Archive for category Investing
Property In Bulgaria What Is All That About?
Nicholas Marr asked:
Property in Bulgaria has caused so much activity amongst all involved in the overseas property industry that you can easily get dizzy from the amount of information and property available in the region. One thing is for sure Bulgaria as an emerging market that is set to change the former member of the Soviet Union forever
Bulgarian facts
Bulgaria officially the Republic of Bulgaria is a country in Southeastern Europe, It borders the Black Sea to the east, Greece and Turkey to the south, Serbia and the Republic of Macedonia to the west, and Romania to the north, mostly along the Danube.
Modern Bulgaria
Bulgaria opened its doors to tourism and foreign investment the early 1990s. Bulgaria’s 8 million inhabitants live in an area as large as England and enjoy an attractive mix of landscapes which have made Bulgaria such a popular holiday destination. Its sunny Black sea coast attracts holiday makers in the summer. Its Ski resorts in Bansko, Barovets and mount Vitosha make it an affordable place to ski in the winter. The quiet Bulgarian villages, historic buildings and cosmopolitan cities make it ideal place to visit all year round. Investors tip the Capital Sofia as a sound place to invcest in property abroad.
Property in Sofia Bulgaria
Sofia is getting richer and is definitely on its way up both business and tourism help make the city an attractive place to invest. Businesses are setting up in Sofia and evidence around the city is clear with impressive modern buildings, multi national company offices, BMW and Porsche dealerships to name but a few. Tourists visit the city all year round, helped by low cost airlines flying into Sofia Airport. The impressive architecture makes Sofia a good place to wander around; churches such as the Aleksander Nevski Memorial Church will always attract those looking for a relaxing city break. Property investors buying property in Sofia do not need to rely on seasonal tenants to fill their investment properties. The combination of local and foreign employees and visitors to Sofia make the city an attractive place to invest.
Buying property in Bulgaria the process
Buying property in Bulgaria means in most cases that overseas property buyers will need to set up a limited company. The exception to this is when a buyer purchases a leasehold property such as an apartment. In this case you do not own the land and therefore foreign buyers can buy Bulgarian property without the need to set up a Bulgarian registered company. Entry to the EU in 2007 will hopefully see these rules change
Dangelo
Property in Bulgaria has caused so much activity amongst all involved in the overseas property industry that you can easily get dizzy from the amount of information and property available in the region. One thing is for sure Bulgaria as an emerging market that is set to change the former member of the Soviet Union forever
Bulgarian facts
Bulgaria officially the Republic of Bulgaria is a country in Southeastern Europe, It borders the Black Sea to the east, Greece and Turkey to the south, Serbia and the Republic of Macedonia to the west, and Romania to the north, mostly along the Danube.
Modern Bulgaria
Bulgaria opened its doors to tourism and foreign investment the early 1990s. Bulgaria’s 8 million inhabitants live in an area as large as England and enjoy an attractive mix of landscapes which have made Bulgaria such a popular holiday destination. Its sunny Black sea coast attracts holiday makers in the summer. Its Ski resorts in Bansko, Barovets and mount Vitosha make it an affordable place to ski in the winter. The quiet Bulgarian villages, historic buildings and cosmopolitan cities make it ideal place to visit all year round. Investors tip the Capital Sofia as a sound place to invcest in property abroad.
Property in Sofia Bulgaria
Sofia is getting richer and is definitely on its way up both business and tourism help make the city an attractive place to invest. Businesses are setting up in Sofia and evidence around the city is clear with impressive modern buildings, multi national company offices, BMW and Porsche dealerships to name but a few. Tourists visit the city all year round, helped by low cost airlines flying into Sofia Airport. The impressive architecture makes Sofia a good place to wander around; churches such as the Aleksander Nevski Memorial Church will always attract those looking for a relaxing city break. Property investors buying property in Sofia do not need to rely on seasonal tenants to fill their investment properties. The combination of local and foreign employees and visitors to Sofia make the city an attractive place to invest.
