Perbankkan

Groups of Business Leaders, Advisor and Leverage.

Posted on 11 November 2011. Filed under: AROUND SABAH, canggihlaksana, Finance, Kareer, Kerjaya, kursus, Pelan Perniagaan, peluang perniagaan, Pendapatan Aktif, Pendapatan Pasif, Perbankkan, Plan Perniagaan | Tags: , , , , , , , , , , |

http://canggihlaksana-group.webs.com/

Groups of Business Leaders, Advisor and Leverage.

PERKHIDMATAN YANG DITAWARKAN:

1.      Pendaftaran Perniagaan Pemilik Tunggal.

2.      Pendaftaran Perniagaan Pemilik Perkongsian.

3.      Pendaftaran Kementerian Kewangan (MOF).

4.      Pendaftaran Status  Bumiputera  di Kementerian Kewangan (PMS) dan E-perolehan.

5.      Pembaharuan Pendaftaran.

6.      Permohonan Tambah Bidang.

7.      Penyediaan Pofail Syarikat.

8.      Kemudahan Kemaskini Profil Pembekal

9.      Penyediaan Kertas Kerja / Proposal Permohonan Pinjaman.

10.  Penyediaan Plan Perniagaan.

11.  Pendaftaran Pusat Khidmat Kontraktor PKK, CIDB.

12.   Akaun Syarikat Enterprise dan Sdn Bhd.

13.   Akaun / Pengiraan Cukai (INCOME TAX) Syarikat dan Individu.

14.   Agensi Pencari Pekerjaan.

15.  Agensi Peluang Pendidikan di IPTS.

Sila hubungi:  088-243069 (Office) atau agen – agen kami 019-8612758 – Abd Latiff Hj. Muluk untuk mendapatkan khidmat nasihat , bimbingan bidang perniagaan yang ingin diceburi  atau datang sendiri ke pejabat operasi kami di Lot 2, Blok A, Taman Keramat, Km.4 jalan Tuaran Lama, 88400 Kota Kinabalu untuk keterangan lebih lanjut.

We look forward to hearing from you!

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tempat tahanan mangsa along (dirantai 2 bulan)

Posted on 28 May 2009. Filed under: Finance, Pelaburan, Pelan Perniagaan, Perbankkan | Tags: , |

Dirantai 2 bulan

Oleh Shanty Nur Shaffizan Shafee

SUBANG JAYA: Mereka hanya diberi sebuku roti untuk sajian selama seminggu manakala air diteguk daripada air paip tandas ketika dikurung dalam lokap buatan sendiri antara 17 hari hingga dua bulan akibat gagal melunaskan hutang along.

Dengan bilik sebesar tiga meter persegi, kaki, tangan dan leher ketiga-tiga mangsa along itu turut dirantai bagaikan binatang.

Begitulah nasib tiga lelaki terbabit yang terpaksa menjalani hukuman dalam lokap buatan sendiri yang dibina di tingkat bawah sebuah rumah kedai empat tingkat di Jalan PBS 14/2, Perindustrian Bukit Serdang di sini, selepas gagal melunaskan pinjaman berkenaan.

Malah, ketika ditahan dalam lokap umpama Penjara Guantanamo di Cuba itu, semua ‘banduan’ terbabit diseksa dengan kaki, tangan dan leher dirantai pada sebatang tiang dalam dua lokap berkeluasan tiga meter persegi setiap satu.

Bagaimanapun, seksaan yang dijalani tiga lelaki terbabit berakhir semalam apabila diselamatkan sepasukan polis.

Wartawan dan jurugambar yang diberi kebenaran memasuki tempat tahanan mangsa along itu terhidu bau busuk teramat sangat berikutan lokap itu dibina tanpa saluran udara dan keadaan lembap serta berlumut.

Sebaik ternampak media merakam gambar mereka, dua lelaki dalam satu lokap menutup muka masing-masing.

Seorang lagi yang dikenali sebagai Lim kelihatan sebak apabila mengetahui dia berjaya diselamatkan pihak berkuasa.

Berdasarkan panjang rantai itu, mereka hanya boleh bergerak hingga ke tandas saja.

Ketika ditemui, ketiga-tiga mereka dalam keadaan lemah dengan kesan lebam seluruh badan akibat dipukul dan dirotan apabila membuat bising atau cuba menarik perhatian orang ramai di luar bangunan rumah kedai itu.

Lim, 49, yang tidak keberatan untuk ditemubual wartawan, menyatakan dia ditahan di situ sejak dua bulan lalu, manakala dua lagi peminjam masing-masing lebih sebulan dan 17 hari.

Katanya, dia meminjam RM1,500 daripada along sebulan sebelum ditahan dan setakat ini melangsaikan RM500.

“Namun, awal April lalu, kumpulan along datang ke rumah saya untuk menuntut baki hutang, tetapi saya tiada wang dan meminta mereka berjumpa waktu petang di sebuah pasar raya di Semenyih, Selangor.

“Dalam pertemuan itu, saya memaklumkan tidak mampu membayar hutang menyebabkan konco along menculik dan menahan saya dalam lokap ini.

“Sepanjang ditahan, saya dirantai pada kaki, tangan dan leher serta dipukul setiap hari. Tindakan itu dibuat bagi menyeksa saya dan dengan cara itu, saya akan melunaskan hutang mereka,” katanya yang menangis akibat tidak tahan diseksa.

Dia berkata, setiap seorang hanya diberi sebuku roti untuk sajian selama seminggu manakala air minuman diambil daripada air paip tandas.

Sementara itu, Ketua Polis Daerah Gombak, Asisten Komisioner Abdul Rahim Abdullah, berkata bertindak atas laporan kehilangan seorang daripada mangsa berkenaan, polis berjaya menahan dua ahli sindiket along di hadapan bank di Desa Jaya Kepong, kira-kira jam 11 pagi semalam.

Katanya, kedua-dua suspek berusia 29 dan 33 tahun itu kemudian menunjukkan tempat ketiga-tiga lelaki berkenaan ditahan.

“Dalam serbuan itu, polis menemui bilik kecil di bahagian belakang premis berkenaan yang diubah suai menjadi dua lokap berasingan.

“Bagaimanapun, polis gagal membuka pintu besi terbabit dan terpaksa meminta bantuan bomba kerana tidak mempunyai peralatan untuk memotong besi,” katanya ketika ditemui di tempat kejadian, semalam.

Selepas pintu besi itu dibuka, polis menemui ketiga-tiga mangsa dalam keadaan lemah dengan masing-masing dirantai dalam dua lokap berkenaan.

Menurut Abdul Rahim, siasatan awal mendapati mangsa pernah dilaporkan hilang oleh keluarga masing-masing di Kajang, Gombak dan Segamat, Johor.

“Kami percaya suspek mengambil kesempatan menggunakan kekerasan melampau walaupun hutang mangsa difahamkan antara RM1,500 dan RM4,000.

“Semua mangsa dibawa ke Hospital Serdang untuk menerima rawatan. Kes disiasat mengikut Seksyen 342 Kanun Keseksaan kerana membuat kurungan secara salah dan Seksyen 384 Kanun Keseksaan kerana pemerasan,” katanya.

Ketua Polis Daerah Subang Jaya, Asisten Komisioner Zainal Rashid Abu Bakar berada di tempat kejadian.

Anggota dari Balai Bomba dan Penyelamat Seri Kembangan mengambil masa kira-kira dua jam untuk membuka pintu besi lokap terbabit dengan menggunakan mesin pemotong besi.

Mangsa pertama diselamatkan kira-kira jam 6.30 petang selepas pihak bomba memotong rantai besi di tangan, kaki dan lehernya manakala dua lagi mangsa keluar kira-kira 10 minit kemudian sambil diiringi pasukan perubatan.

sumber berita dari : http://www.hmetro.com.my/

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Pengarah syarikat Mirza didakwa jalankan perniagaan tanpa lesen

Posted on 28 May 2009. Filed under: AROUND SABAH, Banking, Finance, FOREX, HYIP, Kerjaya, MLM, Pelaburan, Pelan Perniagaan, peluang perniagaan, Pendapatan Aktif, Pendapatan Pasif, Perbankkan, Plan Perniagaan, POLITIK | Tags: , , , , , , , |

Pengarah syarikat Mirza didakwa jalankan perniagaan tanpa lesen

28th May, 2009

KOTA KINABALU: Dua pengarah sebuah syarikat perniagaan jualan langsung dihadapkan ke Mahkamah Sesyen di sini kelmarin terhadap pertuduhan menjalankan perniagaan tan-pa lesen yang sah.

Dua pengarah Syarikat Gemilang Mirza Sdn Bhd itu, Ag Ajis Pg Mat Salleh, 30, dan Ag Binting Pg Mat Salleh @ Pg Jual, 46, yang diwakili peguam Ram Singh mengaku tidak bersalah terhadap pertuduhan itu.

Syarikat itu didakwa menerima deposit daripada orang awam antara 15 April tahun lepas dan 13 Jan tahun ini di Lot 14, Blok C, Papar Century Plaza, Papar, kira-kira 50km dari sini, tanpa lesen yang sah.

Pertuduhan itu dibuat mengikut Seksyen 6 (4) Akta Bank dan Institusi-Institusi Kewangan 1989 (Akta 372) yang memperuntukkan hukuman denda tidak melebihi RM10 juta atau 10 tahun penjara atau kedua-duanya.

Hakim Ummu Kalthom Abdul Samad menetapkan 19 hingga 21 Jan tahun depan untuk perbicaraan kes itu.

Terdahulu, Timbalan Pendakwa Raya Hazri Haris berkata pihak pendakwaan akan memanggil 25 saksi dalam kes itu.

Sementara itu, dua pengarah syarikat itu turut dihadapkan ke satu lagi Mahkamah Sesyen di sini bagi pertuduhan menerima deposit daripada orang awam tanpa lesen yang sah di tempat dan pada masa yang sama.

Kedua-dua mereka mengaku tidak bersalah terhadap pertuduhan itu.

Hakim Ismail Brahim membenarkan kedua-dua kes itu dibicarakan bersama.

Beliau juga membenarkan kedua-dua tertuduh masing-masing diikat jamin RM100, 000 dengan dua penjamin dan mengarahkan pasport antarabangsa masing-masing diserahkan kepada mahkamah.

Local


Direct selling company, two directors charged

28th May, 2009 KOTA KINABALU: A direct selling company and two of its directors were yesterday charged in the Sessions Court with receiving deposits from public worth more than RM23 million without having a licence, an offence under the Banking and Financial Institutions 1989.

Gemilang Mirza Sdn Bhd and the directors Ag Ajis Pg Mat Salleh, 30 and his elder brother, Ag Binting Pg Mat Salleh, 46, from Kampung Benoni, Papar denied the wrongdoing.

They will be tried on Jan 19-21 next year. They face a fine of up to RM10 million or a jail term of up to 10 years or both, if convicted.

The offence framed under Section 25 (1) of the Banking and Financial Institutions Act 1989 allegedly took place at Lot 14, Block C, Papar Century Plaza, Papar between April 15, 2008 and Jan 13, this year.

In the charge, the company, Ag Ajis and Ag Binting were accused with receiving deposits from members of the public without having a valid licence granted under Section 4 (4) of the Banking and Financial Institution Act 1989.

Bank Negara prosecuting officer, Hazri Haris proposed a RM300,000 bail deposited under a single surety for each of the accused.

Ram Singh representing both men said the bail was excessive and had proposed to the court three land titles, which according to his clients are valued at RM650 million plus a concrete house in one of the lands.

“This can be used to secure both of their attendance should they failed to turn up for the hearing,” he said adding that as both of them are locals, they have no reason to abscond.

“Ag Ajis only has RM5,000 at the moment and Ag Binting is married with two children. He is the breadwinner of the family, all his brothers and sisters are depending on him,” he said adding that both men had given their cooperation to Bank Negara after their premise with products were raided on Jan 16.

Judge Ismail Brahim released Ag Ajis and Ag Binting on a RM100,000 bail with a land title of not less than RM100,000 or cash deposited under two local sureties.

Hazri had earlier on proposed before Sessions judge Ummu Kalthom Abdul Samad for a joint trial for both directors and the company. Ram and Hazri also confirmed that the deposit-taking allegedly came to the tune of more than RM23 million.

http://www.newsabahtimes.com.my/

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Skim Bantu Pemiutang

Posted on 19 January 2009. Filed under: Finance, Perbankkan, POLITIK | Tags: , , , , , , , , , , |

Ekonomi


19 Januari, 2009 22:51 PM  

Singapura Sedia Skim Bantu Pemiutang

SINGAPURA, 19 Jan (Bernama) — Parlimen Singapura hari ini meluluskan pindaan kepada undang-undang bankrap dengan memperkenalkan skim pembayaran semua hutang bagi mengelak orang yang berhutang daripada diisytihar bankrap, selain membantu meringankan pembayaran hutang mereka.

Skim yang diperkenalkan menerusi Rang Undang-Undang Bankrap (Pindaan) 2009 itu membolehkan orang yang bergaji dan mempunyai hutang tidak melebihi S100,000, menyertai pelan itu dengan pemberi kredit masing-masing, bagi mengelak menjadi bankrap.

Lebih utama lagi, mereka mendapat peluang untuk meneruskan pekerjaan masing-msing, kata Menteri Undang-undang dan Pejabat Amanah Awam dan Insolvensi, yang memperkenalkan pindaan itu.

Bagi membayar hutang menerusi skim itu, orang yang berhutang perlu memotong sebahagian pendapatan bulanan serta membuat penyesuaian gaya hidup.

Jika mereka mematuhi obligasi kewangan itu, dia akan dibebaskan daripada hutang dan memulakan hidup baru, kata kementerian berkenaan.

Kementerian itu juga berkata bagi memastikan kepentingan orang yang berhutang dipelihara, pemegang amanah mesti berpuas hati bahawa pelan pembayaran hutang yang dicadangkan itu cukup ketat dan membuat penyesuaian perlu sebelum meluluskannya.

Tujuannya ialah supaya mereka yang terlibat mendapat manfaat yang lebih baik berbanding apa yang mereka dapat jika diiytiharkan bankrap, katanya.

Jika mereka gagal menjalankan tanggungjawab seperti kerap gagal membayar pinjaman, pemberi redit boleh meneruskan prosidng banrkap ke atasnya.

— BERNAMA

MY WORD : WAKE UP OUR MENTERI (BETTER WE FOLLOW THEM ESPECUALLY OUR AS SABAHAN)

MAYBE NOW ITS THE RIGHT TIME…

MAAF SAYA  CUMA NAK BAGI INFO, TIADA KENA MENGENA DENGAN SAYA PUN  😉

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Bank Negara Malaysia Membuat Serbuan Terhadap Gemilang Mirza Sdn. Bhd.

Posted on 14 January 2009. Filed under: AROUND SABAH, Banking, Finance, HYIP, MLM, Pelaburan, Pelan Perniagaan, peluang perniagaan, Pendapatan Aktif, Pendapatan Pasif, Perbankkan, Plan Perniagaan | Tags: , , , , , , , , , , , , , |

Versi mesra pencetak | Hantar artikel kepada rakan

Ref No: 01/09/03

Embargo: Untuk Siaran Segera

Bank Negara Malaysia Membuat Serbuan Terhadap Gemilang Mirza Sdn Bhd yang Disyaki Menjalankan Aktiviti Pengambilan Deposit Tanpa Lesen dan Pengubahan Wang Haram

Pada 13 Januari 2009, Bank Negara Malaysia membuat serbuan terhadap Gemilang Mirza Sdn Bhd di bawah Seksyen 25(1) Akta Bank dan Institusi-Institusi Kewangan 1989 (BAFIA) dan Seksyen 4(1) Akta Pencegahan Pengubahan Wang Haram dan Pembanterasan Pembiayaan Keganasan 2001 (AMLATFA). Seksyen 25(1) BAFIA 1989 melarang mana-mana individu untuk mendapat, mengambil atau menerima deposit tanpa lesen yang sah, sementara Seksyen 4(1) AMLATFA 2001 menghalang mana-mana individu daripada terlibat dalam, atau cuba untuk melibatkan diri dalam, atau bersubahat dengan aktiviti pengubahan wang haram.

Serbuan terhadap Gemilang Mirza Sdn Bhd dibuat di premis syarikat di Papar, Sabah berikutan aduan yang diterima daripada orang ramai. Aset dan dokumen syarikat yang berkaitan telah dirampas untuk tujuan penyiasatan.

Mana-mana individu atau syarikat yang melakukan kesalahan di bawah Seksyen 25(1) BAFIA 1989 akan, atas sabitan, dikenakan denda tidak melebihi RM10 juta atau dipenjarakan untuk tempoh tidak melebihi sepuluh tahun atau kedua-duanya sekali. Mana-mana individu atau syarikat yang melakukan kesalahan di bawah Seksyen 4(1) AMLATFA 2001 akan, atas sabitan, dikenakan denda tidak melebihi RM5 juta atau dipenjarakan untuk tempoh tidak melebihi lima tahun atau kedua-duanya sekali.

Orang ramai diingatkan supaya berwaspada dengan skim pelaburan yang dipromosikan melalui Internet, telefon atau seminar yang dianjurkan oleh individu atau syarikat yang tidak dilesenkan atau dibenarkan oleh Bank Negara Malaysia untuk menerima deposit atau berurusan dalam urus niaga mata wang asing, bagi mengelakkan kehilangan wang mereka. Senarai semua institusi berlesen yang dibenarkan menerima deposit terdapat di laman web Bank Negara Malaysia di www.bnm.gov.my.

Untuk keterangan atau nasihat lanjut, orang ramai boleh menghubungi Bank Negara Malaysia di:

BNMTELELINK (Pusat Perhubungan Pelanggan)
Tel: 1-300-88-5465
Faks: 03-2174 1515
E-mel: bnmtelelink@bnm.gov.my

BNMLINK (Pusat Perkhidmatan Pelanggan)
Blok D, Bank Negara Malaysia,
Jalan Dato’ Onn, 50480 Kuala Lumpur
(Waktu urusan: Isnin – Jumaat, 9:00 pagi – 5:00 petang)

Bank Negara Malaysia
13 Januari 2009

© Bank Negara Malaysia, 2009. All rights reserved.

P/S : AKHIRNYA APA YANG DIRAMAL AKAN TERJADI, MENJADI KENYATAAN (Dr Bangang akhirnya hilang bangangnya …)

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Alkisah bermula Skim Cepat Kaya : Charles Ponzi

Posted on 27 December 2008. Filed under: Banking, Finance, HYIP, Pelaburan, Pelan Perniagaan, peluang perniagaan, Pendapatan Aktif, Pendapatan Pasif, Perbankkan, Plan Perniagaan | Tags: |

Charles Ponzi

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Charles Ponzi
Ponzi in 1920
Born March 3, 1882
Lugo, Italy
Died January 18, 1949 (aged 66)
Rio de Janeiro, Brazil
Charge(s) Mail fraud
Penalty 5 years (federal, served 3 and half years before facing state charge) and 9 years (state)
Status Deceased
Occupation Con man
Spouse Rose Gnecco

Charles Ponzi (March 3, 1882January 18, 1949) was an Italian immigrant to the United States who became one of the greatest swindlers in American history. His aliases include Charles Ponei, Charles P. Bianchi, Carl and Carlo. The term “Ponzi scheme” is a widely known description of any scam that relies on a “pyramid” of “investors” who contribute money to a fraudulent program. He promised clients a 50% profit within 45 days, or 100% profit within 90 days, by buying discounted postal reply coupons in other countries and redeem them at face value in the United States as a form of arbitrage.[1][2] Ponzi was probably inspired by the scheme of William Miller, a Brooklyn bookkeeper who in 1899 used the same pyramid scheme to take in $1 million.[3]

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[edit] Early life

Parts of Charles Ponzi’s life are somewhat difficult to determine, due to his propensity to fabricate and embellish facts. He was born Carlo Ponzi in Lugo, Italy in 1882. He told the New York Times that he had come from a well-to-do family in Parma, Italy.[3] He took a job as a postal worker early on, but soon was accepted into the University of Rome La Sapienza. His friends considered the university a “four-year vacation”, and he was inclined to follow them around to bars, cafés, and the opera.

[edit] Arrival in America

On November 15, 1903 he arrived aboard the S.S. Vancouver in Boston. By his own account, Ponzi arrived in the United States in 1903 with two dollars and fifty cents in his pocket, having gambled away the rest of his life savings during the voyage. “I landed in this country with $2.50 in cash and $1 million in hopes, and those hopes never left me,” he later told the New York Times.[3] He quickly learned English and spent the next few years doing odd jobs along the East Coast, eventually taking a job as a dishwasher in a restaurant, where he slept on the floor. He managed to work his way up to the position of waiter, but was fired for shortchanging the customers and theft.

In 1907 Ponzi moved to Montreal, Quebec, and became an assistant teller in the newly opened Banco Zarossi, a bank started by “Louis” Luigi Zarossi to service the influx of Italian immigrants arriving in the city. Zarossi paid 6% interest on bank deposits – double the going rate at the time – and was growing rapidly as a result. Ponzi found out that the bank was in serious financial trouble because of bad real estate loans, and that Zarossi was funding the interest payments not through profit on investments, but by using money deposited in newly opened accounts. The bank eventually failed and Zarossi fled to Mexico with a large portion of the bank’s money.

Ponzi stayed in Montreal and, for some time, lived at Zarossi’s house helping the man’s abandoned family while planning to return to the United States and start over. As Ponzi was penniless, this proved to be very difficult. Eventually he walked into the offices of a former Zarossi customer and, finding no one there, wrote himself a check for $423.58 in a checkbook he found, forging the signature of a director of the company. Confronted by police who had taken note of his large expenditures just after the forged check was cashed, Ponzi held out his hands wrist up and said “I’m guilty.” He ended up spending three years in a Quebec prison. Rather than inform his mother of this development, he posted her a letter stating that he had found a job as a “special assistant” to a prison warden.

After his release in 1911 he decided to return to the United States, but got involved in a scheme to smuggle Italian illegal immigrants across the border. He was caught and spent two years in an Atlanta prison. Here he became a translator for the warden, who was intercepting letters from a mobster, Ignazio “the Wolf” Lupo. Ponzi ended up befriending Lupo. However it was another prisoner who became a true role model to Ponzi; Charles W. Morse convinced doctors Ponzi was dying by eating soap shavings, and was released early.

[edit] The Ponzi scheme

Ponzi under arrest circa 1910

When Ponzi was released he eventually made his way back to Boston. There he met Rose Maria Gnecco, a stenographer, whom he asked to marry him. Though Ponzi did not tell Gnecco about his years in jail, his mother sent Gnecco a letter telling her of Ponzi’s past. She remained with him nonetheless, and they married in 1918. (The couple divorced circa 1937, and Rose Gnecco, who later remarried, eventually became the bookkeeper for the New Cocoanut Grove Inc, the parent company of Boston’s Cocoanut Grove nightclub.)[4][3][5] For the next few months he worked at a number of businesses, including his father-in-law’s grocery, before hitting upon an idea to sell advertising in a large business listing to be sent to various businesses. Ponzi was unable to sell this idea to businesses, and his company failed soon after.

