00Will the Price of Oil be a Game Changer?First it’s Tunisia.<br />
<br />
<br />
Then Egypt.<br />
<br />
And now Libya.<br />
<br />
What makes Libya different from a market’s perspective is that we are now<br />
<br />
talking about an oil exporter in the sudden grips of political upheaval.<br />
<br />
In this domino game, the next critical country we have to keep an eye on is<br />
<br />
Bahrain. It is home to the U.S. Navy’s 5th Fleet. A new regime there could in turn<br />
<br />
seriously impair America’s ability to patrol and monitor developments in the<br />
<br />
Persian Gulf and surrounding areas. Bahrain is ruled by a Sunni monarchy and<br />
<br />
yet the majority of the population is Shiite (and Art Cashin at UBS says that there<br />
<br />
is Iranian intelligence that has been planted within the civilian population). <br />
<br />
<br />
Saudi Arabia has the capacity to fill the void left by Libya, but that misses the <br />
<br />
<br />
point. The risk of further unrest is rising, especially with sectarian issues in full<br />
<br />
force in Bahrain. This means that oil prices at a minimum will retain a<br />
<br />
geopolitical risk premium — most oil experts now peg this at $10-$15 a barrel. If<br />
<br />
countries start to stockpile more crude in light of current events, one can expect<br />
<br />
the oil price premium to rise even further even if the situation calms down<br />
<br />
overseas. So no matter what, barring a sudden downturn in demand, and the<br />
<br />
one thing about oil (food too) is that demand is relatively inelastic over the nearterm,<br />
<br />
the risk is that we will see further increases in the price of crude even from<br />
<br />
current lofty levels.<br />
<br />
So the bottom line is that there is still more near-term upside potential than<br />
<br />
downside risk for the oil price (and most energy stocks). This then will act as a<br />
<br />
tax on consumers and as a margin squeeze for non-oil producers and only when<br />
<br />
global demand sputters, as it did in the summer of 2008, will the oil price break <br />
down — although it is likely to settle in a new and semi-permanently higher range <br />
<br />
<br />
as it did coming out of the global credit collapse.<br />
<br />
I believe we are getting closer to the point where the surge in oil prices could tip<br />
<br />
the global economy back into recession (we may have already reached that<br />
<br />
point anyway). My reading of Wall Street research shows that the trigger point for<br />
<br />
recession calls would be somewhere around $120 a barrel. As it stands, both<br />
<br />
the move in the oil price on a two-year basis and the current level in real terms<br />
<br />
suggest that the “odds” based on past performance would certainly be better<br />
<br />
than 50-50 as it pertains to the U.S. economy in any event. <br />
<br />
Exerpt from David Rosenburg, G-S <br />
<br />
<br />
<br />
<br />
<br />
<br />
<script type="text/javascript" src="http://www.brainyquote.com/link/quotebr.js"></script><br />
<span style="font-size: x-small;">About me: I give Economic, Social and Global trend briefings from some of the world's brightest minds at my blog </span><a href="http://saveriomanzo.com/"><span style="font-size: x-small;">http://saveriomanzo.com/</span></a><span style="font-size: x-small;"> and </span><a href="http://saveriomanzo.blogspot.com/"><span style="font-size: x-small;">http://saveriomanzo.blogspot.com/</span></a><span style="font-size: x-small;">. I also provide true and tested </span><a href="http://financialconcepts.ca/"><span style="font-size: x-small;">financial planning </span></a><span style="font-size: x-small;">and </span><a href="http://wealthconcepts.ca/"><span style="font-size: x-small;">wealth advice</span></a><span style="font-size: x-small;">. Most recently, over the past few years, I have become </span><a href="http://feelgreengood.com/"><span style="font-size: x-small;">socially conscious </span></a><span style="font-size: x-small;">and have been attempting to practise ways in which I can live my life more </span><a href="http://feelgreengood.blogspot.com/"><span style="font-size: x-small;">environmentally friendly</span></a><span style="font-size: x-small;">. Along with some truly exceptional friends, we provide <a href="http://www.biz-advisor.ca/">consulting</a> and <a href="http://www.biz-advisor.ca/">business development</a> for small-medium sized businesses. </span><span style="font-size: x-small;">In addition, I truly believe in being </span><a href="http://zealousaltruism.blogspot.com/"><span style="font-size: x-small;">philanthropic</span></a><span style="font-size: x-small;">, giving and doing unto other as we would have them do unto us. Some of my fondest resources are from </span><a href="http://www.ritholtz.com/blog/"><span style="font-size: x-small;">Barry Ritholtz of The Big Picture</span></a><span style="font-size: x-small;">, </span><a href="http://www.gluskinsheff.com/"><span style="font-size: x-small;">David Rosenberg </span></a><span style="font-size: x-small;">and what Warren Buffett of </span><a href="http://www.berkshirehathaway.com/"><span style="font-size: x-small;">Berkshire Hathaway</span></a><span style="font-size: x-small;"> is up to behind the scenes, as an example.</span> saverio manzo <br />
<br />
<a href="http://www.everyoneweb.com/saveriomanzo/"><span style="font-size: xx-small;">http://www.everyoneweb.com/saveriomanzo/</span></a><span style="font-size: xx-small;"> </span><a href="http://saverio-manzo.jimdo.com/"><span style="font-size: xx-small;">http://saverio-manzo.jimdo.com/</span></a> <a href="http://saverio-manzo.yolasite.com/"><span style="font-size: xx-small;">http://saverio-manzo.yolasite.com/</span></a><span style="font-size: xx-small;"> </span><a href="http://saverio-manzo.webs.com/"><span style="font-size: xx-small;">http://saverio-manzo.webs.com/</span></a><span style="font-size: xx-small;"> </span><a href="http://saverio-manzo.weebly.com/"><span style="font-size: xx-small;">http://saverio-manzo.weebly.com/</span></a> <a href="http://saveriomanzo.terapad.com/"><span style="font-size: xx-small;">http://saveriomanzo.terapad.com</span></a><span style="font-size: xx-small;"> </span><a href="http://www.shareowners.org/profile/SaverioManzo"><span style="font-size: xx-small;">http://www.shareowners.org/profile/SaverioManzo</span></a> <a href="http://www.linkedin.com/pub/saverio-manzo/b/995/63"><span style="font-size: xx-small;">http://www.linkedin.com/pub/saverio-manzo/b/995/63</span></a><span style="font-size: xx-small;"> </span><a href="http://twitter.com/saveriomanzo"><span style="font-size: xx-small;">http://twitter.com/saveriomanzo</span></a> <a href="http://www.facebook.com/people/Saverio-Manzo/854720596?ref=search"><span style="font-size: xx-small;">http://www.facebook.com/people/Saverio-Manzo/854720596?ref=search</span></a>Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0tag:blogger.com,1999:blog-2120115560231053017.post-605109923674749552011-02-16T11:08:00.000-05:002011-02-16T11:08:46.852-05:00Global Fund Managers Most Bullish in 10 YearsSome interesting perceptions that will affect investment returns.<br />
<br />
Via Reuters:<br />
<br />
<br />
<br />
* Investors were their most bullish on equities and commodities in nearly 10 years this month as optimism about growth surged, while inflation concerns led them to drastically sell down emerging stocks, a survey showed on Tuesday.<br />
<br />
* The monthly global fund managers' survey from Bank of America-Merrill Lynch showed a net 67 percent of respondents were overweight equities in February, compared with 55 percent in January. This month's reading means the difference between overweights and underweights is 67 percentage points -- a level seen for the first time since the poll started in April 2001.<br />
<br />
<br />
<br />
* The poll, which surveyed 188 participants who manage total assets of $569 billion, also showed a collapse in emerging markets allocations. A net 5 percent of respondents are overweight here -- the lowest since March 2009 -- compared with 43 percent in January and an average reading of 27 percent. Inflation expectations hit a 6-year high, with a net 75 percent of respondents expecting higher inflation in the next 12 months.<br />