Buying property in Bulgaria the process
Buying property in Bulgaria means in most cases that overseas property buyers will need to set up a limited company. The exception to this is when a buyer purchases a leasehold property such as an apartment. In this case you do not own the land and therefore foreign buyers can buy Bulgarian property without the need to set up a Bulgarian registered company. Entry to the EU in 2007 will hopefully see these rules change
Dangelo
Investing Online – Genius Funds Emerging Market Growth Fund
Danny Henley asked:
Genius Funds is an investment firm and operates two investment funds, yielding from 5 to 9% R.O.I. weekly. These are investments in real securities, options and futures. Because Genius Funds is located outside the scope of main regulatory bodies, investment methods, that are not permitted under various regulatory statutes in the United States, UK, and other developed and developing countries, are being utilized. These investment methods are normally only available to institutional investors or professional investors. This means higher profits being passed down to retail investors.
Today’s economic environment is very dynamic and complex. Fast developing technologies and expanding financial globalization provide a wide range of investment opportunities. Globalization allows an investors to invest in a Indian mutual fund, or textile plant in Singapore, or in any number of other expanding financial markets, all without ever having to leave the comfort of their home.
Emerging economies of Eastern Europe and East Asia are now providing some of the most lucrative and healthy investment opportunity environments available. The main type of global investment is the investment fund. This investment tool attracts the resources of many investors, world-wide, and invests them in a variety of stocks, bonds, and other securities. The main advantage of an investment fund is that it provides access to a range of sophisticated investments through a managed service.
Genius Funds has two investment funds: the Emerging Markets Growth Fund (EMGF) and the World Bond Market Fund (WBMF), as well as a High Yield Deposit Account (HYDA).
The EMGF investments are made in countries with S&P ratings of BB+, or higher. Investments are diversified across many industries, focusing mainly on the country’s leading industry, one producing 20%+ of the Gross Domestic Product (GDP). For example, the KASE stock exchange of Alma-Ata, Kazakhstan (S&P rating of BBB), where the fund is invested heavily in the energy market. Kazakhstan has one of the largest underdeveloped (non-OPEC) oil reserves in the world. The energy export of this market produces a major portion of Kazakhstan’s GDP. This section of the country’s economy has a very low likelihood of investment failure. The share price of the EMGF is $1 per share, and income generated by the fund is distributed to shareholders daily, at a rate of between 1.1 and 1.9 percent, based on amount invested in the fund. Shares totaling between $10-$499 (Common shares) earn 1.1% – 1.2%, $500-$4,999 (Preferred shares) earn 1.1% – 1.4%, and Premium shares earn 1.3% – 1.9% ($5,000+).
The WBMF mainly invests in investment-grade income-only securities. However, up to 30% of its funds may be invested into equities, futures, and commodities. The portfolio looks for long-term capital growth by investing in securities of companies located in emerging economies, in such nations as China and India, where social and/or business activity is in the process of rapid growth and industrialization, where growth potential is likely to outpace market expectations. Most countries in which Genius Funds invests WBMF have S&P ratings of BB+ or higher. Investments are diversified across many industries, focusing on industries producing at least 20% of a country’s GDP. Income generated with WBMF is distributed to shareholders weekly, at rates of 6%-6.5% for Common shares, 6.5%-7% for Preferred shares, and 7.4%-9% for Preferred shares.
The Genius High Yield Deposit Account (HYDA) combines high returns and the flexibility of your local bank. HYDA is a fixed interest deposit account with no term of deposit. This means that funds can be withdrawn at any time. The interest on the Genius HYDA is payable daily and there is a $300 minimum deposit requirement, balances falling below $300 stop earning interest. A ten-day notice must be given prior to withdrawing funds from your Genius HYDA account.
Interest rates for the Genius HYDA:
$300 – $2,000 14% Monthly $2,001 – $5,000 18% Monthly $5,001 – $50,000 25% Monthly
Maria
Genius Funds is an investment firm and operates two investment funds, yielding from 5 to 9% R.O.I. weekly. These are investments in real securities, options and futures. Because Genius Funds is located outside the scope of main regulatory bodies, investment methods, that are not permitted under various regulatory statutes in the United States, UK, and other developed and developing countries, are being utilized. These investment methods are normally only available to institutional investors or professional investors. This means higher profits being passed down to retail investors.