A few weeks later Ponzi received a letter in the mail from a company in Spain asking about the catalog. Inside the envelope was an International reply coupon (IRC), something which he had never seen before. He asked about it and found a weakness in the system which would, in theory, allow him to make money.

The purpose of the postal reply coupon was to allow someone in one country to send it to a correspondent in another country, who could use it to pay the postage of a reply. IRCs were priced at the cost of postage in the country of purchase, but could be exchanged for stamps to cover the cost of postage in the country where redeemed; if these values were different, there was a potential profit. Inflation after the First World War had much decreased the cost of postage in Italy expressed in U.S. dollars, so that an IRC could be bought cheaply in Italy and exchanged for U.S. stamps to a higher value. The process was: send money abroad; have IRCs purchased by agents; send the IRCs to the U.S.A.; redeem the IRCs for stamps to a higher value; sell the stamps. Ponzi claimed that the net profit on these transactions, after expenses and exchange rates, was in excess of 400%. This was a form of arbitrage, or profiting by buying an asset at a lower price in one market and immediately selling it in a market where the price is higher, which is not illegal.

Ponzi canvassed friends and associates to back his scheme, offering a 50% return on investment in 45 days. The great returns available from postal reply coupons, he explained to them, made such incredible profits easy. He started his own company, the “Securities Exchange Company”, to promote the scheme.

Some people invested, and were paid off as promised. The word spread, and investment came in at an ever-increasing rate. Ponzi hired agents and paid them generous commissions for every dollar they brought in. By February 1920, Ponzi’s total take was US$5,000, (approximately US$54,000 in 2008 dollars).

By March he had made $30,000 ($328,000 in 2008 terms). A frenzy was building, and Ponzi began to hire agents to take in money from all over New England and New Jersey. At that time investors were being paid impressive rates, encouraging yet others to invest.

By May 1920 he had made $420,000 ($4.59 Million in 2008 terms). He began depositing the money in the Hanover Trust Bank of Boston (a small Italian American bank on Hanover Street in the mostly Italian North End), in the hope that once his account was large enough he could impose his will on the bank or even be made its president; he did, in fact, buy a controlling interest in the bank. One biographer of Ponzi who wrote eighty years later described the cash price at which the bank’s founding family sold their stake as suspiciously high. Having had a fiduciary duty to protect their depositors they were a lasting unindicted beneficiary without direct involvement.[citation needed]

By July 1920 he had made millions. People were mortgaging their homes and investing their life savings. Most did not take their profits, but reinvested.

Ponzi was bringing in cash at a fantastic rate, but the simplest financial analysis would have shown that the operation was running at a large loss. As long as money kept flowing in, existing investors could be paid with the new money, but colossal liabilities were accumulating.

Ponzi lived luxuriously: he bought a mansion in Lexington, Massachusetts with air conditioning and a heated swimming pool, and brought his mother from Italy in a first-class stateroom on an ocean liner.

[edit] Suspicion

There were signs of Ponzi’s eventual ruin: a furniture dealer, who had given Ponzi furniture when he could not afford to pay, sued Ponzi to cash in on the gold rush. The lawsuit was unsuccessful, but it did start people asking how Ponzi could have gone from being penniless to being a millionaire in so short a time. There was a run on the Securities Exchange Company as some investors decided to pull out.

Ponzi paid them and the run stopped. In fact, on July 24, 1920, the Boston Post printed a favorable article on Ponzi and his scheme that brought in investors faster than ever. At that time, Ponzi was making $250,000 a day.

Despite this reprieve, one of the editors of the Post was suspicious and assigned investigative reporters to check Ponzi out. He was also under investigation by the Commonwealth of Massachusetts, and on the day the Post printed its article Ponzi met with state officials. He managed to divert the officials from checking his books by offering to stop taking money during the investigation; a fortunate choice, as proper records were not being kept. Ponzi’s offer temporarily calmed the suspicions of the state officials.

[edit] Collapse of scheme

By this time Ponzi was seeking another deal to get him out of the golden trap he had built for himself, but time was running out. On July 26 the Post started a series of articles that asked hard questions about the operation of Ponzi’s money machine. The Post contacted Clarence Barron, the financial analyst who published the Barron’s financial paper, to examine Ponzi’s scheme. Barron observed that though Ponzi was offering fantastic returns on investments, Ponzi himself wasn’t investing with his own company.

Barron then noted that to cover the investments made with the Securities Exchange Company, 160,000,000 postal reply coupons would have to be in circulation. However, only about 27,000 coupons were actually circulating. The United States Post Office stated that postal reply coupons were not being bought in quantity at home or abroad. The gross profit margin in percent on buying and selling each IRC was colossal, but the overhead required to handle the purchase and redemption of these items, which were of extremely low cost and were sold individually, would have exceeded the gross profit.

The stories caused a panic run on the Securities Exchange Company. Ponzi paid out $2 million in three days to a wild crowd outside his office. He canvassed the crowd, passed out coffee and donuts, and cheerfully told them they had nothing to worry about. Many changed their minds and left their money with him.

In the short term, Ponzi had hired a publicity agent, James McMasters. However, McMasters quickly became suspicious of Ponzi’s endless talk of postal reply coupons, as well as the ongoing investigation against him. He went to the Post, calling Ponzi a “financial idiot.” The paper offered him five thousand dollars for his story, and ran a headline on August 2 declaring Ponzi hopelessly insolvent. On August 10 federal agents raided the Securities Exchange Company and shut it down. There was no large stock of postal reply coupons. The Hanover Trust Bank was shut down as well. The Post continued their articles, with one revealing Ponzi’s jail record and publishing his (smiling) Canadian mugshots.

On August 12, 1920 Ponzi was under arrest, with a Federal indictment. His liabilities were estimated at $7,000,000.[6]

Ponzi’s supporters were outraged at the officers who arrested him. 17,000 people had invested millions, maybe tens of millions, with Ponzi. Many who were ruined were so blinded by their faith in the man or their refusal to admit their foolishness that they still regarded him as a hero.

[edit] Prison and later life

Con man Ponzi circa 1910

On November 1, 1920, Ponzi pleaded guilty to mail fraud, and was sentenced to five years in federal prison. He was released after three and a half years to face state charges.[1] On November 29, 1924 proceedings were initiated to have him deported.[7] During a state trial he was again found guilty and sentenced to seven to nine years.[1] Before entering state prison, Ponzi jumped bail and fled to Florida, where he set up a real estate business in the Springfield section of Jacksonville. In September, 1925 Charpon Land Syndicate began selling “prime Florida property” to gullible investors.[1] In reality, it was a scam that sold swampland in Columbia County.[8]

Ponzi was indicted by a Duval County grand jury in February, 1926 and charged with violating Florida trust and securities laws. A jury found him guilty and the judge sentenced him to a year in the Florida State Prison. Ponzi appealed his conviction and was freed after posting a $1,500 bond. Ponzi traveled to Tampa[8] where he shaved his head, grew a mustache, and tried to flee the country as a crewman on a merchant ship bound for Italy. However, the ship made one last American port call and he was caught in New Orleans and sent back to Massachusetts to serve out his prison term.[1]

In the meantime, government investigators tried to trace Ponzi’s convoluted accounts to figure out how much money he had taken and where it had gone. They never managed to untangle it and could conclude only that millions had gone through his hands.

Ponzi was released in 1934 and asked for a full pardon from Joseph Buell Ely, the Massachusetts Governor.[9]

He was deported to Italy because he had never become an American citizen. His flashy confidence had faded by that time, and when he left the prison gates he was met by an angry crowd. He told reporters before he left: “I went looking for trouble, and I found it.” Rose stayed behind and later divorced him in 1937,[10] as she did not want to leave Boston for his sake. However, they continued to exchange hopeful love letters up until Ponzi’s death.

In Italy, Ponzi jumped from scheme to scheme but little came of them. He eventually got a job in Brazil as an agent for Ala Littoria, the Italian state airline.[2] However, during World War II, the Brazilians, who had sided with the Allies, realized the Italians were using the airline to ship strategic materials and shut it down.

[edit] Death

Ponzi spent the last years of his life in poverty. He had a stroke in 1948, and died in a charity hospital in Rio de Janeiro on January 18, 1949. He was blind in one eye and partially paralyzed.[2]

In the charity hospital, Ponzi granted one last interview to an American reporter, and commented about the wild ride he had given Bostonians: “Even if they never got anything for it, it was cheap at that price. Without malice aforethought I had given them the best show that was ever staged in their territory since the landing of the Pilgrims! It was easily worth fifteen million bucks to watch me put the thing over.”[11][3]

[edit] Similar schemes

[edit] References

  1. ^ a b c d ePonzi Payment“, Time magazine (January 5, 1931). Retrieved on 21 December 2008. “In 1920 thousands of gullibles had a more ornate picture of him. He was then the shrewd, straight-eyed miracle man of Boston’s Hanover Street. He promised his clients a 50% profit in 45 days. … The essence of his scheme was to buy postal reply coupons in countries with depreciated exchange, redeem them at face value for U. S.”
  2. ^ a b cTake My Money!“, Time magazine (January 31, 1949). Retrieved on 21 December 2008. “In Italy, Ponzi got on the good side of Mussolini’s Fascists, was sent to Rio de Janeiro as business manager for Italy’s LATI airlines. The war ended his job; after that he eked out a meager existence as a translator. Committed to a Rio charity ward, blind in one eye and partly paralyzed, he said not long ago: “I guess the only news about me that most people want to hear is my death.””
  3. ^ a b c d eIn Ponzi We Trust“, Smithsonian magazine (December 1998). Retrieved on 21 December 2008. “Ponzi himself was probably inspired by the remarkable success of William “520 percent” Miller, a young Brooklyn bookkeeper who in 1899 fleeced gullible investors to the tune of more than $1 million.”
  4. ^ John C. Esposito, “Fire in the Grove”, Da Capo Press, 2005
  5. ^ Grove, Martin A. (2004-2-13). “‘Ponzi’ Movie Isn’t Dunn Deal Yet, But Could Be“. The Hollywood Reporter. http://www.allbusiness.com/services/motion-pictures/4810464-1.html. Retrieved on 23 December 2008.
  6. ^Ponzi Arrested. Liabilities Put at $7,000,000. Federal Authorities Charge Using Mails to Defraud. State Warrant Charges Larceny. Claims $4,000,000 Assets. Bank Commissioner Fears Hanover Trust Assets Have Been Wiped Out. Investors Grow in Number. Attorney General Still Recording. Hundreds of Note Holders Caught in Crash.“, New York Times (August 13, 1920). Retrieved on 21 December 2008. “Liabilities running at least up to $7,000,000 and assets unknown, save for his assertion that they amount to $4,000,000, are among the echoes of the bursting of Charles Ponzi’s bubble this noon, when he surrendered …”
  7. ^Proceedings to Deport Coupon Financier to Canada or Italy Are Begun.“, New York Times (November 30, 1924). Retrieved on 21 December 2008. “Charles Ponzi, promoter of the get-rich-quick scheme of four years ago which attracted investments of many millions of dollars, was arrested early today by immigration authorities on a warrant charging that he is in this country illegally. Deportation proceedings will begin immediately, it was said by Immigration Commissioner John P. Johnson.”
  8. ^ a b Florida Times-Union December 22, 2008-Ponzi lived here: Infamous name tied to scheme was local by Jessie Lynne Kerr
  9. ^Ponzi Pardon Plea is Denied in Boston. Governor Ely Decision Is Followed by Court Move to Block Deportation.“, New York Times (July 13, 1934). Retrieved on 21 December 2008. “Governor Ely today denied Charles Ponzi’s petition for a full pardon, which would save him from deportation. The Governor made his decision after a hearing at the State House in which Ponzi pleaded tearfully to remain in this country.”
  10. ^Sued for Divorce“, Time magazine (1937). Retrieved on 21 December 2008. “Charles Ponzi, 54, celebrated Boston swindler, now a Roman tourist guide; by Mrs. Rose Ponzi whom he married in 1918; in Cambridge, Mass. Grounds: he had served “more than five years” (1922-34) in prison. Explained she: “When he was down … I stuck to him.””
  11. ^ Scams – and how to protect yourself from them. ISBN 1409232913. http://books.google.com/books?id=KNC_VRtss60C. “… to an American reporter, and commented about the wild ride he had given Bostonians: “Even if they never got anything for it, it was cheap at that price. …”
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Posted on 26 December 2008. Filed under: Finance, FOREX, HYIP, Pelaburan, Pelan Perniagaan, peluang perniagaan, Pendapatan Aktif, Perbankkan, Plan Perniagaan |

What is Forex?

The off-exchange retail foreign currency market (“forex”) describes the purchase of a particular currency from an individual or institution and the simultaneous sale of another currency at the equivalent value or current exchange rate. Essentially, the process of exchanging one currency for another is a simple trade based on the current rates of the two currencies involved.

At the core level of the world’s need for money exchange is the international traveler. When traveling from the US to England, for example, you will of course need the local currency to pay for transportation, food, and so on. Upon arrival at the airport you will surrender (sell) your US Dollars in order to receive (buy) the equivalent in British Pounds. In this example, you sold the USD and bought the GBP, conversely the forex counter bought the USD and sold the GBP. The prices at which you buy and sell currencies are known as exchange rates. This rate or price fluctuates based on demand and on political and economic events surrounding each country’s currency.

A Global Market

The example above illustrates foreign currency trading in basic terms as it relates to world travelers. However, the market is also utilized globally by each country’s central bank (i.e., America’s Federal Reserve), investment and commercial banks, fund management firms (mutual funds and hedge funds), major corporations, and individual investors or speculators. Depending on the timing of such transactions, purchasing a currency with the intent of later selling it at a better exchange rate (and vice versa) can potentially yield profits for investors, of course there is a strong potential for loss trading currencies as well.

Utilization by so many parties is why the Forex market is the world’s largest financial market. This mind boggling volume is probably what led you to research the topic.

How do you access the market?

It is important to note that retail traders, such as yourself, will most likely be accessing the off-exchange foreign currency market (or Forex market) via an FCM (Futures Commissions Merchant) or broker. You will not be trading in the actual Interbank market itself. Your access to the total market will be determined by your chosen broker’s limitations.

FCMs or brokers act as a bridge between you and their liquidity partner (sometimes larger global banks) that you would otherwise not have sufficient capital to do business with.
( view figure 1 ) The large majority of off-exchange retail foreign currency brokers act as market makers, meaning that by keeping many trades in house they create their own liquidity. Some retail brokers clear trades directly through to the larger banks that provide their liquidity. If you are new to the Forex market it would wise to research and understand your broker’s particular business model and method of clearing trades.

Forex Market Hours

Unlike other financial markets, the Forex market operates 24 hours a day, 5.5 days a week (6:00 PM EST on Sunday until 4:00 PM EST on Friday). Through an electronic network of banks, corporations and individual traders exchange currencies, though as the market is primarily used as a means for speculative investing, actual physical delivery of currencies is almost never intended. Forex trading begins every day in Sydney, moves to Tokyo, followed by Europe and finally the Americas.

“Bid” vs. “Ask”

Forex prices, or quotes, include a “Bid” and “Ask” similar to other financial products. Bid is the price at which a trader is able to sell a currency pair. The Bid price or sell price of a currency pair is always the lower price in a quote. Ask, sometimes referred to as “Offer”, is then the price at which traders are able to buy a currency pair. In other words, Forex traders always buy at the high and sell at the low of a price quote. The difference between the Bid and Ask is called the “Spread” or “Pip Spread”, which is the Trader’s cost per trade or per transaction. There are typically not additional broker commissions involved in trading the Forex market, as there might be when trading other investment markets.

Reading Price Quotes

Reading a forex quote may seem a bit confusing at first. However, it’s really quite simple if you are able to remember two things:

1. The first currency listed is the base currency

2. The value of the base currency is always 1 (one)

( view figure 1 )

A quote of USD/JPY at 116.04 is to say that 1 US Dollar (USD) = 116.04 Japanese Yen (JPY). When the US dollar is the base unit and a currency pair’s price increases, comparatively the dollar has appreciated and the other currency in the pair (usually known as the cross currency) has weakened. Using the above USD/JPY example as a reference, if the USD/JPY increases from 116.04 to 117.51 (147 pips), the dollar is stronger because it will now buy more yen than before.

There are four currency pairs involving the US dollar in which the US dollar is not the base currency. These exceptions are the Australian dollar (AUD), the British Pound (GBP), the Euro (EUR), and the New Zealand dollar (NZD). A quote on the GBP/USD of 1.7600 would mean that one British Pound is equal to 1.7600 US dollars. If the price of a currency pair increases the value of the base currency in comparison to the cross currency thus increases. Conversely, if the price of a currency pair decreases, such is to say that the value of the base currency in comparison to cross currency has weakened.

What Influences Price?

Forex markets and prices are mainly influenced by international trade and investment flows. The Forex market is also influenced, but to a lesser extent, by the same factors that influence the equity and bond markets: economic and political conditions, especially interest rates, inflation, and political stability, or as if often the case, political instability. Though economic factors do have long term affects, it is often the immediate reaction that causes daily price volatility, which makes Forex trading very attractive to intra-day traders. Currency trading can offer investors another layer of diversification. Trading currencies can be viewed as a means to protect against adverse movements in the equity and bond markets, movements that of course also impact mutual funds. You should bear in mind that trading in the off-exchange foreign currency market is one of the riskiest forms of trading and you should only invest a small portion of your risk capital in this market.

Forex Advantages

Investors and speculators using the Internet as an investment tool will find that the Forex market offers several advantages over equities trading. ( view figure 1 )

*200:1 is the entry leverage value. Brokerages will have margin calls set at different levels, exact leverage may vary.

**The trader’s cost of doing business is called the Spread. It is the difference between the bid and the ask prices on your chosen currency pair.

24-Hour Trading

Forex is a true 24 hour market, 5.5 days a week, which offers a major advantage over equities trading. Investors are able to trade at odd hours, thus allowing more flexibility for personal, business and social activities. Whether trading at 8am, 2pm, or even 2am, there will always be buyers and sellers actively trading foreign currencies. Such flexibility allows traders to immediately respond to breaking news and other political factors driving the market.

( view figure 2 )

After hours trading in the equities market has several limitations. In the US, for example, equities traders have access to ECNs (Electronic Communications Networks), also known as “matching systems”. These networks are established to provide a method for equities traders to buy and sell amongst each other. Such networks are usually not able to offer as tight of spreads as would be offered during normal market hours, thus most trades are not executed at a fair market price, subsequently there is no guarantee that every trade will be executed.

Unmatched Liquidity

An investment market with lacking liquidity, or a lack of buyers and sellers at certain times, is often the demise of traders who need in or out of the market without delay. The global network of governments, banks, corporations, hedge funds, and individual traders that collectively drive the Forex market, are in essence, also driving the world’s largest network of liquidity. Such high trade volume works to ensure trade execution and the stability of prices, regardless of the time of day.

Equities traders, on the other hand, are more susceptive to liquidity risk and are subject to potentially wider dealing spreads and larger price movements. Liquidity in the equities market really does pale in comparison to that of the Forex market.

High Leverage

Leverage is the key to understanding the risk associated with trading the Forex Market, and of course, the potential for gain. Many Forex brokers offer leverage as high as 200 – 1, meaning that $50 of margin would control a $10,000 position in the market (this is an example of a mini lot). ( view figure 3 ) Forex trading is often attractive to investors coming from the equities market because Forex trading offers such high leverage. It is important to understand why Forex brokers offer higher leverage, and of course… the dangers associated with such.

To some extent, higher leverage is a necessary evil in the Forex market. It can offer advantages over equities trading, but only if it is properly understood and utilized. Though currency values on a global stage are constantly in a state of flux, high liquidity and market stability translate to relatively small daily price movements. In fact, average daily movement is around 1% on most major pairs. Compare that to the equities market, where average daily movements are closer to 10% and it is not hard to understand why large contracts are needed in order to yield profits on intraday price movements.

Without high leverage most retail investors would not be able to afford trading in the Forex market. However, with increased buying power comes increased risk. Traders who are new to the market often make the mistake of over-trading their account. Because relatively small margin is required to open large positions beginning traders often make the mistake of opening too many positions at one time. A quick market move can then result in substantial losses. IBFX would advise any trader new to the Forex market to trade only a very small percentage of their account at any one time.

Profit Potential in Both Rising and Falling Markets

Like any market, there is always a buyer and a seller the world of currencies. The potential for profit will of course rally between the buyers and sellers, the longs and the shorts. Trading currencies in pairs offers the advantage of speculation from either side, but it is the volatility in combination with excellent liquidity that offers currency investors a true advantage over any other market. Regardless of the time of day, traders in the Forex market can long or short any currency pair of their choice.

Many brokers also offer hedging, meaning that traders can take a long and short position on the same currency pair. The market’s volatility provides the constant potential for gain, and of course, the constant potential for loss as well. Forex trading can be risky, but execution in or out of trades should not be a problem when trading through a reputable broker. Equities traders, on the other hand, may have a much more difficult time liquidating stocks when the market is moving against them.

Higher Risk

The off-exchange retail foreign currency market (or Forex market) has many differences, as outlined above. However, one of the most significant factors is the element of risk. The Forex market is the riskiest of all investment vehicles and is suitable only for experienced traders. The higher leverage and volatility found in this market increase the traders risk of loss. There is the potential to lose, all or more, of your original investment.

Forex Advantages

Investors and speculators using the Internet as an investment tool will find that the Forex market offers several advantages over futures trading. ( view figure 1 )

*200:1 is the entry leverage value. Brokerages will have margin calls set at different levels, exact leverage may vary. **The traders cost of doing business is called the Spread. It is the difference between the bid and the ask price on your chosen currency pair.

Benefits of Spot FX

The benefits of spot Forex (cash market) over futures, and more specifically currency futures, are considerable. The dissimilarities between these investment vehicles range from philosophical – such as the history of each, their target audience, and their relevance in the modern Forex markets, to more tangible issues such as transactions fees, margin requirements, liquidity level, and the technical and educational support offered by the providers of each service.

Higher Volume = Better Liquidity

The spot Forex market, or the cash market, is certainly the most liquid market in the world. Of course, with such incredible volume comes incredible liquidity. To seasoned traders this means one thing: better execution.

After hours trading in the Futures market has several limitations. In the US, for example, equities and futures traders have access to ECNs (Electronic Communications Networks), also known as “matching systems”. These networks are established to provide a method for traders to buy and sell amongst each other. Such networks are usually not able to offer as tight of spreads as would be offered during normal market hours, thus most trades are not executed at a fair market price, subsequently there is no guarantee that every trade will be executed.

Easy to Read Price Quotes

Currency futures quotes are inversions of the cash price. For example, if the cash price for USD/CHF is 1.7100/1.7105, the futures equivalent is .5894/ .5897 (a format only familiar to future’s traders). Spot prices, on the other hand, offer a simpler look at the market. The bid price is always shown on the left and the ask price on the right. The value of the base currency is always 1 (one). In the example above 1 US Dollar (USD) = 1.7100 CHF.