<br />
* "It's one of the most bullish surveys we've had in a long time. Basically the story is growth expectations keep going on higher... What we're seeing is fairly extreme asset allocation decisions," said Patrick Schowitz, equity strategist at BofA Merrill Lynch.<br />
<br />
* "Warning lamps are really flashing. But we've seen a ...shift out of fixed income and into equities. You would expect some extreme asset allocation into risky assets while that shift is going on," Schowitz said.<br />
<br />
* Commodities are the second most favored asset class after stocks, with a record net 28 percent of investors being overweight from 16 percent last month.<br />
<br />
* Cash underweight positions moved to a net 9 percent, levels not seen since January 2002, from 5 percent in January.<br />
<br />
* Hedge funds were also becoming bullish, raising their gearing levels. The ratio of gross assets held by hedge funds relative to their capital rose to 1.49, their highest since March 2008, from 1.26 last month. (hedge funds are levering up, and in a substantial way between January and February)<br />
<br />
* Their net exposure to equity markets -- measured as long minus short as a percentage of capital -- rose to 39 percent, the highest since July 2007, from 31 percent in January.<br />
<br />
<script type="text/javascript" src="http://www.brainyquote.com/link/quotebr.js"></script><br />
<span style="font-size: x-small;">About me: I give Economic, Social and Global trend briefings from some of the world's brightest minds at my blog </span><a href="http://saveriomanzo.com/"><span style="font-size: x-small;">http://saveriomanzo.com/</span></a><span style="font-size: x-small;"> and </span><a href="http://saveriomanzo.blogspot.com/"><span style="font-size: x-small;">http://saveriomanzo.blogspot.com/</span></a><span style="font-size: x-small;">. I also provide true and tested </span><a href="http://financialconcepts.ca/"><span style="font-size: x-small;">financial planning </span></a><span style="font-size: x-small;">and </span><a href="http://wealthconcepts.ca/"><span style="font-size: x-small;">wealth advice</span></a><span style="font-size: x-small;">. Most recently, over the past few years, I have become </span><a href="http://feelgreengood.com/"><span style="font-size: x-small;">socially conscious </span></a><span style="font-size: x-small;">and have been attempting to practise ways in which I can live my life more </span><a href="http://feelgreengood.blogspot.com/"><span style="font-size: x-small;">environmentally friendly</span></a><span style="font-size: x-small;">. Along with some truly exceptional friends, we provide <a href="http://www.biz-advisor.ca/">consulting</a> and <a href="http://www.biz-advisor.ca/">business development</a> for small-medium sized businesses. </span><span style="font-size: x-small;">In addition, I truly believe in being </span><a href="http://zealousaltruism.blogspot.com/"><span style="font-size: x-small;">philanthropic</span></a><span style="font-size: x-small;">, giving and doing unto other as we would have them do unto us. Some of my fondest resources are from </span><a href="http://www.ritholtz.com/blog/"><span style="font-size: x-small;">Barry Ritholtz of The Big Picture</span></a><span style="font-size: x-small;">, </span><a href="http://www.gluskinsheff.com/"><span style="font-size: x-small;">David Rosenberg </span></a><span style="font-size: x-small;">and what Warren Buffett of </span><a href="http://www.berkshirehathaway.com/"><span style="font-size: x-small;">Berkshire Hathaway</span></a><span style="font-size: x-small;"> is up to behind the scenes, as an example.</span> saverio manzo <br />
<br />