Today’s economic environment is very dynamic and complex. Fast developing technologies and expanding financial globalization provide a wide range of investment opportunities. Globalization allows an investors to invest in a Indian mutual fund, or textile plant in Singapore, or in any number of other expanding financial markets, all without ever having to leave the comfort of their home.
Emerging economies of Eastern Europe and East Asia are now providing some of the most lucrative and healthy investment opportunity environments available. The main type of global investment is the investment fund. This investment tool attracts the resources of many investors, world-wide, and invests them in a variety of stocks, bonds, and other securities. The main advantage of an investment fund is that it provides access to a range of sophisticated investments through a managed service.
Genius Funds has two investment funds: the Emerging Markets Growth Fund (EMGF) and the World Bond Market Fund (WBMF), as well as a High Yield Deposit Account (HYDA).
The EMGF investments are made in countries with S&P ratings of BB+, or higher. Investments are diversified across many industries, focusing mainly on the country’s leading industry, one producing 20%+ of the Gross Domestic Product (GDP). For example, the KASE stock exchange of Alma-Ata, Kazakhstan (S&P rating of BBB), where the fund is invested heavily in the energy market. Kazakhstan has one of the largest underdeveloped (non-OPEC) oil reserves in the world. The energy export of this market produces a major portion of Kazakhstan’s GDP. This section of the country’s economy has a very low likelihood of investment failure. The share price of the EMGF is $1 per share, and income generated by the fund is distributed to shareholders daily, at a rate of between 1.1 and 1.9 percent, based on amount invested in the fund. Shares totaling between $10-$499 (Common shares) earn 1.1% – 1.2%, $500-$4,999 (Preferred shares) earn 1.1% – 1.4%, and Premium shares earn 1.3% – 1.9% ($5,000+).
The WBMF mainly invests in investment-grade income-only securities. However, up to 30% of its funds may be invested into equities, futures, and commodities. The portfolio looks for long-term capital growth by investing in securities of companies located in emerging economies, in such nations as China and India, where social and/or business activity is in the process of rapid growth and industrialization, where growth potential is likely to outpace market expectations. Most countries in which Genius Funds invests WBMF have S&P ratings of BB+ or higher. Investments are diversified across many industries, focusing on industries producing at least 20% of a country’s GDP. Income generated with WBMF is distributed to shareholders weekly, at rates of 6%-6.5% for Common shares, 6.5%-7% for Preferred shares, and 7.4%-9% for Preferred shares.
The Genius High Yield Deposit Account (HYDA) combines high returns and the flexibility of your local bank. HYDA is a fixed interest deposit account with no term of deposit. This means that funds can be withdrawn at any time. The interest on the Genius HYDA is payable daily and there is a $300 minimum deposit requirement, balances falling below $300 stop earning interest. A ten-day notice must be given prior to withdrawing funds from your Genius HYDA account.
Interest rates for the Genius HYDA:
$300 – $2,000 14% Monthly $2,001 – $5,000 18% Monthly $5,001 – $50,000 25% Monthly
Maria
Should You Invest in Emerging Markets?
William Hutchens asked:
No doubt about it, the cat is out of the bag. Over the past five years or so, the emerging markets have made their story of sizzling returns well known-particularly to those investors who were too timid to include them in their portfolios. But this story is now a fundamental shift of historic proportions and should no longer be thought of as just a possibility. Globalization is here; with us or without us.
Many feel that if it weren’t for the markets and investments of the developed World, emerging markets would still be submerged in stagnation and little hope. That may have been true five years ago but because of the ability to form regional trade pacts amongst themselves and the fact that the free flow of investment funds will flow to the lowest producers, it appears that the developing markets are becoming less essential (but still very important) to the emerging markets. In fact, in 2008, the emerging market economies are expected to out perform the sagging industrialized economies.