Currency futures’ prices also have the added complication a forward Forex component that takes into account a time factor that is not necessary in the cash Forex Market.

Higher Risk

The off-exchange retail foreign currency market (or Forex market) has many differences, as outlined above. However, one of the most significant factors is the element of risk. The Forex market is the riskiest of all investment vehicles and is suitable only for experienced traders. The higher leverage and volatility found in this market increase the traders risk of loss. There is the potential to lose, all or more, of your original investment.

The Majors

Most currency transactions involve the “Majors” consisting of the British Pound (GBP), Euro (EUR), Japanese Yen (JPY), Swiss Franc (CHF) and the US Dollar (USD). Many traders are beginning to add the Canadian Dollar (CAD) and the Australian Dollar (AUD) to this category as well.

( view figure 1 )

Currencies in Pairs?

Often new traders struggle to grasp the concept of trading currencies in pairs, why not just buy the Euro they might ask? Why does it have to be paired with the US Dollar? Simple, the currency on the right side of the pair is there to establish a comparative value, without it how could the base currency (currency on the left side of the pair) have any certain value? In other words, if currencies were not paired what would a single currency gain or lose value against? By pairing two currencies against each other a fluctuating value can be established for the one versus the other. So, how is the Euro doing against the Dollar, or how many Dollars does it take to buy one Euro? Thus the need for currencies in pairs.

( view figure 2 )

Cross Currency Pairs

Currency pairs that do not include the US dollar are referred to as Cross Currency Pairs. Cross Currency trading can open a completely new aspect of the Forex market to speculators. Some cross currencies move very slowly and trend very well, ideal for beginning traders. Other cross currency pairs move very quickly and are extremely volatile; with daily average movements exceeding 100 pips.

Speculators might utilize cross pairs as a means of portfolio diversification. An example would be an investor whose portfolio is primarily comprised of US based stocks and bonds who wants to diversify into foreign markets. Holding carry trades in cross currencies might be a good option for this type of investor. Many of these cross currencies also offer greater return potential with enhanced interest (also referred to as swap, rollover interest or carry forward interest) that can be paid on open positions. Swap is a credit or debit as a result of daily interest rates. When traders hold positions over night, they are either credited or debited interest based on the rates at the time. Often, cross currencies yield higher interest rates than do major currencies and are traded for the purpose of collecting said interest.

What is Margin?

In the Forex market the term margin is most often referring to the amount of money required to open a leveraged position, or a contract in the market. It may also be used to describe the type of account, i.e. margin account; meaning that an account is being traded on borrowed funds. It is generally safe to assume that all off-exchange retail foreign currency (or Forex) traders are trading within margined accounts.

Without leverage, or the ability to trade on borrowed funds, a trader placing a standard lot trade in the market would need to post the full contract value of $100,000 in order to have his or her trade executed. Trading with a margined account allows traders to utilize leverage, meaning that the same $100,000 contract can be placed for an amount of margin determined by the set level of leverage. An account at 100:1 leverage would require $1,000 of margin to place a $100,000 trade.

The table shown in figure 1 illustrates the amount of margin required to open standard, mini and micro contracts, also referred to as lots. As can be seen, at 1:1 leverage (no leverage at all) the full value of a contract is required. The table illustrates the required amount of equity on margin per lot traded. ( view figure 1 )

Default leverage levels for new accounts are set at 200:1 for Mini accounts and 100:1 for Standard accounts. * These levels have been set by IBFX, and will likely vary from broker to broker within the retail Forex industry.

* 200:1 is the entry leverage value. Since most brokerages will have margin calls set at different level, exact leverage may vary.

Simply stated, trading Forex on margin increases your buying power. As an example: a trader with $10,000 in a margin account that allows 100:1 leverage, would be able to purchase a maximum of $1,000,000 in currency contracts (10 standard lots). At 100:1 leverage 1% of the contract value is required as collateral.

By trading on margin, traders can potentially increase their total return on investment with less cash outlay. Trading on margin should be used wisely as it magnifies both your potential profits AND potential losses. A good rule of thumb to follow is the higher the margin, the greater the risk.

Margin Trading Example

A trader with a $10,000 account balance decides that the US Dollar (USD) is undervalued against the Euro (EUR). The current bid/ask price for EUR/USD is 1.2348/1.2350 – meaning a trader can buy 1 EUR for $1.2350 USD or sell 1 EUR for $1.2348 USD. The trader decides to sell EUR (buy dollars) by selling 1 standard lot. With leverage at 100:1 or 1%, initial margin deposit for this trade is $1,000, leaving the account balance at $9,000. As anticipated, the EUR/USD drops 48 pips to 1.2298/1.2300. To exit the position the trader would close 1 lot at 1.2300 In this scenario the trader has realized a profit of 48 pips or $480 US Dollars.

Trading with a heavily margined account is a double-edged sword. Trading utilizing high leveraged accounts can potentially increase profits, but it increases your risk of potential losses. Most brokers have standard leverage levels – 100:1, 200:1 or even 400:1. Remember, the higher the leverage, the higher the risk. Traders in the Forex market are subject to the margin rules set by their chosen brokers. In order to protect themselves and their traders, brokers in the Forex market set margin requirements and levels at which traders are subject to margin calls. A margin call would occur when a trader is utilizing too much of their available margin (cash deposit towards an open position). Spread across too many loosing trades, an over margined account can give a broker the right to close a trader’s open positions.

Managing a Margin Account

It is important that traders new to the Forex market take the time to understand the risk associated with trading in a margined account.

Every trader should be clear on the parameters of their own account, i.e. at what level does their broker consider them subject to a margin call. Be sure to read the margin agreement in the account application when opening a live account.

The positions in a trading account could be partially or totally liquidated should the available margin (“Free Margin”) in the account fall to the predetermined threshold of 50% margin level. * This is a level set by IBFX, other brokers may have margin call levels set differently.

Traders should monitor margin balance on a regular basis and utilize stop-loss orders to limit downside risk. However, due to the extreme volatility that can be found in the Forex market, stop-loss orders are not always an effective measure in limited downside risk. There is still the possibility of losing all, or more, of your original investment.

Calculating Your Margin Capability

The maximum available margin is 1% (100:1 leverage) for standard accounts and 0.5% (200:1) for mini accounts. Traders always have the option of setting a lower level of leverage. Doing such may help some traders manage their risk, but bear in mind that a lower level of leverage will of course mean that larger margin deposits will need to be made in order to control the same size contracts.

Margin = (Contract size / Leverage)

The requirements for leverage may vary with account size or market conditions, and may be changed from time to time at the sole discretion of IBFX. Please refer to your trading agreement for details.

If maximum leverage is employed, traders must maintain the minimum margin requirement on their open positions at all times. It is the customer’s responsibility to monitor his/her margin account balance. IBFX has the right to liquidate any or all open positions whenever a trader’s minimum margin requirement is not maintained. This is an important risk management feature designed to strictly limit trading losses in your account.

Margin Example

To calculate the margin required to execute 4 mini lots of USD/JPY (40,000 USD) at 200:1 leverage in a $500 mini account, simply divide the deal size by the leverage amount e.g. (40,000 / 200 = 200). $200 margin will be required to place this trade, leaving an additional $300 marginable balance in the trading account.

The trading platform automatically calculates margin requirements and checks available funds before allowing a trader to successfully enter a new position. If there are not adequate funds available to enter a new position, traders will receive a “Not Enough Money” message when attempting to place the trade.

*For a further explanation on calculating margin percentages and the potential for a margin call, please see the following course.

Understanding Contract Sizes

Understanding contract sizes (lots) is a necessary precursor to understanding the need for high leverage in the Forex market. Each standard lot traded in the Forex market is a $100,000 contract. In other words, when trading one lot in a standard account, a trader is essentially placing a $100,000 trade in the market. Without leverage, most investors would not be able to afford such a transaction. Leverage of 100 – 1 would allow a trader to place the same one lot ($100,000) trade with the post of $1,000 in margin. $100,000 divided by 100 equals $1,000, thus 100 – 1 leverage means that $1,000 of margin is able to control a $100,000 position.

Many retail Forex traders today begin their trading in a Mini account. Because standard contracts in the Forex market are rather large, even with 100 – 1 leverage, $1,000 of margin per contract traded is still a bit expensive for some investors. For this reason most retail brokers offer the option of a mini account.

Mini accounts are essentially 10% the value of standard accounts, meaning that mini contracts are $10,000. A trade of one mini lot would be a $10,000 trade, whereas a standard lot is of course a $100,000 trade. It is not unusual for brokers to offer higher leverage in mini accounts, 200 – 1 is very common. Trading with 200 – 1 leverage would mean that $50 of margin would control a $10,000 contract.

Calculating Margin

Margin is calculated 2 ways: Used Margin and Free Margin. Used margin is the amount of money used to hold open positions. Free margin is the amount of funds available to place additional positions. ( view figure 1 )

As seen in figure 1, $250 is used to hold their current positions, totaling 5 mini lots. $4,736.00 is available for the trader to open additional positions.

Calculating a Margin Call

Because institutions are loaning 99% of the value of a contract to a trader, fail-safes have been put in place to help prevent a trader from going into the negative and owing the institution additional funds. This is commonly referred to as a Margin Call, where typically a client is called upon to send additional funds or the position(s) will be closed at market price. At 50% margin level the trader will be subject to a margin call, the automatic close of open positions so as to bring the margin level back to a suitable percentage.

The margin level is calculated by dividing the current equity in an account by the current amount of margin in use (used margin). ( view figure 2 ) After dividing the equity by the margin move the decimal two places to the right. A trader whose equity is at $1,000 and who is using a $500 of margin would divide 1,000 by 500 which of course equals 2. Then move the decimal two places to the right; this trader’s current margin level or percentage is thus 200%. At 100% margin level a trader is essentially using their entire available margin. When this level drops to 50% trades will automatically be closed to help ensure that a trader is not subject to losing more money than is held in their account.

ISO (International Organization for Standardization)

Established in 1947, ISO established a standard for country and currency pair abbreviations. Since foreign currencies are quoted in terms of value of one currency against another, a currency pair consists of an acronym for both currencies, separated by a slash “/”.

For example:

GBP = Great British Pound

EUR = Euro

CHF = Confoederatio Helvetica Franc (Swiss Franc)

USD = United States Dollar

CAD = Canadian Dollar

JPY = Japanese Yen

AUD = Australian Dollar

NZD = New Zealand Dollar

Currencies are always traded in pairs, for example EUR/USD, USD/JPY. Every position requires the buying of one currency and selling of another. When someone says they are “buying the EUR/USD”, they are buying Euros and selling Dollars.

There are many other currency pairs available to trade, such as the Danish Krone, Mexican Peso, and Russian Ruble. However, these pairs are generally traded less, and for these pairs, it is harder to find buyers and sellers. Such currency pairs are called “exotics”. Because they have less volume and involve a higher risk for the broker, they typically have a wider PIP spread.

Pips

Market increments are measured in PIPs, or Percentage in Point. A pip is the last digit in the value of a currency pair; 1.3294, 115.13 etc. All currency pairs, except for the Japanese Yen, have 4 decimal places. The Yen crosses only have 2 decimal places.

( view figure 1 )

For example, let’s assume a trader buys 1 standard lot of GBP/USD. The current market rate is 1.9615. Essentially this trader is buying £100,000 in exchange for $196,150. Again, for examples sake, assume the market rate rose 15 PIPs to 1.9630 and the trader liquidates the position. The same £100,000 is now worth $196,300, the trader realizing a $150 profit.

Majors

Some currency pairs are traded more heavily than others. The currency pairs that have the most volume consist of the “majors”. While it can be debated which currency pairs are considered a major, it can be widely agreed upon that the following 6 pairs are:

EUR/USD

GBP/USD

USD/JPY

USD/CHF

USD/CAD

AUD/USD

Nicknames are sometimes used for currency pairs. Here is a list of currency pairs and commonly used nicknames for each:

GBP – Pound, Cable, or Sterling
EUR – Euro
CHF – Swissy, or Franc
USD – Greenback
CAD – Loonie
AUD – Aussie
NZD – Kiwi
JPY – Yen

Central Bank

Most modern nations have central banks that perform similar functions. Usually a branch of government, a central bank is responsible for setting interest rates, stabilizing the economy and reporting to the general public on economic conditions. Typically, central banks will loan funds to commercial banks at a certain set interest rate. Commercial banks then base their lending rates accordingly. Key central banks to the global economy include: The Federal Reserve (USA), The Bank of Japan, the Bank of Canada, The European Central Bank, The Bank of England, etc. etc.

Exchange Rate

When examining currency pairs one must understand what is meant by ‘exchange rate’. Obviously, the exchange rate refers to the rate, or price at which one currency can be exchanged for another. However, many traders look at a currency pair, EUR/USD for example, without understanding a very basic concept: A price quote of 1.4760 is to say that 1.4760 US Dollars (currency on the right) will purchase 1 Euro (currency on the left).

Liquidity

A liquid market refers to a market that is cash heavy, and liquidity refers to substantial level of capital or funds existing within a market or bank. Markets with high trading volume and substantial money flow are considered liquid markets. Banks and brokerages that clear trades are considered liquidity providers, as they are providing the funds necessary to support the execution of trades.

Market Expectations

The idea of market expectations should seem simple enough; essentially, the point is this: Forex traders must be educated! The mass of well educated traders generally have simialar expectations in terms of where prices will head. For example, given a poor showing in Nonfarm payroll, the mass of traders are going to expect the Dollar to weaken on the first friday of the month. A trader focused on nothing but moving averages and who is ignorant to obvious market expectations will have very limited success. Do your homework, read the commentary of market analysts, prep your daily trading; in short – know what the market is expecting!

Off – Exchange

The term off-exchange is often used to describe the Forex Market place. Because the Forex market has no central exchange, or physical location wherein trading is facilitated, it is considered an off-exchange market place. The NYSE (New York Stock Exchange) and CME (Chicago Mercantile Exchange) are examples of physical exchanges. The Forex market is essentially a network of banks and brokerages all of which are connected globally to one another, but not through any one physical exchange.

Volume

In any market, trading volume refers to the amount of trades in and out of the market in correlation with their contract size. A market with high trading volume (high amount of transactions and high level of money exchanging hands) will substantially impact the overall economy of a nation. Trading markets with high volume will also impact the individual trader, as increased trade volume ensures that traders can easily enter and exit trades as there is an adequate supply of buyers and sellers.

What is Technical Analysis?

“Technical analysis” is an industry term that more often than not sounds much more complicated than the actual process is. Really, it ought to be referred to as “price analysis”, as this would be a more accurate description. Through the use of charted data traders around the world analyze their market of choice. The objective: determine future price movement. The means: understanding price movement patterns of the past.

The charting of price movements creates a visual tug-of-war between buyers and sellers. The large majority of Technical traders in the Forex market focus their attention on candlestick data, a method of charting that offers a visual interpretation of the high, low, open and close of a currency price within a certain time frame.

Combined with various forms of pattern recognition (which will be covered later in the course) candlestick charting offers traders a visual look at the market’s past prices and trends. Analyzing this historical data in order to predict the movements of future prices is the process known as “technical analysis”. Notice how price patterns formed on the following chart tend to repeat; technical traders attempt to identify patterns of these nature, and base their trades accordingly. ( view figure 1 )

Why Does Technical Analysis Work?

Technical analysis is often dispelled as a myth, even a fool’s errand. There are those who believe that price movement is completely random and completely unpredictable. True, technical analysis is never an exact science (predicting the future never is). However, the true fool would be he or she that ignores the power of technical analysis, particularly in the Forex market.

Analyzing price patterns is actually very similar to analyzing human behavior. While humans can at times be unpredictable in nature, humans are typically considered to be creatures of habit. The average human adheres to certain paradigms, paradigms that are rarely broken. Do you brush your teeth or shower first? Do you comb your hair before or after you shave? The point: if one were to observe an average person’s daily routine before leaving the house for work their behavior may seem random or without purpose. However, if one were to observe the same human day after day, within a relatively short amount of time it would not be hard to outline that person’s morning routine. In fact, nine times out of ten you would probably be able to predict with impressive accuracy how your observed creature would prepare for their day, perhaps even down to the minute.

The Forex market is also a creature of habit. Analyzing price movement is effective because the past can teach us how human beings (the real living and breathing organism of this market) will react to certain situations. History does repeat itself. Technical analysis offers the Forex trader a certain level of expectancy when considering future price movements. In a sense, accurate technical analysis is a trader’s true edge. There is no crystal ball for predicting the future of the market, though there are keys to understanding patterns, past, present and future.

When Does Technical Analysis Fail?

Technical analysis fails when traders fail to consider the fundamentals. Why mention fundamental analysis when explaining technical analysis? Simple, the one just doesn’t work without the other. Fundamental factors such as political events, a hike in interest rates, unemployment rates and so on will impact the Forex market more substantially than perhaps any other market. Fundamental factors are often the driving force of major price movements. A trader focused on technical analysis cannot ignore Nonfarm Payroll on the first Friday of the month and expect his or her technical indications to be as accurate as the day prior. Notice the price movement shown in the following image; shortly after Nonfarm Payroll price reactions were wild; during such times technical analysis cannot be counted on. ( view figure 2 ) Purely technical traders understand that certain political factors throw all other price forecasts out the window.

Charting & Charting Styles

‘Charting’ is essentially the most basic component of technical analysis. As such, some would argue that the more raw and basic data plotted on a chart is of little use to the technical trader. Instead, they might argue that a technical trader needs more advanced indicators as a means of determining price direction. Indicators such as moving averages, momentum indicators, oscillators and so on… will, ultimately be of grand use to the technical trader, but not without first learning the basics!

Line Charts

There is nothing more basic than a line chart. A simple visual representation of data, the Line Chart plots the closing price of a single day and over the course of weeks and months connects the dots. The following image shows an example of a basic line chart:( view figure 1 )

The line chart’s simplicity is often seen as its strength. Or so it may be in other markets. In the Forex market the line chart offers very little insight into the market’s volatility or movement within the time frame of a single day. As most Forex traders are ‘day traders’ (often in and out of positions in a 24 hour period) a line chart, even if plotted by the hour, would still leave much to be desired. As we continue to explain other charting methods, the previous point will make more sense!

Bar Charts

Bar charts are in essence the less visually appealing version of Candlestick charts. Candlestick charting is the most popular method used by today’s Forex traders. However, it might be important to understand the one before the other. A Bar Chart displays a price’s open, high, low and closing prices. As shown in the following image the top of the bar chart represents the highest price of the period, and the bottom of the bar represents the lowest price of the period. To the left and right side of the bar are “ticks”, the left tick represents the open price of the period and the right tick represents the close price of the period. ( view figure 2 )

Candlestick Charts

Really the only choice for today’s Forex traders, the candlestick chart offers the same information as does a bar chart, but does so in a much more ascetically pleasing manner. As is illustrated in the following image the candlestick is comprised of a “body” and an upper and lower “wick”. The body of the candle is typically a dark color when the close is at a lower price than was the open (a bearish candle). Conversely, if the close is at a higher price than was the open the candle will be a light color (a bullish candle). The wick of the candle represents the entire range of price for that period. The top of wick of course represents the price at its highest point, while the bottom of the wick represents the price at its lowest point.

A quick glance at a candlestick will tell a trained eye literally everything they might want to know about a price within a certain time frame, i.e. what was the high and low price, was it bullish or bearish, where was the open and close. A trader can also quickly glance at a series of candles and with little thought note how many consecutive candles have been bullish or bearish; which in conjunction with other technical analysis often serves as an appropriate timing method to enter a trade. ( view figure 3 )

What am I looking for?

More often than not, traders in the Forex market doom their own technical analysis. The reason is simple; they look at a chart and try to remember everything that they have ever studied about technical analysis. Before long it seems that one philosophy only contradicts another, an obvious entry becomes a source of confusion and so on. Some of the best traders in world have a bit of a mental check list that is always considered when analyzing a chart. However, they also know that too many technical indicators used in conjunction with one another is a fast track to a certain demise.

There are certainly a few things that you are going to want to consider when looking at a chart. As the course continues you will be better prepared to compile your own trading style. For the time being, consider the following a check list for the novice. Ask yourself what the chart on your screen is telling you, and which of the following considerations are worth considering:

Is there an obvious trend or direction of the market within the time frame that you are viewing?

Are there any basic chart formations such as triangles, wedges, pennants, double tops or bottoms or otherwise that might suggest a pending breakout or trend reversal?

Is the market trading within the walls of any obvious support and resistance levels, or is the market trading within a channel?

Have you considered at least two technical indicators, i.e. two technical indicators that complement each other well?

Have you ignored the impulse to consider every technical indicator that you have ever read a paragraph or two on?

You should now understand at least the basics of what a technical trader is looking for when analyzing a chart and the market. As we continue to dissect various technical indicators and forms of pattern recognition your skills will be refined, for the time being it is enough to know, if nothing else, what it is that you will ultimately be looking for.

Support & Resistance Trends

Fortunately for traders in the Forex market, dealing in this market is often about dealing in trends. It is often said that ‘the trend is your friend’; there is truth to this, but only when a trader understands why the market trends and the underlining factors that can often disassemble a forming trend (these factors will be covered throughout the course as we further analyze technical analysis). ( view figure 4 )

The image above shows an example of an upwards trend. Notice that the trend line was drawn by identifying the lowest low of the trend and connecting the line to the following low preceding a new high. A solid trend line should continue in this manner until at least four lows followed by new highs are plotted. This trend line can also be referred to as a support level. In other words, think of this line as if it were the roof of a house. During this trend period the price range is going to crawl along the roof of the house. In an upwards trend we are obviously looking for an opportunity to buy. It is generally taught that a trader’s best buy entry point during an upwards trend would be at the lowest low of the candle on the third touch of the support level, as is shown in the following image: ( view figure 5 )

Just the opposite of an upwards trend, in a downwards trend our trend line can be referred to as a resistance level. Now as opposed to trading along the outside of a roof we are trading along the top of the ceiling. During this trend a trader can assume that the price is often going to reach the ceiling, but never push through it. A trader following a well developed downwards trend is looking for an opportunity to sell on the third touch of the resistance line at the highest possible point of the candle, as is shown in the following image: ( view figure 6 )

Timing an entry point within a trend is as key as recognizing a trend, as obviously they will not last forever. First consider the time frame of the chart that you are viewing in relation to the likely continuance of the trend. As mentioned earlier, we are usually looking to buy or sell on the third touch of a support or resistance level within a trend. Using historical data in your charts, you will notice that the average trend will not provide more than 3 to 4 additional touches of the support or resistance after the first 3 that would have inspired you to note the trend to begin with. Thus, depending upon whether you are viewing a 1 minute chart, a 5 minute chart, or so on you will need to gage an estimated time frame within which you will trade.