<a href="http://www.everyoneweb.com/saveriomanzo/"><span style="font-size: xx-small;">http://www.everyoneweb.com/saveriomanzo/</span></a><span style="font-size: xx-small;"> </span><a href="http://saverio-manzo.jimdo.com/"><span style="font-size: xx-small;">http://saverio-manzo.jimdo.com/</span></a> <a href="http://saverio-manzo.yolasite.com/"><span style="font-size: xx-small;">http://saverio-manzo.yolasite.com/</span></a><span style="font-size: xx-small;"> </span><a href="http://saverio-manzo.webs.com/"><span style="font-size: xx-small;">http://saverio-manzo.webs.com/</span></a><span style="font-size: xx-small;"> </span><a href="http://saverio-manzo.weebly.com/"><span style="font-size: xx-small;">http://saverio-manzo.weebly.com/</span></a> <a href="http://saveriomanzo.terapad.com/"><span style="font-size: xx-small;">http://saveriomanzo.terapad.com</span></a><span style="font-size: xx-small;"> </span><a href="http://www.shareowners.org/profile/SaverioManzo"><span style="font-size: xx-small;">http://www.shareowners.org/profile/SaverioManzo</span></a> <a href="http://www.linkedin.com/pub/saverio-manzo/b/995/63"><span style="font-size: xx-small;">http://www.linkedin.com/pub/saverio-manzo/b/995/63</span></a><span style="font-size: xx-small;"> </span><a href="http://twitter.com/saveriomanzo"><span style="font-size: xx-small;">http://twitter.com/saveriomanzo</span></a> <a href="http://www.facebook.com/people/Saverio-Manzo/854720596?ref=search"><span style="font-size: xx-small;">http://www.facebook.com/people/Saverio-Manzo/854720596?ref=search</span></a>Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0tag:blogger.com,1999:blog-2120115560231053017.post-25536243331264469322011-02-05T20:08:00.000-05:002011-02-05T20:08:58.594-05:00Egypt and Democracy: a price for the Middle EastTo friends and colleagues on the bcc list. The American sense of democracy, human rights, transparent government and the rest of the list we all know pulls me in favor of the inevitable (now) changes coming in most of the autocratic regimes in the Middle East. But the issue of what the new regimes will be like gnaws continuously. We must not be sanguine about the outcomes. I think the risk of regional conflagration is high and rising.<br />
<br />
<br />
This sobering summary below comes to me from a longtime friend, a skilled lawyer and prosecutor, who now spends some of his time in Jerusalem. Some may recognize him but I will preserve his anonymity for those who do know him. Note that, while Egypt remains in the top of the news, the spread of resistance and demonstration is rapidly occurring throughout the Middle East and North Africa.<br />
<br />
D: An article appearing in today’s NYTimes by Helene Cooper and Mark Lander suggests, somewhat snidely, that it is ironic that Israel, the only democracy in the Middle East, would be so wary of their neighbor wanting the same thing. Here’s a few facts that might explain why.<br />
<br />
A poll taken by the Pew Research Center in late 2009 revealed that 95% of Egyptians, 96% of Jordanians and Palestinians and 98 % of Syrians and Lebanese hold hostile views toward both Israel and Jews. They simply do not want Israel here. What CNN is not showing but what we have seen here via Israeli journalists are many signs of Mubarak with the Star of David drawn around his face or next to him, both with diagnals across them. Any democracy, and its leaders, must answer to the people. If these are the people, what does that portend for any democratically elected government in Egypt? Whatever their internal and political differences, the one unifying factor for virtually all Egyptians is their hatred of Israel. It also explains why Israel was able to negotiate its two peace treaties with Arab dictators. They could not have done so with a democratic Egypt or Jordan. When that democratically elected government in Egypt comes to power, as it soon will, it will control a standing army of 500,000, an airforce of over 500 planes, half of them new F-16s, over 4,000 tanks, 1000 of which are new Abrams A1As,a dozen batteries of the most sophisticated anti aircraft missiles in the world and an untold number of Scud B rockets–much more accurate than those which Saddam Hussein threw at Tel Aviv in Gulf War I . All supplied by the US, of course. Who would they want to use them against? Libya? Sudan? So, yes, you might say we’re kind of wary. Wouldn’t you be? -Gerry<br />
<br />
From: Barry Ritholtz<br />
<br />