This should tell investors that the crawling phase of emerging markets is over and they can now stand up and stagger. But if the World Bank is correct, by 2020 the four largest emerging markets (Brazil, Russia, India and China) will more than double their share of world output from 7.8 percent to 16.1 and they will also become more significant buyers of goods and services than the now established industrialized countries.
Most experts agree that advances in technology allow investors to become much more global as the spread of capitalism and freer markets allows knowledgeable investors to be able to add higher returns to their portfolios. And indeed, if recent history is any indication, having exposure to these rapidly growing markets can add some real punch to portfolios. The list below shows average annual returns for some emerging market ETFs for the past five years:
Indonesia Fund (IF): 44.72% India Fund (IFN): 37.20% Ireland Fund (IRL): 34.17% Mexico Fund (MXF): 30.17 Greater China Fund (GCH): 29.04%
There is also an interesting phenomenon in that as more time elapses and emerging markets continue to prosper, the risk-reward ratio becomes even more favorable. Local economies become larger, local wealth is built up and emerging markets form regional blocks (For example, India and China have a contiguous border and contain almost 40% of the World’s population). Some experts feel that several of the emerging markets may have reached a “critical mass” which as long as there are little restrictions to the free flow of investment funds across borders, the growth will only pick up speed.
While some professional investment advisors don’t advocate that investors go overboard and stuff their portfolios with emerging market equities, but many do feel that long term investors should have at least some exposure to emerging markets-mainly through carefully selected ETFs. How much emerging market exposure depends on age and risk tolerance.
There are different kinds of funds that are specifically dedicated to investing in foreign stocks.
Global Funds nvest primarily in foreign companies but can also invest in the stocks of the developed world. International Funds limit their investments to countries outside of your home country. Because many foreign companies may not be listed on major exchanges, the information about an emerging market company is usually not as transparent or accessible as most investors would prefer. Moreover, investing in these markets usually requires some specialized knowledge of the countries involved. As a result, it is strongly recommended that professional advice be sought to help choose the most appropriate emerging market investment for your specific portfolio needs. Regional or Country Funds invest in companies located in a particular geographical area (such as Eastern Europe, Latin America) or in a single country (Brazil Fund). Some funds further specialize by focusing on certain industrial sectors within an emerging market or country. International Index Funds invest in foreign market indices. The aim is to capture the overall market performance. Also, Index funds differ from managed funds in that there is no active management and fees are lower.
Glenn
No doubt about it, the cat is out of the bag. Over the past five years or so, the emerging markets have made their story of sizzling returns well known-particularly to those investors who were too timid to include them in their portfolios. But this story is now a fundamental shift of historic proportions and should no longer be thought of as just a possibility. Globalization is here; with us or without us.
Many feel that if it weren’t for the markets and investments of the developed World, emerging markets would still be submerged in stagnation and little hope. That may have been true five years ago but because of the ability to form regional trade pacts amongst themselves and the fact that the free flow of investment funds will flow to the lowest producers, it appears that the developing markets are becoming less essential (but still very important) to the emerging markets. In fact, in 2008, the emerging market economies are expected to out perform the sagging industrialized economies.
This should tell investors that the crawling phase of emerging markets is over and they can now stand up and stagger. But if the World Bank is correct, by 2020 the four largest emerging markets (Brazil, Russia, India and China) will more than double their share of world output from 7.8 percent to 16.1 and they will also become more significant buyers of goods and services than the now established industrialized countries.
Most experts agree that advances in technology allow investors to become much more global as the spread of capitalism and freer markets allows knowledgeable investors to be able to add higher returns to their portfolios. And indeed, if recent history is any indication, having exposure to these rapidly growing markets can add some real punch to portfolios. The list below shows average annual returns for some emerging market ETFs for the past five years:
Indonesia Fund (IF): 44.72% India Fund (IFN): 37.20% Ireland Fund (IRL): 34.17% Mexico Fund (MXF): 30.17 Greater China Fund (GCH): 29.04%
There is also an interesting phenomenon in that as more time elapses and emerging markets continue to prosper, the risk-reward ratio becomes even more favorable. Local economies become larger, local wealth is built up and emerging markets form regional blocks (For example, India and China have a contiguous border and contain almost 40% of the World’s population). Some experts feel that several of the emerging markets may have reached a “critical mass” which as long as there are little restrictions to the free flow of investment funds across borders, the growth will only pick up speed.