Double Tops & Double Bottoms

Double Tops do not only provide technical traders with a firm indication of a beginning downward trend; they also prove that price movement is not random, but rather is a clear indication of market sentiment. Double Tops occur when a new high is plotted, raising the resistance level. The price then retraces and declines, only to rise again and reach the same high or resistance level.
( view figure 1 )

As can be seen in figure 1 Double Tops can be thought of as true market sentiment. Traders around the globe push the price to a new high; because the new high is a tad extreme the price is subsequently brought back down. Again traders push up to the same level, testing it just one more time; again the price feels too extreme. The market has decided that an upwards trend is just not in the cards, twice a new high was tested and twice the market sold to push it back down. After noticing a Double Top a trader is generally safe to assume that for the time being the market will move in a downwards trend, thus affording an opportunity to sell, or exit a soon to be falling long position.

Of course, Double Bottoms are just the opposite of Double Tops. Twice the market will test a new low, and twice the market will refuse the idea of pushing beyond that point. The buyers will rally and an uptrend will follow.

Triangles

There are three types of triangles that technical traders focus on:
( view figure 2 )

Ascending Triangle

Descending Triangle

Symmetrical Triangle

Ascending triangles are considered bullish pattern formations, though depending on whether they are formed during an up-trend or a down-trend they may have different implications towards future price movement. Spotted within an up-trend an ascending triangle is typically considered an indication that the upwards trend will continue. Just the opposite, if an ascending triangle forms during a downwards trend it is considered an indication of a trend reversal. Essentially, ascending triangles are comprised of a series of candles that, in accordance with the pattern’s name, form the shape of a triangle. The term ascending triangle refers to the fact that the triangle’s two trend lines are not created equally; the top line of the triangle will represent a fairly even level of high prices, while the lower level of the triangle will represent a continued series of higher lows.

The consolidation between buyers and sellers at an upward slant suggests pressure from the buyers. The resistance line can typically only hold for so long before the buyers get the best of the sellers and the price breaks out in an upwards trend, at which point the resistance level often becomes the new support level; or for a seasoned trader, a wise level to place a stop loss. Figure 3 shows an example of an ascending triangle. As can be seen, it is generally safe to assume that the triangle will break out at least five candles before the actual point of the triangle would form. ( view figure 3 )

Descending triangles, naturally, are just the opposite of ascending triangles. In a downwards trend the triangle forms as an indication that the trend will continue downwards. In an upwards trend the triangle forms as an indication of a trend reversal. Descending triangles are formed when there is a series of progressively lower highs and relatively even lows. As can be seen in the image below the top line or resistance line of the triangle will be angled down, while the lower line or support level will appear as a level horizontal line.

Symmetrical triangles are most often considered a continuation pattern. Symmetrical triangles can be seen as a series of lower highs and higher lows develop forming the shape of a triangle. This pattern represents a struggle between buyers and sellers, as is usually the case with price consolidation; more often than not symmetrical triangles precede a price breakout. Though it is generally safe to assume that symmetrical triangles will only present themselves as an indication that the current trend either upwards or downwards will continue, this may not always be the case. ( view figure 4 )

The good news for seasoned traders is that one need not really know ahead of time where the market will head, the true key is simply to spot the symmetrical triangle developing. As can be seen in the example below once the support or resistance line of the triangle has been penetrated by two to three consecutive candles the trend will more than likely continue in that direction, thus offering traders an excellent entry point.

Wedges

Wedges are often considered a difficult pattern to recognize, and or are often confused with triangles. The distinction between wedges and triangles is actually quite clear to the trained eye. The key to spotting the difference is found in the slant or the angle of the support or resistance line. When observing triangles notice that ascending triangles show a flat or even resistance line, conversely descending triangles show a flat or even support line. Symmetrical triangles, as their name suggests, are neither slanted downwards or upwards. Wedges on the other hand, are represented by support and resistance lines that both slant in the same direction, be it up or down. ( view figure 5 )

There are two types of wedges; rising wedges and falling wedges.

Falling wedges are considered bullish pattern formations. When found in a downwards trend the falling wedge suggests a reversal of that trend. When found in an upwards trend the falling wedge suggests a continuation of the upwards trend. The falling wedge is formed by a series of lower highs and lower lows. Notice that both the support and resistance levels of the wedge are slanted downwards, setting the wedge aside from what might be mistaken as a triangle pattern formation. Prices within the falling wedge will continue to tighten until the resistance line is finally penetrated and the breakout upwards begins. Timing a falling wedge is much like timing a triangle formation; one can generally assume that after two to three candlesticks have pushed through the resistance line it is then time to consider hoping on the bandwagon with the rest of the buyers.

Rising wedges, just the opposite of falling wedges, are considered bearish pattern formations and are represented by a series of continued higher highs and higher lows which are narrowing or consolidating. The rising wedge suggests to the trained eye that though the buyers are reaching new highs, these highs a progressively tighter and tighter. These progressively tighter highs indicate that the upwards trend is losing steam. Thus, a rising wedge found in an upwards trend would suggest a trend reversal and a rising wedge found in a downwards trend would suggest a short rally from the buyers, but ultimately a continuation of the downwards trend.
( view figure 6 )

Flags & Pennants

Flags and pennants are perhaps the most common of continuation patterns. Spotting a flag or a pennant usually begins with noticing the flag pole, or for more practical purposes, the trend line. Flags and pennants typically form after a substantial trend up or down as an indication that the price is consolidating, or being tested before continuing in the initial direction of the trend. Often the consolidation period (the flag or pennant) is slanted in a direction opposite of the initial trend, this demonstrates the market’s hesitation to continue upwards or downwards, but ultimately it is nothing more than a brief hesitation and an indication to the trained eye that there is safety in staying with the initial trend.

Though both flags and pennants indicate a continuation of the current trend, there is a distinct visual difference between the two. The flag will be represented by a more rectangular consolidation period, ( view figure 7 ) both support and resistance levels will be about an equal distance from one another. A pennant on the other hand will be represented by support and resistance levels that are moving towards one another in the shape of an asymmetrical triangle. Both the flag and the pennant are always spotted at the end of the flag pole, or at the end of a sharp directional trend.

Head & Shoulders / Reverse Head & Shoulders

Usually found after a long trend either up or down, as its name suggests head and shoulders are named after the human form. Consisting of three peaks, one of which (the head) is centered and higher than the two lower and relatively equal peaks (the shoulders). Head and Shoulders is perhaps the most well known reversal pattern within technical analysis. Formed after a long upwards trend the left shoulder begins to form while still in the upwards trend. Essentially the left shoulder forms as prices rally up and quickly thereafter retrace, typically the upwards trend line, or resistance level will not be broken as this happens. Notice that the left shoulder seen alone can also be viewed as a forming flag. As the left shoulder finds its end, prices again rally, this time to a new high which will become the head of the pattern. After the high peak or head of the pattern is formed and prices have retraced back down, again prices will rally to near the same level as the left shoulder to form the right shoulder.

Essentially, within an upwards trend prices have attempted to rally three times and each rally has seen limited success, or in other words has been rejected by the sellers. Once the right shoulder breaks through the imaginary support line equal with the right shoulder (the neck line) the reversal of the trend has officially begun. Buyers have tried to continue the upwards trend, and three times have lost their battle to the sellers. A trader who has spotted a forming head and shoulders pattern can usually be quite sure that he or she has seen the end or a long upwards trend. It’s time to cut your losses, secure your profits, or short the market. ( view figure 8 )

Every pattern within technical analysis seems to have its opposite, head and shoulders is no exception to this rule. Reverse head and shoulders represent essentially the same situation as normal head and shoulders, but of course are found in long term downwards trends as opposed to long term upwards trends. Instead of the head and shoulders represented by new peak highs they are represented by new peak lows. The reverse head and shoulders tips the trader that the downwards trend is losing steam as three new lows have been tested and each time bested by the buyers in the market. Again, it’s time to cut your losses, secure your profits, or this time, long the market.

TA 1030 | Support & Resistance – Clif Droke

Clif Droke
Clif Droke is the author of several trading books, including: How to Read Chart Patterns for Greater Profits, Stock Trading with Moving Averages, Moving Averages Simplified, Silver Trading Techniques and many more. He has also published numerous articles on subjects ranging from the Dow Theory to articles focused on the recent recession scare.

Chapter 7

The concept of support and resistance in the charts is basic to the understanding of price patterns and their implications.

Edwards & Magee defined support as the “buying, actual or potential, sufficient in volume to halt a downtrend in prices for an Appreciable period.” Resistance, of course, is the antithesis of this and consists of selling, actual or potential, in sufficient volume to keep prices from rising for a time. “Support and resistance, as thus defined, are nearly but not quite synonymous with demand and supply, respectively.”

Further expounding this concept, Edwards & Magee tell us:

“A support level is a price level at which sufficient demand for a stock appears to hold a downtrend temporarily at least, and possibly reverse it. i.e., start prices moving up again. A resistance zone by the same token, is a price level at which sufficient supply of stock is forthcoming to stop, and possibly turn back, its uptrend. There is, theoretically, a certain amount of supply and a certain amount of demand at any given price level… But a support range represents a concentration of demand, and a resistance range represents a concentration of supply.”

Support and resistance – in their basic forms – are represented on the charts as follows:

In a trending market, especially one in which prices travel within the confines of a clearly defined channel, the support and resistance lines will tend to keep prices within the channel, bouncing from support to resistance in an alternating “zigzag” pattern.

Support and resistance are more than just an upward trending or downward trending channel lines. They may be encountered from a variety of chart patterns and other places of price congestion on the charts.

One rule of thumb for determining where a market or security will meet with either support or resistance on the charts is to find previous chart areas where consolidation has occurred. If, for example, a particular stock has stalled out in a net sideways or other congestion pattern at a certain level in the recent past before falling to a lower level, it is all but likely that the stock will encounter difficulty in penetrating that same level later on as it rallies and tries to overcome it. This, of course, does not necessarily mean the former area of consolidation (in this case, resistance) will prove impenetrable; to the contrary, it will probably be overcome eventually. But not without considerable effort on behalf of the buyers. The greater the congestion, the greater the effort required to overcome that congestion, whether it is in the form of support or resistance. Thus support and resistance serve as checks in the development of a trend (be it a rising or a falling trend) to keep the trend from moving too far, too fast and thus getting out of hand and eliciting violent reactions. (This does not apply, of course, in market crashes or “buying panics,” in which case support and resistance levels become meaningless. But such instances are fortunately quite rare.

This leads us to the next related principle of support and resistance which Edwards & Magee elucidate for us:

“…here is the interesting and the important fact which, curiously enough, many casual chart observers appear never to grasp: These critical price levels constantly switch their roles from support to resistance and from resistance to support. A former top, once it has been surpassed, becomes a bottom zone in a subsequent downtrend; and an old bottom, once it has been penetrated, becomes a top zone in a later advancing phase.”

Thus, if a certain security breaks through an overhead resistance level at, say $50, then the moment prices are above the$50 level, it automatically becomes a support. Conversely, if the $50 in our hypothetical security had been a support checking prices from moving below it and the $50 level is suddenly penetrated then $50 automatically becomes resistance. This principle, which we call the “principle of interchangeability”, hold true for older levels of support and resistance as well, not just recent levels.

Other instances of support and resistance can be found not only in areas of chart congestion but in geometric chart patterns as well. The symmetrical triangle affords just such an example. Throughout the formation of the triangle, the upper and lower boundary lines serve as resistance and support, respectively. However, an even stronger level of support level of support and resistance (depending on which direction prices take upon breaking out from the triangle) is provided by the apex of the triangle. By drawing a horizontal line from the apex and extending it across the chart an analyst will be provided with a reliable support/resistance level. However, such levels usually become weak as time passes. Thus, a chartist will want to regard this as a strong support/resistance only in the days/weeks immediately following a price breakout from the triangle.

Concerning volume, it is sufficient merely to point out that the power of a resistance (or support) range is estimated by using the criterion of volume. In other words, the greater the amount of volume was recorded at the making of a top (resistance) or bottom (support) in a given market or security, the greater the strength of that top or bottom will be and the more effort will be necessary to penetrate it in the future. As Edwards & Magee put it:

“In brief, a single, sharp, high-volume bottom offers somewhat more resistance than a series of bottoms with the same volume spread out in time and with intervening rallies.”

Another criterion Edward & Magee discuss that is worth noting here is the extent of the subsequent decline from a resistance zone. Or, to phrase it differently, how far will prices have to climb before they encounter the old bottom zone whose resistance potential the analyst attempt to appraise? “Generally speaking,” Edwards & Magee write, “the greater the distance, the greater the resistance.”

In other words, the higher that prices must travel before breaking the previous top, the stronger the resistance that top is likely to hold.

Finally, in answer to the oft-asked question as to what exactly constitutes a legitimate “break” of either support or resistance, we would refer the analyst back to the old Edwards & Magee “three percent rule,” which states that a break above a support or resistance level (or through a corresponding chart pattern) by distance of at least 3 percent, and accompanied by increased trading volume, should be viewed as the start of a new trend and therefore followed.

TA1040 | Moving Averages

Market Expectations Range Sideways Market Lagging Indicator Fibonacci Levels

Market Expectations

The idea of market expectations should seem simple enough; essentially, the point is this: Forex traders must be educated! The mass of well educated traders generally have similar expectations in terms of where prices will head. For example, given a poor showing in Nonfarm payroll, the mass of traders are going to expect the Dollar to weaken on the first Friday of the month. A trader focused on nothing but moving averages and who is ignorant to obvious market expectations will have very limited success. Do your homework, read the commentary of market analysts, prep your daily trading; in short – know what the market is expecting!

Range

Currencies tend to trade within certain price ranges. Traders need to understand trading ranges in conjunction with average daily pip movements before they can make a logical trading plan, or before they prepare a profit target level. If trading the Euro, for example, a trader had better be aware that the Euro price range over the last week has been somewhere in between 4100 and 4400. That information considered, very few currencies move more than 80 to 90 pips in a single day, and the Euro is not an exception. If a trader intends to place a short term trade (3 – 4 days or less), they must first consider price range, and then the likelihood of a movement to their desired price level. Can 80 pips be made inside of 2 days? Not likely, set your sights a bit lower and always consider price range and average daily pip movements.


‘Range’ is also mentioned in the following courses:

TA 1015 TA 1030 TA 1050

Sideways Market

Simply stated, traders need volatility in order to be successful, that is to say, prices need to move. Sideways markets typically suggest low volatility and a trading period in which, prices are neither trending up or down. Certain trading strategies can work well in sideways markets; if traders are after smaller gains pip wise. However, most traders are looking to avoid sideways prices, unless of course prices are consolidating or narrowing, which of course would indicate a potential price breakout.


‘Sideways markets’ is also mentioned in the following courses:

TA 1030 TA 1050

Lagging Indicator

A lagging indicator refers to a technical indicator that gives traders an indication that a trend has already begun, in other words the notification is a bit after the fact, hence the term ‘lagging’. Though lagging indicators can be a bit behind, they still help traders catch onto trends that otherwise might have gone overlooked. Moving averages are considered lagging indicators. The opposite of lagging indicators would be ‘leading indicators’, indicators that work to warn traders ahead of time that something is developing. The best technique is not to use only one indicator type or the other, but a combination of both.

Fibonacci Levels

Fibonacci is not only the name of a famous mathematician; it is also the name of a very common technical indicator. Essentially, Leonard Fibonacci’s number sequence is used as a means to gauge potential market retracements. The math behind the indicator is subject matter for an entire course, as is much of the related philosophy and strategy. However, the short explanation is that Fibonacci levels offer traders a look at where prices might retrace or extend to in the form of a series of numbers (price levels) that are represented as lines plotted on a chart. Fib levels are most commonly used after a major move up or down, in an effort to predict a possible price retracement.

Moving Averages

Most literature written on technical analysis, more specifically technical indicators, begins with Moving Averages. The reason for this is simple; they are considered by most analysts the most basic and core trend identifying indicators. As its name would suggest a moving average calculates an average of price range over a specified period. For example, a 10 day moving average gathers the closing prices of each day within the 10 day period, adds the 10 prices together and then of course divides by 10. The term moving implies that as a new day’s closing price is added to the equation, the day that is now 11 days back is dropped from the equation. Figure 1 shows an example of a simple moving average line placed on a candlestick chart.
( view figure 1 )

The example above outlines what would be considered a Simple Moving Average. There are at least 7 varieties of moving averages, but generally the average Forex trader is focused on just one of the following three:

Simple Moving Averages

Exponential Moving Averages

Weighted Moving Averages

What are moving averages trying to tell us?

Before examining the various calculations and types of moving averages it is essential that we as traders understand what a moving average is trying to tell us. Its message is really quite simple, and is primarily focused on market expectations. A moving average calculating the last 30 days of prices in the market essentially represents a consensus of price expectations over that 30 day period.

Understanding a moving average is at times as simple as comparing the market’s current price expectations to that of the market’s average price expectations over the time frame that you are viewing. The average gives us a bit of safe zone, or a range that traders globally are comfortable trading within.

When prices stray from this safe zone, or from the moving average line a trader should begin to consider potential entry points into the market. For example, a price that has risen above the moving average line typically implies a market that is becoming more bullish, traders are on the up, and with such will come good opportunities to buy. ( view figure 2 ) Just the opposite, when prices begin to fall below moving average lines the market is becoming visibly bearish; traders should thus be looking for opportunities to sell.

Notice the angle of the moving average shown above at various points across the chart. Moving averages not only give traders a much smoother look at the true trend of the market, they also offer keen directional insight found in the angle of the moving average line. Erratic sideways markets tend to be represented by moving average lines that are flat or sideways, whereas markets that are beginning to trend strongly in one direction or another will begin that trend with a very angled moving average line.

Remember, it is one thing to look at a completed moving average line and determine at what point would have been an excellent entry into the market, it is another thing to spot the angle of the line as it is developing and at that point wisely enter the market. A true technical analyst is after what the moving average can tell him or her about the coming hours or days of the market, not what the moving average can prove about what should have been done in the past. That said, look for angles! ( view figure 3 )

Simple Moving Averages

Calculating simple moving averages is really quite simple (no pun intended). As was outlined in the beginning of this section the sum of all closing prices is divided by the number of days in the equation. With each new day the now oldest day that is no longer a part of the time frame is subsequently dropped from the equation. A simple moving average is considered a lagging indicator. In fact, the simple moving average perhaps epitomizes the meaning of lagging indicator in that its visual data often comes a bit after the fact, and can be hard to act on. Nevertheless, simple moving averages are key to understanding the markets general feel of where the price rage should be trading at, or the safe zone that we referred to earlier. When prices begin to break away from the moving average line in conjunction with a sharply angled moving average line – basic mathematics is predicting a move up or down in the market. The notable down side is that when observing lagging indicators, this prediction often comes too late; thus the reasons for other types of moving averages, averages that more heavily weigh recent data and can offer quicker predictions:

Exponential Moving Averages

Exponential and weighted moving averages attempt to resolve the issue of lagging directional forecasts. In other words, they often cut to the chase faster, allowing traders to better time the market. This is done by placing greater emphasis on more recent price data. Instead of evenly distributing plotted points of a moving average across all candles in the period, a weighted or exponential moving average puts more emphasis on the most recent data; allowing the angle of the moving average to react more quickly.

Theorizing that most recent price data is more important to the immediate future of the market than is older price data is often true, but can certainly be a trader’s demise if he or she is not careful. Trading a heavily weighted 10 day EMA (exponential moving average) and jumping the gun on an initial angle up on the EMA when just 10 to 12 days prior a very strong and long down trend occurred might be a bit naïve. Why? It is simple, Your 10 day EMA is over looking data that is an accurate reflection of recent market sentiment, or price direction. Remember, reading moving averages is about comparing an average view of the market’s recent trends to an actual view of recent price data. In other words, is the market trading within its safe zone, or where its average has been lately? If not, it may be an indication of a new direction or trend, but before you pull the trigger cross check your SMA (simple moving average) and gage an evenly weighted average of the market’s recent history. Notice in figure 4 that the exponential average reacts more quickly to price chance than does this simple moving average; which can be good or bad, but traders should form the habit of cross checking the two. ( view figure 4 )

Whether using exponential moving averages, weighted moving averages or simple moving averages the objective does not change. You are looking for an average in which the market has been trading. When new candles push significantly through this average in conjunction with a sharply angled moving average line it is time to consider an entry point. History has proved itself; when prices begin trading above the moving average line the market is becoming bullish and traders should be looking for buy entry points. When prices begin trading below the moving average line the market is becoming bearish and traders should look for an opportunity to sell.

20 Days & the Moving Average Cross

There are those who pretend that they understand why the 20 day moving average is such a popular choice of today’s Forex traders. The answer may simply be that the average charting software offers this time frame as a default setting, or it may be that minus the weekends this time frame represents about a month of market activity.

Whatever the case may be, an increased number of traders around the world follow this number, and thus theory becomes reality. In other words, why do technical indicators often work as well as they do? Well, market sentiment is everything; remember human beings drive any financial market. If enough human beings believe in the same indicator and the same time frame for that indicator, often there is no better way to go than with the crowd.

Market sentiment when shared by the masses most often becomes market reality. That is why an untrained trader often finds him or herself baffled by a price move that does not make any logical sense. But, perhaps this trader was unaware of the fact that after a large and intense move up in the market technical analysts around the world were all looking at the same Fibonacci retracement levels (material for a later course, no need to fret). As such, everyone believes that the market will retrace at the same Fib levels and so everyone begins to sell at the same level, thus pushing the market down; sentiment becomes reality. For this very reason it is imperative that anyone serious about trading the Forex market, or any market for that matter, must first learn the basics of technical analysis. Often technical analysis and market sentiment are one in the same.

The moving average cross is a tool that should not be overlooked. As can be seen in figure 5
( view figure 5 ) there are two moving average lines plotted on this chart. The idea is to combine a short term moving average with a long term moving average. For example, a 10 day moving average on top of a 20 day moving average. Of course the shorter moving average period will react more quickly to price direction, whereas the longer moving average period will be represented by a smoother less volatile line. When the two lines cross this is considered an indication of a quickly approaching trend reversal or change in price direction. As always, watch for the angle of the moving average line, particularly the shorter time frame (in this case the 10 day moving average). When lines cross with a sharp angle and an obvious separation from one another nine times out of ten a trader can count on a change in price direction. Do not trust moving average crosses that are represented by lines on top of one another. The two periods might have crossed, but if there is not a sharp angle and a good degree of separation after the cross expect a sideways market for the time being.

When trading moving average crosses follow these rules: when your shorter moving average period crosses the line representing your longer period from the bottom – look for an opportunity to buy. In other words, the market in this situation is most likely poised for a trend upwards. When your shorter moving average period crosses the line representing your longer period from the top – look for an opportunity to sell. The market in this situation is most likely poised for a trend downwards. Take a look at the following chart; notice that the angle of the cross and the separation of the cross are the keys to large changes in direction. ( view figure 6 )

Don’t jump the gun!

Don’t jump the gun! Often inexperienced traders assume that a moving average cross is a perfect entry at the exact point of lines intersecting. This is usually not the case. Do not be fooled by what may become nothing more than a sideways market. Again, look for sharp angles and an obvious degree of separation between the two lines. Looking back at the image above, notice that the solid trends all have two things in common; the shorter period line has a sharp angle up or down, and the two lines are separated by what would be at least 2 or 3 numbers on a clock. Once this separation is obvious and a few candles have opened higher than the previous (lower than the previous in the case of a downwards trend) the market has shown its true colors. At this point, you should be looking to pull the trigger.