<script type="text/javascript" src="http://www.brainyquote.com/link/quotebr.js"></script><br />
<span style="font-size: x-small;">About me: I give Economic, Social and Global trend briefings from some of the world's brightest minds at my blog </span><a href="http://saveriomanzo.com/"><span style="font-size: x-small;">http://saveriomanzo.com/</span></a><span style="font-size: x-small;"> and </span><a href="http://saveriomanzo.blogspot.com/"><span style="font-size: x-small;">http://saveriomanzo.blogspot.com/</span></a><span style="font-size: x-small;">. I also provide true and tested </span><a href="http://financialconcepts.ca/"><span style="font-size: x-small;">financial planning </span></a><span style="font-size: x-small;">and </span><a href="http://wealthconcepts.ca/"><span style="font-size: x-small;">wealth advice</span></a><span style="font-size: x-small;">. Most recently, over the past few years, I have become </span><a href="http://feelgreengood.com/"><span style="font-size: x-small;">socially conscious </span></a><span style="font-size: x-small;">and have been attempting to practise ways in which I can live my life more </span><a href="http://feelgreengood.blogspot.com/"><span style="font-size: x-small;">environmentally friendly</span></a><span style="font-size: x-small;">. Along with some truly exceptional friends, we provide <a href="http://www.biz-advisor.ca/">consulting</a> and <a href="http://www.biz-advisor.ca/">business development</a> for small-medium sized businesses. </span><span style="font-size: x-small;">In addition, I truly believe in being </span><a href="http://zealousaltruism.blogspot.com/"><span style="font-size: x-small;">philanthropic</span></a><span style="font-size: x-small;">, giving and doing unto other as we would have them do unto us. Some of my fondest resources are from </span><a href="http://www.ritholtz.com/blog/"><span style="font-size: x-small;">Barry Ritholtz of The Big Picture</span></a><span style="font-size: x-small;">, </span><a href="http://www.gluskinsheff.com/"><span style="font-size: x-small;">David Rosenberg </span></a><span style="font-size: x-small;">and what Warren Buffett of </span><a href="http://www.berkshirehathaway.com/"><span style="font-size: x-small;">Berkshire Hathaway</span></a><span style="font-size: x-small;"> is up to behind the scenes, as an example.</span> saverio manzo <br />
<br />
<a href="http://www.everyoneweb.com/saveriomanzo/"><span style="font-size: xx-small;">http://www.everyoneweb.com/saveriomanzo/</span></a><span style="font-size: xx-small;"> </span><a href="http://saverio-manzo.jimdo.com/"><span style="font-size: xx-small;">http://saverio-manzo.jimdo.com/</span></a> <a href="http://saverio-manzo.yolasite.com/"><span style="font-size: xx-small;">http://saverio-manzo.yolasite.com/</span></a><span style="font-size: xx-small;"> </span><a href="http://saverio-manzo.webs.com/"><span style="font-size: xx-small;">http://saverio-manzo.webs.com/</span></a><span style="font-size: xx-small;"> </span><a href="http://saverio-manzo.weebly.com/"><span style="font-size: xx-small;">http://saverio-manzo.weebly.com/</span></a> <a href="http://saveriomanzo.terapad.com/"><span style="font-size: xx-small;">http://saveriomanzo.terapad.com</span></a><span style="font-size: xx-small;"> </span><a href="http://www.shareowners.org/profile/SaverioManzo"><span style="font-size: xx-small;">http://www.shareowners.org/profile/SaverioManzo</span></a> <a href="http://www.linkedin.com/pub/saverio-manzo/b/995/63"><span style="font-size: xx-small;">http://www.linkedin.com/pub/saverio-manzo/b/995/63</span></a><span style="font-size: xx-small;"> </span><a href="http://twitter.com/saveriomanzo"><span style="font-size: xx-small;">http://twitter.com/saveriomanzo</span></a> <a href="http://www.facebook.com/people/Saverio-Manzo/854720596?ref=search"><span style="font-size: xx-small;">http://www.facebook.com/people/Saverio-Manzo/854720596?ref=search</span></a><br />
<br />
Ne<a href="http://www.thinkinsure.ca/insurance.php">ed Car Insurance?</a>Saverio Manzo bloghttp://www.blogger.com/profile/13340379232831747256noreply@blogger.com0