While some professional investment advisors don’t advocate that investors go overboard and stuff their portfolios with emerging market equities, but many do feel that long term investors should have at least some exposure to emerging markets-mainly through carefully selected ETFs. How much emerging market exposure depends on age and risk tolerance.
There are different kinds of funds that are specifically dedicated to investing in foreign stocks.
Global Funds nvest primarily in foreign companies but can also invest in the stocks of the developed world. International Funds limit their investments to countries outside of your home country. Because many foreign companies may not be listed on major exchanges, the information about an emerging market company is usually not as transparent or accessible as most investors would prefer. Moreover, investing in these markets usually requires some specialized knowledge of the countries involved. As a result, it is strongly recommended that professional advice be sought to help choose the most appropriate emerging market investment for your specific portfolio needs. Regional or Country Funds invest in companies located in a particular geographical area (such as Eastern Europe, Latin America) or in a single country (Brazil Fund). Some funds further specialize by focusing on certain industrial sectors within an emerging market or country. International Index Funds invest in foreign market indices. The aim is to capture the overall market performance. Also, Index funds differ from managed funds in that there is no active management and fees are lower.
Glenn
Employ a Stop Loss and be Prepared to Take a Small Loss
Larry Potter asked:
Using a stop loss virtually removes the human element from the emotional decision to sell a stock or cover a short sale. You’ll stop yourself before you destroy your account. With most of your capital preserved, you’ll return to invest another day.
The stop loss is simply a sell order that is placed a point or two or three below your buy price when you enter a stock position. If the market goes against your stock and it declines to your stop price, a market order is automatically triggered to promptly take you out of the position. The theory is simple: Take a small loss today rather a big loss tomorrow.
We suggest using a stop loss for nearly every one of our plays. The placement of the stop can be quite specific, i.e., placing the stop just below the point where the stock breaks out of a strong chart pattern. Or it can be general, maybe a couple of points to give the shares some “wiggle room” during periods of market volatility. In most cases, we’ll set a stop to limit our potential loss to no more than 10%.
But a stop is for more than downside protection. It should also be used to lock in profits when a trade is going your way. The technique is using a “trailing” stop.
Say you bought shares in XYZ at 20 and set your stop loss at 18. A week later XYZ is at 22. The savvy investor will cancel his old stop and place a new one at 20. If the stock sells off and hits 20, you’ll be out of the position at break-even. If XYZ continues to climb to, say, 24, you can put in a new stop at 22 and lock in a two-point (10%) gain. In a rising market, you might be able to “trail” the stop below an advancing stock for weeks or months, locking in additional profits along the way.
(Note: For short sales
Using a stop loss virtually removes the human element from the emotional decision to sell a stock or cover a short sale. You’ll stop yourself before you destroy your account. With most of your capital preserved, you’ll return to invest another day.
The stop loss is simply a sell order that is placed a point or two or three below your buy price when you enter a stock position. If the market goes against your stock and it declines to your stop price, a market order is automatically triggered to promptly take you out of the position. The theory is simple: Take a small loss today rather a big loss tomorrow.
We suggest using a stop loss for nearly every one of our plays. The placement of the stop can be quite specific, i.e., placing the stop just below the point where the stock breaks out of a strong chart pattern. Or it can be general, maybe a couple of points to give the shares some “wiggle room” during periods of market volatility. In most cases, we’ll set a stop to limit our potential loss to no more than 10%.
But a stop is for more than downside protection. It should also be used to lock in profits when a trade is going your way. The technique is using a “trailing” stop.
Say you bought shares in XYZ at 20 and set your stop loss at 18. A week later XYZ is at 22. The savvy investor will cancel his old stop and place a new one at 20. If the stock sells off and hits 20, you’ll be out of the position at break-even. If XYZ continues to climb to, say, 24, you can put in a new stop at 22 and lock in a two-point (10%) gain. In a rising market, you might be able to “trail” the stop below an advancing stock for weeks or months, locking in additional profits along the way.