What They are and How to Use Them for High-Impact Results:

Using two moving averages – one of shorter length and one of longer length – to generate trading signals is commonly used among traders today. This method, known as the “double crossover method,” is especially suited for securities that happen to be in trending, as opposed to range-bound markets. (Trending markets are characterized by steady upward price movement in bull markets and steady downward price movement in bear markets. Prolonged sideways movement with little sustained progress up or down is characteristic of “range bound” markets.)

There are many different ways in which this double crossover method may be used. The combination possibilities are endless. The two moving averages can be daily or weekly, but one must always be of a shorter time frame than the other. For example, you might consider using a 12- and 24- day moving average in conjunction with security’s price chart. Or a 10- and 30- day, or a 30-day and 60-day average. The shorter moving average measures the short-term trend, while the longer MA measures the longer-term trend. Buying and selling signals are given whenever the two cross over or under one another.

Trading rules for the double crossover method are quite simple: whenever the shorter-term moving average crosses above the longer-term moving average – and the longer-term MA happens to be rising – a buy signal is generated. Conversely, whenever the shorter-term average falls beneath the longer-term average – and the longer-term average happens to be falling – a sell signal is generated.

BigCharts.com provides a free charting service through its internet site (www.bigcharts.com), which contains charting tools for constructing several varieties of moving averages. The daily and weekly bar charts on the BigCharts.com Web site can be modified to the time frame that best suites the trader. Included in this chapter are a number of BigCharts.com stock charts, and the buy or sell signals they generated based on the crossover method using the 30-day 60-day moving average. Bear in mind that the same rules that apply for interpreting the 30-day and 60-day moving average combo apply for all types of double series moving averages; and can be used for all time frames, including daily, weekly and monthly charts.

J.P. Morgan (JPM)

Here is a fine example of how the double crossover system of moving averages works in J.P. Morgan. Here, the daily chart provides a buy signal when the shorter 30-day moving average crosses over the longer 60-day moving average. Conversely, a sell signal is flashed when the longer of the two averages (60-day) crosses over and remains on top of the shorter average (30-day). This basic rule of thumb applies for moving averages of any size and not just the 30-day and 60-day functions. Notice in March 1999 that the first buy signal was given as the 30-day average (light colored line) crossed on top of the darker 60-day line. So long as the price bars were rising and remained on top of the averages, the buy signal remained intact. This was the case from March through June 1999, at which point the priceline dropped underneath the averages and the averages started turning down, indicating a loss of momentum. In August 1999 the 60-day average crossed on top of the 30-day average, flashing a sell signal. This continued until November, when another buy signal occurred. However, since the two moving averages got so far out of synch with one another, it warned the trader to avoid making a commitment to the stock until the averages got back in line. The next “in-line” buy signal occurred In August 2000 (note how the two averages interacted at this time on the chart). Because the two averages became widely spaced apart shortly after this signal, it indicated that an over-bought condition was developing in J.P. Morgan. Therefore, the prudent trader would have been right to look for exit signals. The first such signal came in October, at which time the 30-day average turned down and failed to support the priceline. Even though a crossover did not occur until one month later, it would have been wise to sell out when the first 30-day moving average turned down. The rules for interpreting single line moving averages still apply when interpreting double line moving averages, even when the two lines have not crossed over yet.

Standard & Poor’s Depository Receipt (SPY)

A buy signal in the Standard &Poor’s Depository Receipts (SPY) remained in place throughout 1999 until August of that year until the two moving averages started rounding off and turning down. Shortly thereafter, a bearish crossover occurred, though it would have been wise to exit long positions as soon as the moving averages – particularly the 30-day average – starting curving over, reflecting waning momentum. Another strong buy signal was given in November 1999, when the 30-day average crossed the 60-day average. It soon starting curving over, however, and the priceline began a prolonged sideways movement into the year 2000. The next formal sell signal was flashed in September, at which time the 60-day average crossed over the 30-day average. The sell signal remained in place through the remainder of the year.

General Motors (GM)

General Motors provides a clear sell signal in its daily chart In May 1999 (note crossover and downward curve of moving averages and their relation to the priceline). A buy signal was given in October 1999 (note bowl-shaped bottoming pattern of moving averages, the rising priceline in relation to the rising averages and the crossover of the shorter average (30-day) on top of the longer average (60-day). The next sign of trouble came in May 2000, when the two averages got out of line with both curving over. The priceline plunged through both of them before bouncing higher. This should have been the trader’s signal to exit all long positions in GM and sell the stock short. Remember, when trading using two moving averages, you do not necessarily have to await a crossover before making a trading commitment – a simple curve of one or both of the moving averages, or a failure of the moving averages to contain the priceline is all the signal that is required. The crossover serves more or less as a confirmation to the preliminary buy or sell signal.

DuPont (DD)

Here is a daily chart of DuPont (DD), a leading industrial stock and a component of the Dow Jones Industrial Average. A strong buy signal was given in April 1999, when both moving averages were close together and moved up at the same time while the price bar were also rising. A separation of the two averages occurred between May and June of that year, followed by a curving over of the shorter (30-day) moving average in June. This provided a preliminary sell signal to the alert trader. An all-out sell signal was given in September when the 30-day average fell below the falling 60-day average. This was followed by falling prices and then a short-term buy signal in December 1999. However notice that in the month between December 1999 and January 2000, even as DuPont’s priceline was moving higher, the 30-day moving average ascended while the 60-day average never followed suit. Instead, the 60-day moving average, after a short rise in December, quickly turned back down and continued to curve lower even as the 30-day average was rising. This is what is known as divergence, and it is typically bearish. In cases like these where one moving average gives a buy signal while the other give a sell signal, it is best to exit long positions and either await a clearer signal before re-establishing trading positions or else sell short (if you are an aggressive trader). The longer of the two averages holds more significance, so in this case the fact that the 60-day average was falling implied that the longer-term trend was still down; therefore, short positions were justified. The sell-off continued throughout the year 2000; however, notice how the two averages had moved close together and were starting to round off in bowl fashion. This provides a clue that the sell-off likely has halted and that accumulation could be underway. The trader should watch this chart carefully in anticipation of the next buy signal.

Cisco Systems (CSCO)

A bullish buy signal continued throughout 1999 and into the early part of 2000. Notice, however, that the moving averages began moving apart in early 2000 and continued to spread apart into April, at which time the 30-day moving average started to curve over with the 60-day average soon following suit. The first sell signal was given in April when the priceline for Cisco Systems fell through both averages. Although there was quick bounce back, the curvature of the averages plus the fact that the priceline had previously plunged through them, was strong evidence that Cisco’s bull market had ended and that further weakness could be expected.

Chinadotcom Corp. (China)

The chart provided on the next page for Chinadotcom Corp (CHINA) is a great example of how a moving average system can serve to protect traders from adverse moves in the stock market. After an extraordinary advance from its initial public offering in July 1999, CHINA proceeded to rise to a price of nearly $80 a share in March 2000. The large gap between the priceline and the moving averages that occurred in March 2000 (just before the crash) was a preliminary warning that the stock was due a significant pullback. Although there is no hard-and-fast rule as to just how far the distance between the priceline and moving average should be before a sell signal is given, it is up to the trader to use discretion based on the “average” distance between the two over the long-term. Whenever it becomes plainly evident that there is a wide separation between the moving average and the priceline, the trader should prepare to either sell or sell short. Notice also how both averages – particularly the 60-day average – began losing momentum and curving over just before the sell-off occurred. This was yet another advance warning that a plunge was imminent. After the initial crash, CHINA continued to trade below the two moving averages for the rest of the year, indicating that selling pressure was intense throughout.

Boston Properties (BXP)

The chart for Boston Properties (BXP) served as a wonderful guide for making profits over a two-year period. Using the double moving average system, a trader, after initially buying in April 1999, knew to sell short between May and June of that year as the gap between the 30-day and the 60-day moving averages widened conspicuously. The sell signal was confirmed in July as the averages crossed over. The trend remained down until December 1999, at which time a preliminary buy signal was flashed as the two averages bottomed and turned up together (the crossover occurred the next month). After a rocky start in the initial months of 200, a firm buy signal was flashed in March, and from there prices headed higher. A preliminary sell signal was given in September 2000, as both averages lost momentum and curved over. Although the next firm buy signal had not been given as of December, it was beginning to look like a distinct possibility. Note how both averages are very close together and appear to be turning up with the priceline moving higher. However, as a clear-cut buy signal has not yet been flashed it is safest to remain on the sidelines awaiting a clear signal. Both averages must turn higher before a long position can be safely established.

Resource Asset Investment Trust (RAS)

Resource Asset Investment Trust (RAS) is a dynamic stock that can be traded with wonderful results using a double moving average trading system. Note here the interplay between its 30-day and 60-day moving averages. Note especially how the two lines cross through each other at critical turning points along the timeline. Whenever the 30-day moving averages crosses through and above the rising 60-day average, it always precedes a big run-up in share price. Note also how well the averages tend to act as support and resistance for the priceline. The first significant buy signal came in May 1999 when the 30-day MA crossed through and above the 60-day MA. Both curved over in August, at which point the trader should have sold short. A ”rounding” process occurred between November 1999 and July 2000 during which time both the priceline and the averages produced a bowl-shaped curve, implying accumulation was taking place. The next buy signal was finally flashed in July 2000, which saw RAS rocket from its low near $10.50 to a high of nearly $13 in three months – a hefty percentage gain. After a prompt sell-off from the October high, the averages curved over and failed to support the falling priceline, at which time the trader should have sold. By December, however, the 30-day moving average appeared to be ready to cross through the 60-day average, which would send another buy s

MACD (Moving Average Convergence / Divergence)

After delving into the world of moving averages there is no better place to go next than into the world of MACD. Why? Simple, the MACD is comprised of two moving averages. Some traders argue that there is no better technical indicator than that of the MACD, more often than not, this author tends to agree. The theory behind MACD is really the same theory behind trading any other form of a moving average cross. Generally a technical analyst can learn more from the interaction of two moving averages than he or she can learn from a single moving average in and of itself.

The MACD uses two exponential moving averages, more specifically a 12 day EMA and a 26 day EMA. The 12 day EMA is of course going to react to the market more quickly than will the 26 day EMA. When prices in the market begin to rise or trend upwards the 12 EMA will of course increase faster than will the 26 day. Visually this results in a MACD that is slanted upwards. Conversely when prices fall or trend downwards the opposite will occur and the 12 day EMA will decrease faster than will the 26 day, creating an obvious visual slant downwards. The MACD does oscillate at what would be considered a zero line. In other words, the MACD is either above or below the level that can be considered the third part of the equation. Some analysts refer to this line as the signal line, or the trigger line. Essentially this line is usually a 9 day exponential moving average of the actual MACD itself.

Whether you are a mathematician or not is hardly the point. One need not really understand the complexities of the calculations within a MACD, but rather it is only crucial to understand the basics of the math and what the MACD is trying to tell us as technical traders. For that reason, we will not further dissect the math. Instead, let us get to the point; how does a MACD forecast successful trades?

As is the case with trading moving average crosses, buy and sell signals derived from a MACD will come from the crossing of two lines. However, these two lines are not your two EMA lines, rather one is the combined level of the two EMA lines and the second is the signal, or trigger line (the 9 day exponential moving average of the actual MACD itself). The MACD crossing signal line from above would indicate a sell order and conversely the MACD crossing the signal line from below would indicate a buy order ( view figure 1 )

MACD as a Histogram

The lines plotted on the bottom of the MACD are trying to tell a story as well, and traders had better listen up! Moving Average Convergence Divergence was not randomly chosen as this indicator’s name. Through the histogram we can visually gauge convergence (moving average lines of MACD moving towards one another) and divergence (moving average lines of MACD moving away from one another). ( view figure 2 )

Notice – as the moving average lines cross the histogram will show no lines whatsoever, indicating to traders that lines (prices) should now start in a new direction. ( view figure 3 ) Very rarely does the histogram reach the point of a cross (two lines crossing and no line plotted on the histogram) and then plot lines in the same direction as the previous section of the histogram. In other words, if there is a legitimate cross, the histogram should begin indicating a new price direction.

Consider the following strategy: watch the histogram for points where no lines or very small lines are drawn (indicating a cross), then look for strong lines up or down from that point. If after a cross, the histogram begins to plot lines at a sharp angle up or down, such should be considered an indication of a strong directional change in the market. ( view figure 4 ) If the MACD crosses, but the histogram plots a series of lines at a weak angle, perhaps the market it momentarily retracing, but overall trends may not be changing. ( view figure 5 )

Now take a look at the complete picture, figure 6 ( view figure 6 ) shows an example of two trades that should have been avoided on the MACD and one opportunity that shouldn’t have been overlooked. The first directional change is weak, lines essentially move sideways. The second directional change is strong, prices dive immediately and just three lines into the histogram a trader wise enough to short the market still has 70 pips left in this downward move. The third directional change is again weak, and is nothing more than a retracement… and indication to the trader that shorted the second move that he or she might want to secure profits… but not enter a new trade.

Understanding Fundamental Analysis

Fundamental analysis is the study of the core underlying elements that influence the economy of a particular currency. This method of study attempts to predict price action and market trends by analyzing economic indicators, government policy and societal factors. Imagine financial markets as a large clock, the gears inside this clock that move the hands, or drive the clock would be these “fundamentals”. Although you can look at the clock and know what time it is, only by looking at the fundamentals can you truly understand how it became the time it is now. By knowing this, you might better understand the movement of time and be better able to predict what time it will be in the future. As a Forex investor you can better understand why the market is where it is today and where it might be tomorrow (or at a future point) based on studying these fundamentals.

Keep in mind that Fundamental analysis is a very effective resource to forecast economic conditions, but not exact currency prices. For example, you might get a clear understanding of the health of the US economy by studying an economist’s forecast of an upcoming Employment Cost Index (ECI), but how does that translate into entry and exit points? You need to develop a method that you use to decipher this raw data into usable entry and exit points based on your personal unique trading strategy. These methods are known as forecasting models. Forecasting models are like fingerprints – unique to every trader. Every trader may look at the exact same data, yet conclude completely different scenarios on how the market will react. It is important to analyze the fundamentals and apply your findings to your model.

Fundamentals for each currency might include, but not limited to; interest rates, central bank policy, political figures/events, unemployment/employment reports, and Gross Domestic Product (GDP). These economic indicators are snippets of financial and economic data published by various agencies of the government or private sectors for each country. These statistics, which are made public on a regularly scheduled basis, help market observers monitor the pulse of the economy. Therefore, almost everyone in the financial markets religiously follows them.

With so many people poised to react to the same information, economic indicators in general have tremendous potential to generate volume and to move prices in the markets. While on the surface it might seem that an advanced degree in economics would come in handy to analyze and then trade on the glut of information contained in these economic indicators, a few simple guidelines are all that is necessary to track, organize and make trading decisions based on the data.

The Business Cycle

Economic indicators are classified according to how they related to the business cycle. An economic indicator will do one of the following:

– Reflect the current state of the economy as coincident

– Predict future conditions are leading

– Confirm a turning occurred and conditions are lagging

The organization responsible for an indicator generally distributes its reports about an hour before the official release time to the financial news outlets (Reuters, CNBC, Dow Jones Newswires, Bloomberg).

The reporters, who are literally locked in a room and not permitted to have contact with anyone outside, ask questions of the agency officials and prepare headlines and analyses of the report contents. These stories are embargoed until the official release, at which time they are transmitted over the newswires to be dissected by the Wall Street community. Most Wall Street firms employ economists to provide live broadcasts of the numbers as they run across the newswires, together with interpretation and commentary regarding likely market reaction. This is known as the hoot and “holler” or tape reading. The more an indicator deviates from Street expectations, the greater its effect on the financial markets.

What is the Central Bank?

The central bank (also sometimes referred to as the reserve bank or monetary authority) is the entity responsible for the monetary policy of a country or of a group of member states. Its primary responsibility is to maintain the stability of the national currency and money supply, but more active duties include controlling subsidized-loan interest rates, and acting as a “bailout” lender of last resort to the banking sector during times of financial crisis. Most wealthy countries today have an “independent” central bank-that is, one which operates under rules designed to prevent political interference.

Central Bank Responsibilities

  • Implementation of monetary policy
  • Controls the nation’s money supply
  • Acts as the government’s banker as well as the bankers’ bank (“lender of last resort”)
  • Manages the country’s forex and gold reserves, as well as the government’s stock register
  • Sets the official interest rate, used to manage both inflation and the country’s exchange rate

Why Study by Currency or Region?

In continuing your journey through the world of fundamental analysis, consider the approach taken when outlining the entire fundamental analysis section of this university; a strong emphasis on the US economy followed by a very close look at the following currencies – and the countries that impact their place in the market:

GBP – Great Britain Pound

JPY – Japanese Yen

EUR – European Dollar

CHF – Swiss Franc

NZD – New Zealand Dollar

AUD – Australian Dollar

CAD – Canadian Dollar

The key to understanding global economics can perhaps be found within the core economic indicators that drive market sentiment. Often, these indicators are not exclusive to the US economy. Many economic indicators are used by multiple countries, while others are specific only to certain economies. Most currency traders are aware of indicators key to the US, but even more traders probably haven’t the slightest clue or education concerning economic indicators specific to other economies. Such a view of fundamental analysis is tunnel vision at best.

A Global Economic Game Plan

The truth of the matter is that without a game plan attempting to master global economics would exhaust the most brilliant of minds. So, instead, look at it in the following manner: Every currency that you trade is paired with another currency for the purpose of establishing a comparative value. Consider it a battle of economies if you like, but however you choose to look at it, the point is that if trading the GBP/USD you had better know about not only the economic indicators that move the Dollar, but also of the key indicators that move the Pound. The dollar might be gathering strength across the board, but perhaps the Brits just released a Trade Balance report showing an increase in exports. As most economists know, increased exports tend to precede an increased demand for a nation’s currency.

The following is an excerpt from ‘FA1036 – Economics of the GBP’:

An increased number of exports translate to an increase in the demand for said nation’s currency, as other countries will be forced to exchange currency in order to purchase the exports. GDP (Gross Domestic Product) is also largely impacted by the trade balance, as an increase in the demand for exports will increase the work load of domestic factories, thus increasing employment levels.

The point is to have an eye on both of the economies, or currencies, that you are dealing in. A trader looking at only the economic indicators pertinent to the USD might have assumed that the Dollar would strengthen versus the Pound, as in our example it had been strengthening versus other currencies. But, given the announcement of increased exports in Britain, the dollar may in fact weaken versus the Pound simply as a result of the Pound’s reaction to the GBP Trade Balance report. Had a trader been focused solely on the US economy, and solely on US economic indicators, this key fact would have been overlooked.

Continuing Your Fundamental Analysis Education

As the Fundamental Analysis section of the university continues you will notice heavy emphasis is placed on the US economy. This is not an issue of pride, but rather is the case because of the position of the US economy globally; few can argue its place as an economic world super-power. Also, note that the Dollar is either the Base or the Cross currency in 7 major pairs:

USD/CHF ~ USD/JPY ~ EUR/USD ~ GBP/USD ~ USD/CAD ~ AUD/USD ~ NZD/USD

However, one should of course never focus on just the US economy. After a very close look at the USD the rest of fundamental analysis section of the university dissects (one course at a time) the economies that drive the currencies already listed above (GBP, JPY, EUR, CHF, NZD, AUD, CAD). Each currency has a very unique place in the global market, and moreover, each currency is impacted by various economic indicators. In the case of the EUR, many countries can potentially impact the standing of the EUR, meaning that traders should be aware of the economic indicators released by each of these nations.

Taken from ‘FA1038 – Economics of the EUR’ consider the below:

Listed in alphabetical order the Euro is the official currency of the following countries: Austria, Belgium, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, the Netherlands, Portugal, Slovenia and Spain – these countries comprise what is known as the Eurozone. The economic standing of any of the aforementioned countries can potentially impact the stability and price direction of the Euro.

Don’t Forget:

Traders need to be aware of major economic indicators around the entire globe… no other approach to fundamental analysis is completely sound. That said; push forward with your study of fundamental analysis; begin with the US economy, and then take a look at economics of each currency or region as they are outlined in this university!

What type of Economic Data is Important?

Most major economies around the globe collect and measure very similar forms of economic data. Sifting through this data can be a bit daunting if you are not well prepared with an understanding of what to look for. Furthermore, traders need to understand which economic indicators carry the most weight, in terms of potential to impact the market. Many economic indicators are considered of lesser importance to the immediate price volatility of a currency. However, these same indicators pooled together can collectively make their mark.

In other words, one large indicator can in and of itself impact a currency’s value. On the flip side, one lower-end economic indicator is unlikely to impact the market alone. Unfortunately, many traders understand this concept without understanding the following: though one lower-end or less significant economic indicator is unlikely to in and of itself move the market, a group of smaller indicators can certainly impact a currency… given that their collective sentiment negatively or positively reflects a nation’s economy.

A serious fundamental trader will first and foremost monitor the numbers and data of every major economic indicator. As a secondary objective, the same fundamental analyst would note the correlation of smaller or lower-end economic indicators, i.e. in a given week is their collective data all negative or positive?

12 Major US Indicators

As a general guide, consider the following 12 US economic indicators of key importance to the value of the US dollar and the overall economic sentiment in the United States. Each indicator is further broken down and described as you continue your reading of further courses within this section of the university. Remember, various countries around the globe will use some of these same economic indicators, perhaps titled slightly differently, and of course will also have their own key indicators, or means of measuring economic data.

1. GDP (Gross Domestic Product)

2. Indices of Leading, Lagging, and Coincident Indicators

3. The Employment Situation

4. Industrial Production and Capacity Utilization

5. Institute for Supply Management Indices

6. Manufacturers’ Shipments, Inventories, and Orders

7. Manufacturing and Trade Inventories and Sales

8. New Residential Construction

9. Conference Board Consumers Confidence and University of Michigan Consumer Sentiment

10. Advance Monthly Sales for Retail Trade and Food Services

11. Personal Income and Outlays

12. Consumer and Producer Price Indices

Combination of Economics & Accounting

GDP is the broadest, most comprehensive barometer of a country’s overall economic condition. Sum of all the market values of all final goods and services produced in a country (domestically) during a specific period using that country’s resources, regardless of the ownership of the resources.

GDP is calculated and reported on a quarterly basis as part of the National Income and Product Accounts (NIPAs). NIPAs were developed and are maintained today by the Commerce Department’s Bureau of Economic Analysis (BEA). NIPAs are the most comprehensive set of data available regarding US national output, production, and the distribution of income. Each GDP report contains data on the following:

– personal income & consumption expenditures

– corporate profits

– national income

– inflation

To calculate GDP, the BEA uses the aggregate expenditure equation:
GDP=C+I+G+(X-M)

C – is personal consumption expenditures
I – is gross private domestic investment
G – is government consumption expenditures & gross investment
X-M – is the net export value of goods and services (exports – imports

C (Personal Consumption Expenditures)

The total market value of household purchases during the accounting term, including items such as beer, telephone service, golf clubs, CDs, gasoline, musical instruments and taxicab rides.

These fall into 3 categories; durable goods, nondurable goods, and services.

– Durable goods have shelf lives of three or more years
– Non durable goods are food, clothing, energy products, and items like tobacco, cosmetics, prescription drugs, and magazines.

I (Gross Private Domestic Investment)

Spending by businesses, expenditures on residential housing and apartments, and inventories. Inventories are valued by the BEA at the prevailing market price.

G (Government Consumption Expenditures & Gross Investment)

All money laid out by federal, state and local governments for goods and services.

X-M (Net Exports of Goods & Services)

The difference between the dollar value of the goods and services sent abroad and those it takes in across its borders.

The GDP report is a mother lode of information about a nations economy. The GDP is released on a quarterly basis. One commonly used strategy is calculating the output gap of the GDP. The output gap is the difference between the economy’s actual and potential levels of production. This difference yields insight into important economic conditions, such as employment and inflation.

The economy’s potential output is the amount of goods and services it would produce if it utilized all its resources. Economists estimate the rate at which the economy can expand without sparking a rise in inflation. It is not an easy calculation, and it yields as many different answers as the economists who calculate it. Luckily, a widely accepted estimate of potential output is reported relatively frequently by the Congressional Budget Office (www.cbo.gov). This website has information about methodology, underlying assumptions in computing the trend level as well as a detailed historical data.

Index of Leading Economic Indicators

Compiled by the Conference Board and published in its monthly Business Cycle Indicators report. Released to public at 10:00 am ET four to five weeks after the end of the record month. http://www.conference-board.org has historical data and explanations of the methodology behind the indices.

Because the indices’ components are all released earlier than the indices themselves, the markets generally don’t react strongly to the indicator report.

Coincident Index

4 Components

(1) Nonfarm Payrolls: obtained from a survey of about 160,000 businesses, conducted by the Bureau of Labor Statistics.

(2) Personal Income Less Transfer Payments: Derived from the Personal Income and Outlays report, produced by the Bureau of Economic Analysis (BEA). The largest source is wages and salaries, transfer payments – government disbursements and food stamps.

(3) Total Industrial Production Index: published by the Federal Reserve and constructed of 295 components that are weighted according to the value they add during the production process.

(4) Manufacturing & Retail Trade Sales: Collected as part of the National Income and Product Accounts calculations. Found in the Manufacturing and Trade Inventories and Sales (MTIS) report published by the Department of Commerce.

Leading Economic Index

10 Components

(1) Average weekly hours worked in manufacturing
(2) Average weekly initial claims for unemployment insurance
(3) Manufacturers’ new orders for consumer goods and materials
(4) Slower deliveries diffusion index of vendor performance
(5) Manufacturers’ new orders for nondefense capital goods
(6) Monthly building permits for new private housing
(7) Stock prices, 500 common stocks
(8) The M2 money supply (in 1996 dollars)
(9) The interest rate spread between the 10-year Treasury bond and the federal funds rate
(10) The Index of Consumer Expectations

The individual indicators composing the Leading Economic Index differ considerably in their abilities to predict economic turning points. Some are very far seeing, others relatively near sighted. The composite index combines in such a way that the whole is designed to outperform any of its parts.

Laggin Economic Index

7 components

(1) Average duration of unemployment
(2) Ratio of manufacturing and trade inventories to sales
(3) Manufacturing labor cost per unit of output
(4) Average prime rate
(5) Commercial and industrial loans outstanding
(6) Ratio of consumer installment credit to personal income
(7) Change in the consumer price index for services

The Lagging Economic Index follows downturns in the business cycles by about three months and expansions by about fifteen. This index was designed to confirm turning points in economic activity that were identified by the leading and coincident indices have actually occurred, thus preventing the transmission of false signals.

One of the most key economic indicators:

The most important economic indicator in terms of market and price impact is the monthly Employment Situation published by the Bureau of Labor Statistics (BLS). No other report has the potential to move the forex market like employment and no other indicator is more revealing of general economic conditions than the labor market data. Employment data is important because it reveals how firms, corporations, and others responsible for hiring decisions view the current and upcoming economic environment.

The monthly employment report is based on two separate surveys: the Current Population Survey (CPS), aka the household survey, and the Current Employment Statistics survey (CES), aka the establishment, or payrolls, survey. Supplemental to each release, the commissioner of the Bureau of Labor Statistics provides a statement to the Joint Economic Committee of the U.S. Congress. The statement, generally three pages long, highlights significant strengths and weaknesses in the monthly employment statistics.

Top billing on the employment report is generally shared by two figures; the unemployment rate and the monthly change in nonfarm payrolls. Average hourly earnings, hours worked, overtime hours worked and the monthly change in manufacturing jobs also command a great deal of traders attention.

The surveys include:

In the employment surveys, the BLS includes only persons older than sixteen. Excluded from surveys are people in mental or penal institutions and members of the armed forces. People qualify as employed in two ways. First are those who, during a given period, have worked as paid employees in someone else’s company or in their own businesses or on their own farms or have done fifteen hours or more of unpaid labor in a family-operated enterprise. Second are those with jobs or in businesses from which they have take temporary leave, paid or unpaid, because of illness, bad weather, vacation, child-care problems, labor disputes, maternity or paternity leave or other family or personal obligations.

Unemployed people are those not working during the period in question, whether because they voluntarily terminated their employment, in which case they are classified as job leavers, or because they were involuntarily laid off, making them job losers.

Strong relationships exist between the employment data and virtually every other indicator. The growth rate of non farm payrolls is generally strongly correlated with the growth rate of GDP, industrial production and capacity utilization, consumer confidence, spending, and income.



Central Banks of “The Majors”

Below is a list of central banks for several of the world’s major currencies:

Bank of Canada

Bank of England

United States Federal Reserve

Swiss National Bank

Bank of Japan

Reserve Bank of Australia

Reserve Bank of New Zealand

European Central Bank

http://www.bankofcanada.ca

http://www.bankofengland.co.uk

http://www.federalreserve.gov

http://www.snb.ch

http://www.boj.or.jp

http://www.rba.gov.au

http://www.rbnz.govt.nz

http://www.ecb.int

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SEMINAR GERAK KHAS USAHAWAN GEMILANG MIRZA SDN BHD

Posted on 9 November 2008. Filed under: Banking, Finance, HYIP, Pelaburan, Pendapatan Pasif, Perbankkan | Tags: , , , , , , |

Rabu, November 5

SEMINAR GERAK KHAS USAHAWAN

GEMILANG MIRZA SDN BHD

MAKLUMAN.

SEMINAR GERAK KHAS USAHAWAN
SESI KE-2 2008

AKAN DIADAKAN PADA KETETAPAN BERIKUT:

Tarikh : 15hb. November, 2008.

Masa : 08:30 pagi.

Tempat : Dewan Masyarakat Baru, Papar

Yuran : RM100.00 seorang.

Penceramah :

1). Bank Negara Malaysia, Kuala Lumpur.

2). UITM Sabah.

3). KPDNHEP

4). MARA Sabah.

5). Pakar Motivasi Perniagaan.
Sila maklum tarikh tutup penyertaan pada 13hb. November 2008.
Daftarlah dengan segera. Jangan lepaskan peluang keemasan ini.
Sekian dan harap maklum.
En. Awang Binting Pg. Mat Salleh
Pengarah Urusan
Gemilang Mirza Sdn Bhd

(P/S :KEBENARAN PAPARAN KE BLOG OLEH PENGARAH URUSAN JAM 04:49 PM/05.11.08)

Zainal Wahid (gemilang 4 u)

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Posted on 5 November 2008. Filed under: Banking, Finance, Pelaburan, Perbankkan |

Warren Buffett speaking to a group of students...

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Warren Buffett‘s NY Times Op-Ed: Buy American. I Am.

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This is the text of an opinion piece written by Warren Buffett and published in the New York Times on Friday, October 17, 2008:

Buy American.  I Am.

By Warren E. Buffett

The financial world is a mess, both in the United States and abroad. Its problems, moreover, have been leaking into the general economy, and the leaks are now turning into a gusher. In the near term, unemployment will rise, business activity will falter and headlines will continue to be scary.

So … I’ve been buying American stocks. This is my personal account I’m talking about, in which I previously owned nothing but United States government bonds. (This description leaves aside my Berkshire Hathaway holdings, which are all committed to philanthropy.) If prices keep looking attractive, my non-Berkshire net worth will soon be 100 percent in United States equities. Why?

A simple rule dictates my buying: Be fearful when others are greedy, and be greedy when others are fearful. And most certainly, fear is now widespread, gripping even seasoned investors. To be sure, investors are right to be wary of highly leveraged entities or businesses in weak competitive positions. But fears regarding the long-term prosperity of the nation’s many sound companies make no sense. These businesses will indeed suffer earnings hiccups, as they always have. But most major companies will be setting new profit records 5, 10 and 20 years from now.

Let me be clear on one point: I can’t predict the short-term movements of the stock market. I haven’t the faintest idea as to whether stocks will be higher or lower a month — or a year — from now. What is likely, however, is that the market will move higher, perhaps substantially so, well before either sentiment or the economy turns up. So if you wait for the robins, spring will be over.

A little history here: During the Depression, the Dow hit its low, 41, on July 8, 1932. Economic conditions, though, kept deteriorating until Franklin D. Roosevelt took office in March 1933. By that time, the market had already advanced 30 percent. Or think back to the early days of World War II, when things were going badly for the United States in Europe and the Pacific. The market hit bottom in April 1942, well before Allied fortunes turned. Again, in the early 1980s, the time to buy stocks was when inflation raged and the economy was in the tank. In short, bad news is an investor’s best friend. It lets you buy a slice of America’s future at a marked-down price.

Over the long term, the stock market news will be good. In the 20th century, the United States endured two world wars and other traumatic and expensive military conflicts; the Depression; a dozen or so recessions and financial panics; oil shocks; a flu epidemic; and the resignation of a disgraced president. Yet the Dow rose from 66 to 11,497.

You might think it would have been impossible for an investor to lose money during a century marked by such an extraordinary gain. But some investors did. The hapless ones bought stocks only when they felt comfort in doing so and then proceeded to sell when the headlines made them queasy.

Today people who hold cash equivalents feel comfortable. They shouldn’t. They have opted for a terrible long-term asset, one that pays virtually nothing and is certain to depreciate in value. Indeed, the policies that government will follow in its efforts to alleviate the current crisis will probably prove inflationary and therefore accelerate declines in the real value of cash accounts.

Equities will almost certainly outperform cash over the next decade, probably by a substantial degree. Those investors who cling now to cash are betting they can efficiently time their move away from it later. In waiting for the comfort of good news, they are ignoring Wayne Gretzky’s advice: “I skate to where the puck is going to be, not to where it has been.”

I don’t like to opine on the stock market, and again I emphasize that I have no idea what the market will do in the short term. Nevertheless, I’ll follow the lead of a restaurant that opened in an empty bank building and then advertised: “Put your mouth where your money was.” Today my money and my mouth both say equities.

Warren E. Buffett is the chief executive of Berkshire Hathaway, a diversified holding company.

Current Berkshire stock prices:

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Class B: cnbc_comboQuoteMove(‘popup_US;BRK.B_ID0E5GAC15839609’);[US;BRK.B 3945.99 85.99 (+2.23%) ]
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Copyright © 2008 The New York Times
PS : MALAS NAK KOMEN. BELAJAR DARI MEREKA YANG BBERPENGALAMAN.
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Penubuhan Tabung Perusahaan Mikro Berjumlah RM200 juta

Posted on 4 November 2008. Filed under: Banking, Finance, Perbankkan | Tags: , , , |

The Central Bank of Malaysia logo.

Image via Wikipedia

Ref No: 11/08/01

Embargo: Untuk Siaran Segera

Penubuhan Tabung Perusahaan Mikro

Berjumlah RM200 juta

Bank Negara Malaysia mengumumkan pelancaran Tabung Perusahaan Mikro berjumlah RM200 juta bagi meningkatkan akses kepada pembiayaan bagi perusahaan mikro yang berdaya maju dalam keadaan persekitaran perniagaan semasa yang semakin mencabar. Memandangkan sebilangan besar PKS di Malaysia merupakan perusahaan mikro, akses kepada pembiayaan yang mencukupi bagi segmen perniagaan ini amat perlu bagi membolehkan mereka  menyumbang kepada  pembangunan ekonomi negara.

Bank Negara Malaysia akan menyalurkan dana kepada perusahaan mikro melalui skim Pembiayaan Mikro yang sedia ada. Kini, terdapat sembilan institusi kewangan yang menyertai skim ini. Skim Pembiayaan Mikro telah berjaya membantu lebih daripada 40,000 perusahaan mikro sejak ia dilancarkan pada tahun 2006. Di bawah skim Pembiayaan Mikro, perusahaan mikro yang berdaya maju boleh mendapatkan pembiayaan mikro sehingga RM50,000 untuk modal kerja  atau untuk perbelanjaan modal. Pembiayaan mikro di bawah skim ini tidak memerlukan sebarang cagaran, hanya dokumen yang minimum, dan diluluskan dan dikeluarkan dengan cepat. Pembiayaan Mikro ini boleh didapati di lebih 2,600 cawangan dan wakil/ejen institusi kewangan yang menyertainya, yang mempamerkan Logo Pembiayaan Mikro Kebangsaan.  Insitusi kewangan yang menyertai skim ini akan menentukan kadar faedah atau kadar keuntungan yang akan dikenakan dan permohonan adalah tertakluk kepada proses kelulusan pinjaman institusi kewangan pembangunan yang biasa.

Untuk keterangan lanjut, perusahaan mikro boleh menghubungi mana-mana cawangan dan wakil/ejen institusi kewangan yang menyertai skim ini yang mempamerkan Logo Pembiayaan Mikro Kebangsaan, atau berhubung dengan  BNMTELELINK di talian 1-300-88-5465

Bank Negara Malaysia
4 November 2008

Nota Tambahan untuk Media:

Institusi Kewangan yang Menyertai Skim Pembiayaan Mikro

Bank Perdagangan dan Bank Islam
1. Alliance Bank Malaysia Berhad
2. AmBank (M) Berhad
3. CIMB Bank Berhad
4. EONCAP Islamic Bank Berhad
5. Public Bank Berhad
6. United Overseas Bank (Malaysia) Berhad

Institusi Kewangan Pembangunan
7. Bank Kerjasama Rakyat Malaysia Berhad
8. Bank Pertanian Malaysia Berhad (Agrobank)
9. Bank Simpanan Nasional

Definisi Perusahaan Mikro

Majlis Pembangunan PKS Kebangsaan mendefinisikan perusahaan mikro seperti yang berikut:

Sektor Perkilangan dan Sektor Perkhidmatan Berkaitan Perkilangan Sektor Pertanian Asas dan Sektor Perkhidmatan
Perniagaan yang mempunyai:

  • Jualan tahunan yang kurang daripada RM250,000; atau
  • Pekerja sepenuh masa yang kurang daripada lima orang.
Perniagaan yang mempunyai:

  • Jualan tahunan yang kurang daripada RM200,000; atau
  • Pekerja sepenuh masa yang kurang daripada lima orang.

Definisi di atas boleh juga didapati di pautan berikut dalam Portal SMEinfo: http://www.smeinfo.com.my

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DINAR EMAS

Posted on 4 November 2008. Filed under: Banking, Finance, Perbankkan | Tags: , , , , , , , , , , |

Former Malaysian Prime Minister, Tun Dr Mahath...

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DINAR EMAS

|
1. Ramai juga yang bertanya berkenaan Dinar Emas termasuk juga BBC yang mengadakan wawancara dengan saya baru-baru ini.

2. Apa yang sudah jadi kenyataan yang tidak lagi dapat dinafi oleh negara-negara di dunia ialah sistem kewangan yang ada sekarang sudah gagal untuk diguna dalam ekonomi dan dagangan baik dalam negeri atau antarabangsa.

3. Keputusan Bretton-Woods selepas Perang Dunia Kedua ialah semua matawang negara di dunia ditentukan nilainya mengikut nilai tukaran dengan matawang Amerika Syarikat.

4. Tetapi di tentukan juga yang nilai Dolar Amerika ialah sebanyak 35 Dollar untuk satu ouns emas. Ini bermakna secara tidak langsung semua matawang dinilai mengikut sekian banyak emas.

5. Di masa itu semua matawang adalah kukuh. Tetapi Britain, pada tahun 1966 telah turunkan nilai Pound British. Malaysia telah rugi banyak kerana simpanan (reserve) kita adalah dalam matawang Pound. Pada satu masa Pound yang bernilai Ringgit Malaysia 8.30 telah turun kepada Ringgit Malaysia 3.60.

6. Kemudian Presiden Richard Nixon membuat keputusan bahawa Dollar Amerika tidak lagi terikat dengan emas. Amerika telah tolak apa yang dipanggil sebagai “Gold Standard“. Amerika juga memutuskan bahawa pasaran akan tentukan nilai Dolar Amerika.

7. Tetapi negara-negara lain masih percaya akan kekuatan ekonomi Amerika dan meneruskan ikatan nilai matawang mereka dengan Dollar.

8. Satu lagi keputusan dunia antarabangsa ialah nilai dagangan antarabangsa ditentukan dengan nilai Dollar Amerika dan bayaran juga dibuat dengan Dollar Amerika. Ini menyebabkan permintaan bagi Dollar Amerika menjadi kuat dan sekali gus menjamin nilai Dollar Amerika tidak jatuh walaupun tidak lagi diukur dengan sekian banyak emas.

9. Pada satu masa dahulu bank besar dibenarkan mencetak dan mengeluarkan “Bank Notes” sebagai wang yang sah dipergunakan. Kemudian pemerintah mengambil alih pengeluaran matawang.

10. Bank mengeluarkan pinjaman daripada modal dan deposit oleh pelanggan. Kadang-kadang jumlah pinjaman melebihi wang yang ada dalam bank. Tetapi ini dihadkan. Walaupun demikian pinjaman yang dikeluarkan kerap kali jauh lebih banyak dari had yang ditentukan.

11. Apabila pendeposit mengeluarkan simpanan mereka beramai-ramai maka bank tidak mampu untuk membayar balik kepada pendeposit kerana semua wang telah diberi pinjam bahkan lebih daripada itu. Dalam keadaan ini bank mesti di selamatkan (bail-out) oleh Kerajaan.

12. Melihat bahawa bank boleh mengeluarkan pinjaman hampir tanpa had (unlimited) maka penyangak pun merancang untuk guna duit bank yang tidak terhad ini untuk meraih keuntungan atas angin. Maka berlakulah dagangan matawang, pinjaman kepada peminjam yang keupayaan membayar tidak terjamin, penjualan pinjaman yang dikeluarkan oleh bank kepada syarikat insurans dan syarikat gadaian (mortgage company) dan lain-lain. Jumlah semua transaksi ini amat besar, bernilai berbilion dolar. Apabila ramai peminjam tidak dapat bayar hutang atau servis hutang, maka mereka yang membeli pinjaman bank dapati mereka akan rugi berbilion dolar.

13. Dan banyak lagilah penyalahgunaan sistem bank Barat yang dilakukan. Demikian Amerika dengan kekayaannya yang besar sekalipun tidak dapat menampung berbilion dolar kerugian oleh bank, syarikat, insuran, syarikat mortgage, hedge funds, merchant dan investment bank dan lain-lain.

14. Sesungguhnya sistem bank dan matawang Barat sudah gagal. Dunia harus kaji untuk menggantinya dengan sistem lain termasuk perbankan Islam dan dagangan dengan matawang khusus seperti Dinar Emas.

15. Tidak seperti duit kertas emas tetap mempunyai nilai dimana-mana dalam dunia. Dinar Emas dicadang hanya untuk menyelesaikan bayaran dagangan antarabangsa.

16. Apakah ada cukup emas dalam dunia untuk dijadikan wang antrabangsa? Sudah tentu tidak.

17. Tetapi kita tidak perlu bayar dengan dinar emas sepenuhnya. Memadai jika kita bayar cuma lebihan antara import-eksport antara dua buah negara.

18. Jika sebuah negara mengeksport 100 juta Dinar kepada sebuah negara lain dan negara itu pula mengeksport kepada negara pertama barangan atau khidmat yang bernilai 110 juta Dinar, maka bayaran yang harus dibuat oleh Bank Negara negara yang pertama hanyalah 10 juta Dinar emas. Jika tidak ada Dinar Emas yang mencukupi maka bayaran boleh dibuat kemudian dengan eksport bernilai 10 juta Dinar.

19. Kita bukan sahaja boleh ada dagangan antara dua buah negara tetapi antara beberapa buah negara. Sebenarnya bank-bank mengguna cara ini untuk menyelesaikan bayaran cheque kepada beberapa bank yang telah terima dan mengeluarkan bayaran berasas kepada cheque lain-lain bank.

20. Sudah tentu akan ada banyak masalah pada permulaan. Tetapi pakar-pakar boleh cari jalan untuk selesaikan atau atasi kelemahan sistem Dinar Emas ini.

21. Bank Negara Malaysia pernah runding dengan sebuah negara lain dan penggunaan Dinar Emas memang boleh dilaksanakan. Tetapi entah kenapa Bank Negara Malaysia tidak dapat menjayakan sistem ini.

sumber dari : http://test.chedet.com/che_det/

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Apa kata wakil Gemilang Mirza ?

Posted on 1 November 2008. Filed under: Banking, Finance, HYIP, Pelaburan, Pendapatan Pasif, Perbankkan | Tags: , , , |

The Central Bank of Malaysia logo.

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Khamis, Oktober 30

Ahli-ahli GM harap bersabar.

Pihak-pihak yang berkenaan sudahpun dihubungi berikutan berita yang tersiar di dalam akhbar Daily Express 29.10.2008. Antaranya, Bank Negara Malaysia (BNM), Suruhanjaya Syarikat Malaysia (SSM), dan Wartawan Daily Express Encik Kassim Sangi (di 0198117525).

Menurut sumber berita ; Pihak SSM juga terkejut dengan apa yang tersiar di akhbar tempatan Daily Express pada 29.10.2008. Kenyataan penulis jelasnya telah menimbulkan kesulitan bagi pihak GM.. Pengarah SSM mencadangkan agar Syarikat Gemilang Mirza, membuat kunjungan hormat ke SSM untuk bertukar-tukar pendapat dan berbincang lebih lanjut.

BNM di bahagian siasatan pula menasihati pihak Syarikat GM supaya bersabar dengan tindakan pihak-pihak tertentu yang mahu menjatuhkan Syarikat Gemilang Mirza. BNM turut berharap agar Syarikat terus beroperasi seperti biasa.