(Note: For short sales
California Adjustable Rate Mortgage
Darren Dunner asked:
Adjustable rate mortgages, or otherwise called ARM, have been differentiated from the fixed rate mortgages in the sense that the monthly payments as well as the interest rate can be changed over the entire life of the loan in case of California adjustable rate mortgage. Another feature of ARM is that they have lower introductory interest rates when compared with fixed rate mortgages. Before taking any decision in taking California adjustable rate mortgage the key factor to keep in mind is about the duration of owning the property and the frequency in changing the monthly payment.
The main advantage in choosing the California adjustable-rate mortgage is that it provides very low initial interest rates. California adjustable rate-mortgage is not the loan, which can be obtained by all.
There are three components for California adjustable-rate mortgages; the Index, to the interest rate for an ARM is based on. This index measures the ability of the lender in borrowing money. The common thing of all indexes is that the lender cannot control them.
Another component is Margin, which is also called, as “spread” is the percentage, which is added to index for covering the lenders administrative, profit or costs. Margin usually remains constant throughout the entire life of the loan but index may rise and fall at times.
The next component of California adjustable-rate mortgage is the calculated interest rate, which is the sum of index and margin, and it is the rate, which the homeowner pays. It is also the rate to which further rate adjustments can be done.
The lenders usually charge a very low initial rate for the California adjustable-rate mortgages, it makes the ARM very easy in the pocket book very first rather than a fixed-rate mortgage for the very same amount. Another very useful advantage is that the borrower may be sometimes qualified for a larger loan as sometimes the lenders might take decisions, which will be based on the present income and the payment of the first year. This becomes really an added advantage for the borrowers over fixed-rate mortgages.
Moreover, the California adjustable-rate mortgage can be available to the borrower in a cheaper way over a long period than the fixed-rate mortgage in case the interest rates remain still or might move lower. Another very important disadvantage and the thing to keep in mind always is that there possess a risk in case of the interest rates if it would lead to a larger monthly payments than the current one in the coming future.
Copyright (c) 2006 Darren Dunner
Jarrod
Adjustable rate mortgages, or otherwise called ARM, have been differentiated from the fixed rate mortgages in the sense that the monthly payments as well as the interest rate can be changed over the entire life of the loan in case of California adjustable rate mortgage. Another feature of ARM is that they have lower introductory interest rates when compared with fixed rate mortgages. Before taking any decision in taking California adjustable rate mortgage the key factor to keep in mind is about the duration of owning the property and the frequency in changing the monthly payment.
The main advantage in choosing the California adjustable-rate mortgage is that it provides very low initial interest rates. California adjustable rate-mortgage is not the loan, which can be obtained by all.
There are three components for California adjustable-rate mortgages; the Index, to the interest rate for an ARM is based on. This index measures the ability of the lender in borrowing money. The common thing of all indexes is that the lender cannot control them.
Another component is Margin, which is also called, as “spread” is the percentage, which is added to index for covering the lenders administrative, profit or costs. Margin usually remains constant throughout the entire life of the loan but index may rise and fall at times.
The next component of California adjustable-rate mortgage is the calculated interest rate, which is the sum of index and margin, and it is the rate, which the homeowner pays. It is also the rate to which further rate adjustments can be done.
The lenders usually charge a very low initial rate for the California adjustable-rate mortgages, it makes the ARM very easy in the pocket book very first rather than a fixed-rate mortgage for the very same amount. Another very useful advantage is that the borrower may be sometimes qualified for a larger loan as sometimes the lenders might take decisions, which will be based on the present income and the payment of the first year. This becomes really an added advantage for the borrowers over fixed-rate mortgages.
Moreover, the California adjustable-rate mortgage can be available to the borrower in a cheaper way over a long period than the fixed-rate mortgage in case the interest rates remain still or might move lower. Another very important disadvantage and the thing to keep in mind always is that there possess a risk in case of the interest rates if it would lead to a larger monthly payments than the current one in the coming future.
Copyright (c) 2006 Darren Dunner
Jarrod