Encik Kassim Sangi juga telah dihubungi berkenaan laporan beliau di dalam akhbar..Menurutnya, ada beberapa aduan awam dari Kawasan Papar sebab itulah diletak tajuk tu “Dari Papar”. Nasihatnya pula,kiranya Syarikat itu sah perniagaannya dan ada surat dan lesen dari mana-mana Jabatan / BNM atau pihak berwajib, bolehlah membuat kenyataan balas dalam media bagi membuktikan syarikat itu beroperasi secara sah di sisi undang-undang. Itu saja kenyataannya

Dalam dunia perniagaan, lebih-lebih lagi perniagaan yang berkonsepkan “rakan kongsi”, memanglah banyak halangan,cabaran dan risikonya. Halangan inipun kadang-kadang berpunca daripada perasaan hasad dengki bangsa kita sendiri. Oleh itu marilah kita bersama-sama berusaha memupuk semangat perpaduan kaum,bangsa dan agama di kalangan ahli.kita boleh memajukan perniagaan ini bersama dan mendapatkan hasilnya bersama..Jujur,ikhlas dan semakin akrab, Teruskan bersabar dan berdoa..Begitulah yang kita inginkan melalui Gemilang Mirza..

“Berniaga Sambil Beramal”.

Rabu, Oktober 29

Sensasi atau Spekulasi ?

Daily Express 29.10.2008, telah mencetus kebimbangan dan keraguan di kalangan ahli. Sebabnya kenyataan dan berita daripada wartawan Kassim Sangi berkenaan penyiasatan pihak berwajib terhadap sebuah syarikat berkonsep perkongsian modal di Papar. Walaupun tidak menyebut nama syarikat tapi tempiasnya jelas secara tidak langsung terkena pada Syarikat Gemilang Mirza. Saya sendiri telah cuba menghubungi Saudara Kassim Sangi,Wartawan Daily Express (016 8117525) untuk meminta penjelasan beliau. Setelah berkali-kali menghubungi, saya terima jawapan yang sama. “The number you have dial is not in service”.

Untuk pengetahuan ahli, GM sudah membuat laporan polis pada 21.10.2008, setelah dimaklumkan ada individu dan syarikat yang cemburu dengan kejayaan GM,menyebar fitnah, membuat spekulasi bahkan menggunakan nama syarikat untuk kepentingan mereka. Pengarah GM sendiri menyatakan, tidak akan teragak-agak menyaman pihak terbabit paling kurang RM3 juta.
Modus operandi mereka,”mengambil kesempatan mengaut keuntungan”.

Apa pun ,pihak GM memberi jaminan bahawa syarikat yang dimaksudkan dalam akhbar bukan Syarikat Gemilang Mirza Sdn Bhd..Jika anda masih ragu,sila hubungi pihak Syarikat atau Pengarah sendiri untuk kepastian.Banyak desas desus yang kita dengar sejak pagi tadi dan sedikit sebanyak melemahkan semangat ahli yang mula mempersoalkan kepercayaan mereka terhadap syarikat. Janganlah kerana laporan akhbar tersebut membuatkan tidur anda tidak lena malam ni..Link kepada Syarikat untuk sebarang persoalan.

Kita menghormati etika kewartawanan, sebagai penyalur berita kepada masyarakat,yang tepat,jujur dan berdasarkan fakta yang benar.Kita faham tugas mereka.Saya amat berharap En. Kassim Sangi dapat memberi penjelasan dengan lebih baik kepada 30,000 ahli GM..Ada banyak berita sensasi di luar sana, yang menurut hemat saya memerlukan khidmat kewartawanan untuk dikupas…Sensasi,..Spekulasi..Atau.. Untuk Publisiti..

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Siapa punya kad ni? : American Express Platinum

Posted on 29 October 2008. Filed under: Banking, Finance, Perbankkan | Tags: , , , , , , , , , |

Benefits

  • No pre-set spending limit. Spend as much as you have shown you can afford, by just paying your account in full and on time each month. Charges will be approved based on your resources, spending and payment patterns
  • Exceptional Platinum Card Service, available anytime at 1-800-88-0886, that includes roadside assistance, emergency home repairs, worldwide gift selection and delivery, and more
  • Complimentary additional Platinum card, so you can separate your business and personal expenditure
  • Earn free flights. The Frequent Traveller Option lets you transfer your points to Frequent Flyer Programmes
  • Easy bill payments via Maybank2u, by cash at over 400 Maybank branches, Maybank ATMS, Cash Deposit Machines, Direct Debit Service, or by cheque via mail
  • Travel Accident Insurance of up to RM500,000 when you charge your travel tickets in full to your card
  • Enjoy cheque cashing of up to USD2,000 in cash, card replacement, worldwide travel, legal and medical assistance in the event of emergencies

Who can apply?

  • By invitation only

Fees & charges

Annual Fees

Principal cardholder: RM2380
Supplementary cardholder: Free (up to 4 cards)

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Minyak turun lagi

Posted on 28 October 2008. Filed under: Banking, Finance, Pelaburan, Perbankkan | Tags: , , |

Oleh Sariha Mohd Ali dan Azida Shaharuddin
bhnews@bharian.com.my


Datuk Shahrir Abdul Samad

Dijangka tak melebihi 15-20 sen elak pengusaha rugi

PEKAN: Kerajaan akan menurunkan lagi harga minyak akhir bulan ini tetapi tidak akan melebihi 15 sen bagi petrol dan 20 sen bagi diesel berikutan penurunan harga minyak dunia ketika ini yang sehingga kelmarin turun kepada AS$62 (RM221.34) setong.

Menteri Perdagangan Dalam Negeri dan Hal Ehwal Pengguna, Datuk Shahrir Abdul Samad, berkata penurunan sebanyak itu dilakukan bagi mengelakkan sebarang kerugian mendadak khasnya di kalangan pengusaha stesen minyak.

“Kita tak mahu penurunan harga yang tinggi hingga menjejaskan pengusaha stesen minyak di seluruh negara,” katanya kepada pemberita selepas merasmikan pameran Minggu Kesedaran Kewangan di Pusat Konvensyen Antarabangsa Persada Johor di sini, semalam.Katanya, harga petrol dan diesel akan dikurangkan secara berperingkat sehingga ke paras harga yang berpatutan kepada pengguna.

Sementara itu, di KUANTAN, Timbalan Perdana Menteri, Datuk Seri Najib Razak berkata, Majlis Ekonomi yang dipengerusikan Perdana Menteri, Datuk Seri Abdullah Ahmad Badawi akan bermesyuarat pada waktu terdekat untuk membuat keputusan mengenai harga minyak itu.

Datuk Seri Najib Razak

“Langkah itu selaras janji kerajaan yang akan menurunkan harga minyak supaya ia melambangkan harga sebenar pasaran minyak dunia.

“Kabinet sudah memberi mandat kepada Majlis Ekonomi yang dipengerusikan Perdana Menteri untuk membuat keputusan dan ini bermakna, jika harga minyak dunia semakin menurun, maka harga minyak tempatan juga akan melambangkan penurunan harga itu,” katanya.

Ketika ditanya sama ada harga petrol dan diesel akan diturunkan ke paras bawah RM2, Najib sambil ketawa berkata: “Tunggu dululah (pengumuman harga baru itu). Setakat ini, kita tidak boleh beritahu bila ia akan turun tetapi akan berlaku dalam masa terdekat ini.

“Mungkin hujung bulan ini tetapi tertakluk kepada bila mesyuarat Majlis Ekonomi itu dan tunggulah berapa harga yang akan diturunkan kelak,” katanya selepas menyampaikan sumbangan kepada 180 bakal haji Parlimen Pekan, di kediamannya di sini, semalam.

Harga minyak dipam turun tiga kali sejak Ogos lalu iaitu pada 23 Ogos, 24 September dan kali terakhir 15 Oktober. Harga petrol Ron97 turun dari RM2.70 seliter kepada RM2.55, RM2.45 dan RM2.30 manakala petrol Ron92 dari RM2.62 seliter kepada RM2.40, RM2.30 dan RM2.20. Diesel pula turun dari RM2.58 seliter kepada RM2.50, RM2.40 dan RM2.20.

Tiga bulan lalu harga minyak adalah AS$147 setong berikutan kelembapan ekonomi global yang menyebabkan permintaan terhadap sumber tenaga semakin berkurangan.

Ditanya mengenai trend penurunan harga petrol dan diesel ini dilihat tidak menjurus kepada penurunan harga barang, Najib berkata, kerajaan sedang mengambil beberapa langkah untuk mengatasi perkara itu.

Beliau berkata, setakat ini, sudah ada pengeluar bersetuju menurunkan harga beberapa barangan atau produk yang akan diumumkan dalam tempoh sehari dua ini.

Ketika berucap, Najib berkata, kerajaan akan terus menjana pembangunan hingga ke luar bandar walaupun menghadapi banyak cabaran akibat krisis kewangan dunia yang berlaku sekarang.

Beliau berkata, Malaysia mampu bertahan walaupun keadaan semakin tidak menentu, malah yakin mencatat pertumbuhan ekonomi lima peratus pada tahun ini.

“Malah, mengikut perkiraan Dana Kewangan Antarabangsa (IMF), kita boleh mencapai pertumbuhan ekonomi 4.8 peratus tahun depan tetapi kita akan kaji semula unjuran itu.

“Jadi, saya akan memberi beberapa langkah lebih terperinci berhubung usaha mengelakkan negara daripada terjerumus dalam kemelesetan ekonomi pada penggulungan hujah di Parlimen, 4 November ini.

“Selain itu, rakyat juga digesa berbelanja secara berhemah dan memanfaatkan setiap ringgit yang ada sebaik-baiknya,” katanya.

ANY KOMEN ?

SUMBER DARI BH

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Hundreds more throng AIG Singapore office

Posted on 28 October 2008. Filed under: Banking, Finance, Pelaburan, Perbankkan |

Hundreds more throng AIG Singapore office

Sep 17, 2008

SINGAPORE (AFP) — For the second straight day hundreds of anxious policyholders lined up in the hot sun outside Singapore offices of global insurance giant American International Group (AIG) Thursday.

Hundreds more — some vowing to terminate their policies — were already inside the offices of AIG and its wholly-owned subsidiary, American International Assurance Company Limited (AIA). They had returned after lining up on Wednesday without getting served.

Many in the crowd were unmoved by an announcement from the US Federal Reserve, the central bank, that the United States government would give an unprecedented loan of up to 85 billion dollars to AIG in a bid to avert a global financial calamity.

“I don’t have any more confidence in this company,” a woman who gave her name as Annie said after surrendering her two policies. She said the Fed‘s move made no difference to her decision.

“I’m a bit apprehensive” about the company’s future despite the bailout, said another woman. The retiree, who declined to give her name, said she decided to liquidate her policy because the potential return was not large enough to justify the risk.

“If my calculation is correct, I will break even” by cancelling the policy, she said.

An agitated businessman, Chan Foo Choong, also lined up to cancel his family’s policies.

“If anything happens, will you pay me?” he asked an AFP reporter.

Others among the queue were simply seeking answers.

One AIA staff member said employees worked until after midnight to deal with inquiries from the hundreds who thronged the office on Wednesday.

After lining up to take numbers for service on Thursday, members of the crowd dispersed to pass the time until they were called inside.

An AIA spokeswoman could not say how many customers in Singapore had cancelled their policies.

In Hong Kong, RTHK radio on Wednesday cited government sources in a report that said more than 1,500 insurance policies with the subsidiary there had been terminated over two days.

In Taipei on Wednesday, more than 1,200 customers descended on a downtown office of AIG subsidiary Nan Shan Life Insurance.

Authorities and AIA subsidiaries around the region sought to assure customers that the local firms were not in danger.

AIG appeared to be in a death spiral after more than a week of panic and turmoil in financial markets that led to the failure of US investment giant Lehman Brothers and a sale of Wall Street rival Merrill Lynch.

They were all casualties in a financial crisis that grew out of troubles in the US subprime, or higher-risk, mortgage sector last year.

Sumber dari AFP.

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SKIM PEMBIAYAAN TEKUN – MUDAH BIAYA

Posted on 20 October 2008. Filed under: Banking, Finance, Perbankkan | Tags: |

SKIM PEMBIAYAAN TEKUN – MUDAH BIAYA

Permohonan diproses dan disahkan oleh cawangan dihantar terus ke Ibu Pejabat untuk kelulusan

Bagi permohonan dari Skim Rakan Niaga, boleh dihantar terus ke Ibu Pejabat atau cawangan untuk kelulusan.

Permohonan dibuat dan diproses secara online.

Proses Kelulusan 14 hari bekerja (Masih dalam tempoh percubaan selama 3 bulan)

Peminjam di antara 18 – 65 tahun
Semua pembiayaan tidak memerlukan penjamin

Caj 4% setahun bagi semua pembiayaan.

Lebih daripada seorang dalam satu isi rumah boleh mendapat pembiayaan dengan syarat berlainan jenis perniagaan.

Pemohon yang mempunyai pembiayaan sedia ada dengan agensi kerajaan/institusi kewangan lain yang melebihi RM50,000 adalah tidak layak.

Permohonan pembiayaan ulangan tidak perlu mengisi borang dan hanya mengemukakan daftar perniagaan yang terkini serta sebut harga dan gambar premis sahaja.

Pembiayaan di bawah RM5,000 tidak perlu mengemukakan daftar perniagaan, kecuali yang berniaga di kawasan PBT yang memerlukan permit.

Pembiayaan di bawah RM5,000 boleh dipertimbangkan bagi pemohon yang berniaga secara sambilan.

Pembiayaan di antara RM500 – RM3,000 dengan caj perkhidmatan 4% sebulan

Setiap permohonan tidak memerlukan semakan kredit.

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Gemilang Mirza Sdn. Bhd diserbu Bank Negara Malaysia

Posted on 19 October 2008. Filed under: Banking, Finance, HYIP, Pelaburan, Perbankkan | Tags: , , , , , |

Kota Kinabalu – Asal blogger ini menulis mengenai tajuk sensasi di atas, ramai rasanya pelayar internet, pelabur Gemilang Mirza yang ingin tahu mengenai hal ini hinggakan anda mengklik ke artikel ini untuk ingin tahu lebih lanjut, sebenarnya sehingga ke saat saya mengupload artikel ini, ianya belum lagi terjadi. dan keingintahuan, kecemburuan, kewaspadaan kita yang menebal membuat kita mempercayai ianya akan berlaku suatu saat dimasa akan datang, mungkin ya mungkin tidak, bukan hak saya untuk mengadilinya, yang baru sahaja saya pelajari dalam masa 2 minggu memblog menggunakan wordpress ini saya amati dan kaji adalah statistik yang di berikan mengenai senarai pengunjung, artikel yang paling banyak diklik di laman ini adalah mengenai berita Gemilang Mirza suatu yang menarik kerana syarikat tersebut sendiri tidak menyediakan laman web. Di sini saya sertakan statistik pada 19Hb. Oktober.

Sorry for joke of the day. dan bantu saya untuk tinjauan pendapat mengenai

Take my poll!

Gemilang Mirza sampai bila kan bertahan?
Bulan depan.
Hujung tahun 2009.
Bila pelabur dah sampai 1 juta orang
Takkan terkubur.sampai bila – bila
Enda pasti, susahkan tidur memikirkannya.
Malas tah ku ingau.
pollcode.com free polls
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Menyalurkan Wang Keluar penipuan dunia korporat

Posted on 18 October 2008. Filed under: Banking, Finance, HYIP, Pelaburan, Perbankkan | Tags: , , |

Menyalurkan Wang Keluar
Dalam cerita penipuan dunia korporat ini, SIDC memaparkan satu lagi teknik perakaunan kreatif yang digunakan oleh pesalah laku untuk menyalurkan wang keluar daripada sesebuah syarikat. Begini ceritanya…..

Pada Mulanya

Encik A, seorang pengarah dan pemegang saham yang besar dalam PLC A, merancang untuk menyalurkan wang keluar daripada syarikat tersenarai itu. Dia mencari jalan bagaimana dia boleh melaksanakan rancangannya tanpa dapat dikesan. Selepas berfikir beberapa lama, akhirnya dia mendapat satu idea.

Encik A, di samping menjadi pengarah PLC A, turut memiliki satu lagi syarikat yang maju iaitu K Sdn Bhd,yang merupakan syarikat kesayangannya. Walau bagaimanapun, dalam melaksanakan rancangannya untuk menipu PLC A, Encik A mendorong PLC A membeli K Sdn Bhd pada harga yang begitu tinggi iaitu RM30 juta. Sehubungan itu, rekod ini dimasukkan dalam kunci kira-kira PLC A untuk menunjukkan pemerolehan K Sdn Bhd:

1 PLC A , Kunci Kira-kira setakat 31 Januari 200x
Debit Pelaburan
(pemerolehan K Sdn Bhd)
RM30 juta
Kredit Tunai
(wang yang dibayar oleh syarikat kepada pemilik K Sdn Bhd iaitu Encik A)
RM30 juta

Setelah itu

Kemudian, selepas urusan penjualan syarikatnya, K Sdn Bhd, selesai dan dia mendapat hasil daripada jualan itu, Encik A rasa resah semula. Encik A sebenarnya bukanlah benar-benar mahu menjual K Sdn Bhd kepada PLC A kerana syarikatnya itu membuat untung yang banyak. Dia cuma menggunakan syarikat itu untuk memudahcarakan rancangan kotornya untuk mencuri aset PLC A. Encik A mula berfikir dan merancang pula bagaimana hendak mendapatkan semula K Sdn Bhd. Dalam strateginya, untuk mendapatkan semula syarikat itu, dia meminta nomininya yang merupakan seorang pengarah Y Sdn Bhd, untuk membeli K Sdn Bhd daripada PLC A. Encik A kemudian mendorong PLC A untuk menjual K Sdn Bhd kepada syarikat nomininya, Y Sdn Bhd, pada harga RM30 juta. Oleh kerana Y Sdn Bhd tidak mempunyai cukup dana untuk membayar PLC A, butir-butir perakaunan yang berikut telah direkodkan dalam kunci kira-kira PLC A:

2 PLC A, Kunci Kira-kira setakat 30 September 200x
Debit Penghutang lain (wang yang dihutangkan oleh Y Sdn Bhd) RM30 juta
Kredit Pelaburan (K Sdn Bhd yang dijual kepada Y Sdn Bhd) RM30 juta
Dalam butiran akaun yang direkodkan ini, PLC A, walaupun dinyatakan telah menjual K Sdn Bhd kepada Y Sdn Bhd, sebenarnya tidak menerima sebarang pembayaran. Pada dasarnya, Y Sdn Bhd menjadi penghutang kepada PLC A. Oleh sebab Y Sdn Bhd tidak mempunyai cukup dana untuk membayar PLC A, Encik A merancang satu lagi strategi. Tujuan utama strategi ini adalah untuk menghapuskan hutang Y Sdn Bhd kepada PLC A tanpa perlu membayar walau satu sen pun!

Strategi ini melibatkan Z Pte Ltd yang merupakan anak syarikat kepada Y Sdn Bhd, yang beribu pejabat di Bahamas. Z Pte Ltd diminta memberikan khidmat profesional kepada PLC A dan untuk perkhidmatan ini, PLC A dikenakan bayaran sebanyak RM30 juta. Jumlah bayaran yang dikenakan oleh Z Pte Ltd kepada PLC A sama dengan jumlah yang terhutang oleh Y Sdn Bhd kepada syarikat tersenarai itu. Hakikatnya, tidak ada perkhidmatan profesional yang diberikan kepada PLC A, tetapi, tiada sesiapa yang boleh mengesahkannya. Butiran berikut direkodkan dalam Penyata Pendapatan PLC A:

3 PLC A, Penyata Pendapatan bagi tahun berakhir 30 November 200x
Debit Perbelanjaan
(Yuran professional yang dikenakan oleh Z Pte Ltd melalui Y Sdn Bhd)
RM30 juta

Bagi kunci kira-kira, butiran yang berikut telah direkodkan:

4 PLC A , Kunci Kira-kira setakat 30 November 200x
Kredit Pemiutang lain:
(Yuran profesional yang terhutang kepada Y Sdn Bhd)
RM30 juta

Daripada senario di atas, beberapa perkara dapat dilihat seperti yang berikut:

1) Y Sdn Bhd berhutang sebanyak RM30 juta kepada PLC A kerana pembelian K Sdn Bhd
2) PLC A berhutang sebanyak RM30 juta kepada Y Sdn Bhd untuk perkhidmatan profesional yang diberikan oleh Z Pte Ltd.
3) Oleh kerana kedua-dua syarikat itu saling berhutang jumlah yang sama, kedua-duanya memutuskan untuk mengimbangkan hutang-hutang tersebut. Dengan itu, tiada wang bertukar tangan.

Butiran yang berikut direkodkan dalam kunci kira-kira PLC A:

4 PLC A , Kunci Kira-kira setakat 31 Disember 200x
Debit Pemiutang lain
(Untuk yuran profesional yang terhutang kepada Y Sdn Bhd)
RM30 juta
Kredit Penghutang lain
(Bagi jumlah yang terhutang kerana cadangan pembelian K Sdn Bhd)
RM30 juta

Akhirnya

Dalam perancangan ini, PLC A tidak pernah memperoleh sebarang syarikat atau pelaburan yang sedang membuat untung. Tetapi, RM30 juta telah disalurkan keluar oleh pengarahnya tidak berprinsip, Encik A.

Apakah yang perlu diperhatikan oleh pelabur?

Sebagai pelabur, apabila anda meneliti penyata kewangan mana-mana PLC, perhatikan benar-benar kenyataan seperti “pemerolehan syarikat”, terutama sekiranya pemerolehan itu dilupuskan dalam masa yang singkat, biasanya dalam masa satu tahun kewangan.

Pada masa yang sama, sebagai pelabur, anda mempunyai hak untuk mendapatkan maklumat dan penjelasan. Ini boleh menghalang syarikat yang telah anda laburkan wang hasil titik peluh anda, daripada mengambil bahagian dalam sebarang kegiatan yang boleh dipersoalkan, yang boleh menjejaskan pelaburan anda. Laksanakan hak anda…sekarang!

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Anak Syarikat Peminjaman Wang

Posted on 18 October 2008. Filed under: Banking, HYIP, Pelaburan, Perbankkan, Uncategorized | Tags: , , |

Anak Syarikat Peminjaman Wang

Mengapakah pelabur perlu berwaspada terhadap pemerolehan anak syarikat yang meminjamkan wang? Dalam kisah penipuan korporat ini, SIDC memaparkan satu lagi teknik yang boleh digunakan oleh pengarah untuk mengeluarkan aset syarikat tersenarai awam (PLC).

Encik B, dalang kepada penipuan ini, telah lama memerhatikan PLC B yang kaya, dan membuat rancangan untuk mengambil aset syarikat itu. Dia memulakan rancangannya dengan membeli saham PLC B. Pemerolehan ini dibiayai melalui pinjaman peribadi daripada seorang sekutu. Akhirnya, Encik B menjadi pemegang saham utama PLC B. Dia kemudiannya dilantik sebagai pengarah syarikat. Setelah Encik B berjaya menyertai PLC B sebagai pemegang saham utama dan pengarah, dia mempunyai kuasa mengawal, bukan sahaja pengurusan operasi syarikat, tetapi juga aset syarikat.

Apa berlaku setelah itu?

Sebagai pengarah PLC B, Encik B mula mencari jalan terbaik untuk mengambil aset paling berharga syarikat tersebut iaitu wang tunai. Pertama sekali, wang itu diperlukan untuk menjelaskan pinjaman peribadi yang diambilnya untuk membiayai pemerolehan PLC B. Tetapi, yang lebih penting bagi Encik B ialah memasukkan sebahagian daripada jutaan ringgit itu ke dalam sakunya sendiri. Bagi membolehkan dia mengeluarkan wang yang banyak itu daripada PLC B, Encik B perlu mengatur satu rancangan supaya pengeluaran itu nanti dilihat seolah-olah satu aliran keluar tunai yang sah. Apa yang dilakukan oleh Encik B ialah mendorong PLC B memperoleh satu syarikat peminjaman wang daripada salah seorang “sekutu”nya bagi satu jumlah yang kecil sahaja.

Hasil daripada kewujudan hubungan sebagai syarikat induk dan anak syarikat antara PLC B dan syarikat peminjaman wang tersebut, Encik B dengan mudah boleh mendorong PLC B mendahulukan wang kepada anak syarikat peminjaman wangnya itu tanpa dipersoalkan tentang urus niaga pihak berkaitan yang sepatutnya. Sehubungan itu, anak syarikat peminjaman wang itu mula memberikan pinjaman kepada seorang pelanggan, yang sebenarnya ialah seorang lagi “sekutu” Encik B.

Kemasukan rekod akaun?

Butiran yang berikut telah dimasukkan dalam buku perakaunan PLC B:

Kemasukan Perkara Penyata kewangan yang mana?
Debit Penghutang pinjaman Kunci kira-kira
Kredit Tunai Kunci kira-kira

Setelah wang itu keluar daripada anak syarikat peminjaman wang tersebut dan jatuh ke tangan “sekutu” Encik B, Encik B menggunakan wang itu untuk menjelaskan pinjaman peribadi yang diambilnya untuk membiayai pemerolehan PLC B manakala baki wang itu dikongsi bersama “sekutu”nya.

Sudah tentulah, seperti yang telah dirancang sejak awal lagi, “sekutu” Encik B ingkar dalam menjelaskan hutangnya kepada anak syarikat peminjaman wang itu dan PLC B (syarikat induk dalam urus niaga ini) terpaksa menyerapkan kerugian itu dan menghapus kira hutang lapuk tersebut.

Butiran yang berikut telah direkodkan dalam buku perakaunan PLC B:

Kemasukan Perkara Penyata kewangan yang mana?
Debit Peruntukan bagi hutang ragu Penyata Pendapatan
Kredit Penghutang pinjaman Kunci Kira-kira

Dalam keadaan ini, semua pihak terbabit (Encik B dan sekutunya) mendapat untung besar daripada semua urus niaga. Yang tidak mendapat apa-apa, sudah tentulah pemegang saham minoriti PLC B!

Amaran pelabur!
Lain kali, kalau anda menganalisis laporan tahunan syarikat yang anda ada membuat pelaburan, terutama penyata kewangannya, satu urus niaga yang penting diperhatikan ialah perkara yang dilabelkan sebagai “pemerolehan anak syarikat peminjaman wang”. Mungkin anda tertanya-tanya mengapa perlu perkara ini diperhatikan. Ini kerana, melalui pemerolehan syarikat peminjaman wang, pengarah yang tidak beretika boleh menggunakannya untuk mengeluarkan wang daripada PLC. Cara ini membolehkan pengarah memintas sekatan yang dikenakan oleh Seksyen 133A Akta Syarikat 1965, yang tidak membenarkan pinjaman diberikan kepada mereka yang ada hubungan dengan para pengarah.

Awas!
Selain pemerolehan anak syarikat peminjaman wang, pelabur juga perlu berwaspada terhadap urus niaga seperti “pendahuluan” dan “peruntukan bagi hutang ragu” yang dilakukan dalam tempoh satu tahun kewangan. Jika terdapat urus niaga begini, bertanyalah apa yang menyebabkan urus niaga tersebut dan mengapa urus niaga ini dihapus kira dalam tempoh tahun kewangan yang sama? Minta penjelasan sehingga anda benar-benar berpuas hati.

Lain kali, jika anda menerima laporan tahunan syarikat yang ada memiliki pelaburan, jangan buang laporan itu begitu sahaja. Periksa secara terperinci dan perhatikan sebarang urus niaga yang “boleh dipersoalkan”. Jika anda mengesyaki terdapat urus niaga yang meragukan, hadiri mesyuarat tahunan pemegang saham dan tuntut penjelasan daripada ahli lembaga pengarah. Jangan berhenti sehingga anda mendapat jawapan yang memuaskan. Ini adalah syarikat ANDA dan anda mempunyai hak sebagai pemegang saham!

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Anda Jenis Pelabur Yang Mana Satu?

Posted on 18 October 2008. Filed under: Banking, Finance, HYIP, Pelaburan, Perbankkan | Tags: , , , , , , |

Dalam pelaburan, elok jika anda mengetahui diri anda tergolong dalam jenis pelabur yang mana satu. Di sini, Orang Ringgit berkongsi pendapatnya dengan anda.

Pendatang Baru
Jenis ini lazimnya mereka yang baru kali pertama melabur dan mempunyai amat sedikit pengalaman melabur. Mereka menyedari bahawa untuk mencapai matlamat kewangan, mereka perlu menabung dan melabur. Ada kalanya, dalam keghairahan mereka membuat pelaburan, mereka mendapatkan panduan daripada sumber maklumat atau orang yang salah, kemudian melakukan kesalahan yang sepatutnya boleh dielakkan, atau lebih buruk lagi, menjadi mangsa skim penipuan.

Nasihat Orang Ringgit:
Pelajari mengenai melabur dan pelaburan daripada orang yang betul, misalannya daripada mereka yang berlesen. Berhati-hati terhadap peluang pelaburan yang menjanjikan pulangan tinggi dan terjamin. Bersabarlah. Jika anda mempunyai keraguan, jangan bertindak terburu-buru. Sebaliknya, ambil masa untuk belajar mengenai pelaburan yang bijak.

Pelabur Berwaspada
Jenis ini mengelak daripada pelaburan berisiko tinggi. Mereka akan berfikir panjang sebelum melabur dan mengambil masa untuk memahami produk yang ingin dibuat pelaburan. Biasanya, mereka tidak mengharapkan pulangan tinggi dan melabur dalam produk pelaburan yang stabil atau menjamin pulangan dan memelihara modal pelaburan mereka.

Nasihat Orang Ringgit:
Kaji dengan teliti produk pelaburan yang menjanjikan pulangan terjamin. Jangan sekadar melihat brosur yang berwarna-warni. Baca tulisan halus pada prospektus. Jangan menganggap pelaburan dengan “pulangan terjamin” atau “modal terpelihara” tidak mempunyai risiko. Pada masa yang sama, berhati-hati dengan peluang pelaburan yang menjanjikan pulangan terjamin yang tinggi tanpa risiko. Ini mungkin merupakan skim penipuan.

Kaki Judi
Jenis ini pada dasarnya merupakan mereka yang mengambil risiko tinggi. Umumnya, mereka bersedia untuk mengalami kerugian dalam pelaburan. Mereka mudah tertarik kepada “ramalan panas” dan khabar angin pasaran. Mereka memilih pelaburan tambah nilai modal dan cuba membuat keuntungan seberapa cepat yang boleh. Selalunya, mereka membuat keputusan pelaburan berdasarkan naluri atau “perasaan” dan bukannya maklumat yang betul. Disebabkan itu, ada kalanya sukar bagi mereka untuk mengelakkan diri daripada membuat pelaburan yang tidak betul atau mengurangkan kerugian kerana mereka berpandukan kepada naluri mereka.

Nasihat Orang Ringgit:
Apabila melabur, pelabur berhak mengambil risiko, tidak kira berapa besar risiko tersebut. Tetapi pelabur mesti menyedari akibatnya. Bergantung kepada naluri bukan merupakan cara yang baik untuk membuat keputusan pelaburan. Ingatlah, walau betapa banyak pun khabar angin dan ramalan, tidak boleh menggantikan keandalan fakta dan angka dalam membuat keputusan pelaburan.

Pelabur Pasif
Jenis ini biasanya percaya bahawa setelah mereka membuat pelaburan, mereka yang bertanggungjawab akan menjaga pelaburan tersebut atau pelaburan itu akan terjaga dengan sendirinya. Jenis pelabur ini amat jarang atau tidak pernah langsung memantau pelaburan mereka. Mereka tidak membaca dokumen berkaitan pelaburan yang dihantar kepada mereka, umpamanya penyata kewangan, laporan tahunan atau nota kontrak. Mereka terus-menerus tidak peduli walaupun terdapat masalah atau perkembangan yang mungkin membawa kesan kepada pelaburan mereka.

Nasihat Orang Ringgit:
Mulalah mengambil berat mengenai pelaburan anda dan jangan biarkan pelaburan anda tidak dipantau. Jangan anggap semuanya akan berjalan lancar setiap masa. Pemantauan yang kerap membolehkan anda mengkaji semula pelaburan anda, terutamanya jika pelaburan itu tidak lagi memenuhi objektif kewangan anda.

Pelabur Bijak
Mereka melabur berdasarkan maklumat dan bukannya emosi. Mereka menggunakan maklumat daripada pelbagai sumber yang boleh dipercayai untuk memantau pelaburan mereka dengan teliti. Mereka mendapatkan nasihat daripada mereka yang berlesen dan membuat keputusan pelaburan hanya setelah menimbangkan kebaikan dan keburukannya. Mereka berusaha untuk memahami mengenai risiko dan tidak akan membiarkan pelaburan mereka tidak dipantau. Mereka bersedia untuk menukar strategi pelaburan jika sudah tidak konsisten dengan matlamat dan objektif kewangan mereka.

Nasihat Orang Ringgit:
Teruskanlah tabiat pelaburan yang baik ini! Jika anda fikir anda tidak termasuk dalam jenis pelabur ini dan amat sukar untuk menjadi pelabur bijak, jangan lemah semangat. Sebenarnya ia lebih mudah daripada yang anda sangka dan hanya memerlukan semangat untuk belajar. Ambil langkah pertama anda dengan membaca laman web Pelabur Malaysia

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Garis panduan, Kod dan Nota Amalan yang Ditadbir oleh SC

Posted on 18 October 2008. Filed under: Banking, Finance, HYIP, Pelaburan, Perbankkan | Tags: , , |

SC sentiasa menyemak garis panduan yang sedia ada dan membentuk dasar baru. Di bawah ini disenaraikan garis panduan dan kod yang kami tadbir

Pencegahan pengubahan wang haram Garis Panduan Penawaran Ekuiti dan Sekuriti Berkaitan Ekuiti
Penilaian Aset Penasihat Prinsipal
Bon Prospektus
Skim Pelaburan Kolektif Pinjaman & Peminjaman Sekuriti
Ketekunan Wajar Pembrokeran Saham
Permohonan FIC Waran Berstruktur
Pengurusan Dana Pengambilalihan & Percantuman
Pelesenan Modal Teroka
Lain-lain

Pencegahan Pengubahan Wang Haram

Guidelines on Prevention of Money Laundering and Terrorism Financing for Capital Market Intermediaries (pdf)
(Tarikh dikeluarkan: 31 Mac 2004)
(Edisi semakan semula: 11 Januari 2007)

Penilaian Aset

Guidelines on Asset Valuations (pdf)
(Tarikh berkuat kuasa: 1 Mei 2003)
Edisi semakan semula: 30 September 2003)
Guidance Note 3: Valuation Reports for Purposes of Bonus Issues (pdf)
(Tarikh dikeluarkan: 9 Februari 2004)
Guidance Note 4: Appointment of Valuer for Valuation of Foreign Property Assets (pdf)
(Tarikh dikeluarkan: 18 Oktober 2006)

Bon

Sekuriti Hutang
Guidelines on Registration of Bond Pricing Agencies (pdf)
(Tarikh berkuat kuasa: 25 Januari 2006)
Guidelines on Registration of an Electronic Broking System (pdf)
(Tarikh berkuat kuasa: 6 Januari 2006)
Guidelines on the Offering of Structured Products (pdf)
(Edisi semakan semula: 27 April 2007)
(Tarikh berkuat kuasa: 27 April 2007)
Guidelines on Dealing in Unlisted Debt Securities by a Universal Broker (pdf)
(Tarikh dikeluarkan: 30 Oktober 2002)
Practice Note 1 – Application of the Guidelines to Cross-selling of Unlisted Debt Securities to Eligible Individuals by Dealer’s Representatives Not Certified by PPKM (pdf)
(Tarikh dikeluarkan: 12 Julai 2005)
Guidelines on the Offering of Asset-backed Securities (pdf)
(Edisi semakan semula: 26 Julai 2004)
(Tarikh berkuat kuasa: 26 Julai 2004)
Guidelines on the Offering of Private Debt Securities (pdf)
(Edisi semakansemula: 26 Juai 2004)
(Tarikh berkuat kuasa: 26 Julai 2004)
Practice Note 1 – Application of the Guidelines on the Offering of Private Debt Securities to the Issue of, Offer for Subscription or Purchase, or Invitation to Subscribe for or Purchase, Foreign Currency-denominated Private Debt Securities (pdf)
(Edisi semakan semula: 15 September 2005)
Practice Note 1A on Issuance of Foreign Currency-denominated Bonds Malaysia (pdf)
(Tarikh dikeluarkan: 27 Mac 2007)
Practice Note 2 – Application of the Guidelines on the Offering of Private Debt Securities to the Issue, Offer or Invitation of Ringgit-denominated Private Debt Securities by a Multilateral Development Bank or Multilateral Financial Institution in Malaysia (pdf)
(Tarikh dikeluarkan: 28 Julai 2004)
Information Note on Issuance of Ringgit-denominated Bonds in Malaysia by Multilateral Development Banks or Multilateral Financial Institutions (pdf)
(Tarikh dikeluarkan: 31 Mac 2005)
Practice Note 2A – Application of the Guidelines on the Offering of Private Debt Securities to Foreign Governments and Agencies or Organisations of Foreign Governments (pdf)
(Tarikh dikeluarkan: 23 Mac 2006)
Practice Note 2B – Application of the Guidelines on the Offering of Private Debt Securities to Foreign Multinational Corporations (pdf)
(Tarikh dikeluarkan: 6 Oktober 2006)
Practice Note 3 – Application of the Guidelines on the Offering of Private Debt Securities to the Offer, Issue, or Invitation of Negotiable Instruments of Deposit with Tenure of More than Five Years (pdf)
(Tarikh dikeluarkan: 6 April 2005)
Practice Note 4 – Application of the Guidelines on the Offering of Private Debt Securities to an Issuance of Commercial Papers or a Combination of Commercial Papers and Medium Term Notes (pdf)
(Tarikh dikeluarkan: 24 April 2006)
Guidelines on allowing a person to be appointed or to act as a trustee under subsection 69(2) of the Securities Commission Act 1993 (pdf)
(Tarikh dikeluarkan: 17 September 2001)
Guidelines on the Minimum Contents Requirements for Trust Deeds (pdf)
(Tarikh dikeluarkan: 1 Julai 2000)
Practice Note 1 – Application of the Guidelines on the Minimum Contents Requirements for Trust Deeds to the Issue, Offer or Invitation of Islamic Securities Under the Guidelines on the Offering of Islamic Securities (pdf)
(Tarikh dikeluarkan: 10 November 2004)
Sekuriti Islam
Guidelines on the Offering of Islamic Securities (pdf)
(Tarikh dikeluarkan: 26 Julai 2004)
Practice Note 1 – Application of the Guidelines on the Offering of Islamic Securities to the Issue of, Offer for Subscription or Purchase, or Invitation to Subscribe for or Purchase, Foreign Currency-denominated Islamic Securities (pdf)
(Edisi semakan semula: 15 September 2005)
Practice Note 1A on Issuance of Foreign Currency-denominated Islamic Securities or Sukuk in Malaysia (pdf)
(Tarikh dikeluarkan 27 Mac 2007)
Joint Information Note on the Issuance of Foreign Currency-denominated Bonds and Sukuk in Malaysia (pdf)
(Tarikh dkeluarkan: 27 Mac 2007)
Practice Note 2 – Application of the Guidelines on the Offering of Islamic Securities to the Issue, Offer or Invitation of Ringgit-denominated Islamic Securities by a Multilateral Development Bank or Multilateral Financial Institution in Malaysia (pdf)
(Tarikh dikeluarkan: 10 November 2004)
Practice Note 2A – Application of the Guidelines on the Offering of Islamic Securities to Foreign Governments and Agencies or Organisations of Foreign Governments (pdf)
(Tarikh dikeluarkan: 23 Mac 2006)
Practice Note 2B – Application of the Guidelines on the Offering of Islamic Securities to Foreign Multinational Corporations (pdf)
(Tarikh dikeluarkan: 6 Oktober 2006)
Practice Note 3 – Application of the Guidelines on the Offering of Islamic Securities to the Issuance of Islamic Negotiable Instruments with Original Tenures of More Than Five Years (pdf)
(Tarikh dikeluarkan: 12 Disember 2005)
Practice Note 4 – Application of the Guidelines on the Offering of Islamic Securities to an Issuance of Islamic Commercial Papers or a Combination of Islamic Commercial Papers and Medium Term Notes (pdf)
(Tarikh dikeluarkan: 24 April 2006)
Practice Note on Registration by the Securities Commission for the Purpose of Acting as a Bond Trustee (pdf)
(Tarikh dikeluarkan 12 Oktober 2006)
Practice Note on Recognition of Credit Rating Agencies by the Securities Commission for the Purpose of Rating Bond Issues (pdf)
(Tarikh diterbitkan: 25 Januari 2006)
Guidance Note on the Secondary Trading of Foreign Currency-denominated Debentures and Foreign Currency-denominated Islamic Securities (pdf)
(Tarikh dikeluarkan: 15 September 2005)
Frequently-asked Questions (pdf)

Skim Pelaburan Kolektif

Unit Amanah
Guidelines on Unit Trust Funds
Guidelines on Unit Trust Funds (pdf)
Guidelines on Unit Trust Fund Prospectus (pdf)
Guidelines on Marketing and Distribution of Unit Trust Funds (pdf)
Guidelines on Unit Trust Advertisements and Promotional Materials (pdf)
Guidelines on Allowing a Person to be Appointed or to Act as Trustee Under Subsection 99(1) of the Securities Commission Act 1993 (pdf)
(Date Issued: 1 April 2003)
(Revised Edition: 30 September 2003)
Guidelines on Online Transactions of and Online Activities in Relation to Unit Trusts (pdf)
(Effective Date: 24 November 2004)
Compliance Checklist (pdf)
(Date Issued: 1 July 2005)
Investors Guide on Online Unit Trust Investment (pdf)
(Date Issued: 24 November 2004)
Nota Panduan
Guidance Note 21 (pdf)
Information Required in a Prospectus
(Tarikh dikeluarkan: 15 Mei 2007)
Guidance Note 20 (pdf)
Single Pricing
(Tarikh dikeluarkan: 15 Mei 2007)
Guidance Note 19 (pdf)
Procedures for Registration & Lodgement of Deed
(Tarikh dikeluarkan: 15 Februari 2007)
Guidance Note 18 (pdf)
Procedures for Registration & Lodgement of Prospectus
(Tarikh dikeluarkan: 15 Februari 2007)
Guidance Note 17 (pdf)
Procedures & Format of Submissions
(Tarikh dikeluarkan: 15 Februari 2007)
Guidance Note 16 (pdf)
Valuation
(Tarikh dikeluarkan: 16 Januari 2007)
Guidance Note 15 (pdf)
Valuation of Bonds
(Tarikh dikeluarkan: 15 Disember 2006)
Guidance Note 14 (pdf)
Issued Pursuant to the Guidelines on Advertisements and Promotional Materials (A & P Guidelines)
(Tarikh dikeluarkan: 21 November 2006)
Guidance Note 13 (Dibatalkan)
Appointment of Delegate Not Licensed by SC
(Tarikh dikeluarkan: 24 Julai 2006)
Guidance Note 12 (pdf)
Investment in Structured Products
(Tarikh dikeluarkan: 18 Mei 2006)
Guidance Note 11 (pdf)
Investments in Warrants and Options
(Tarikh dikeluarkan: 18 Mei 2006)
Guidance Notes 10 (pdf)
Investments in Securities Not Traded in or Under the Rules of an Eligible Market
(Tarikh dikeluarkan: 16 Disember 2005)
Guidance Note 9 (pdf)
Statistical and Compliance Returns (UTF Returns)
(Tarikh dikeluarkan: 9 November 2005)
Guidance Note 8 (pdf)
Marketing and Distribution of Unit Trust Funds Outside Malaysia
(Tarikh dikeluarkan: 26 Oktober 2005)
Guidance Note 7 (Dibatalkan)
Amendment to the Procedures for Registration and Lodgement of Prospectus
(Tarikh dikeluarkan: 21 Oktober 2005)
Guidance Note 6 (pdf)
Introduction of New Specialised Funds
(Tarikh dikeluarkan: 30 Ogos 2005)
Guidance Note 5 (pdf)
Restrictions and Limits on Investment in Collective Investment Schemes
(Tarikh dikeluarkan: 30 Ogos 2005)
Guidance Note 4 (pdf)
Guidelines on Online Transactions of and Online Activities in Relation to Unit Trusts
(Tarikh dikeluarkan: 10 Disember 2004)
Guidance Note 3 (pdf)
Initial Offer Period
(Tarikh dikeluarkan: 7 Julai 2004)
Guidance Note 2 (pdf)
The Management Company
(Tarikh dikeluarkan: 7 Julai 2004)
Guidance Note 1 (pdf)
Eligibility Requirement for Guarantor of a Guaranteed Fund
(Tarikh dikeluarkan: 28 April 2004)
Pekeliling
Single-pricing for Unit Trust Funds (pdf)
(Tarikh berkuat kuasa: 20 Oktober 2006)
Investments in Foreign Markets (pdf)
(tarikh berkuat kuasa: 29 Mei 2006)
Duty of Management Company to Lodge Returns (pdf)
(Tarikh berkuat kuasa: 9 November 2005)
Financial Derivatives for Hedging Purpose (pdf)
(Tarikh berkuat kuasa: 11 Oktober 2005)
Investments in Foreign Markets (pdf)
(Tarikh berkuat kuasa Effective Date: 27 May 2005)
Publication of Selling and Repurchase Price (pdf)
(Tarikh berkuat kuasa: 5 November 2004)
Reference Made to Kuala Lumpur Stock Exchange (pdf)
(Tarikh berkuat kuasa: 1 September 2004)
Maximum Fund Size (pdf)
(Tarikh berkuat kuasa: 9 April 2004)
Submission of Application for an Extension of Time (pdf)
(Tarikh berkuat kuasa: 1 Mei 2003)
Use of Brokers/Dealers (pdf)
(Tarikh berkuat kuasa: 1 Mei 2003)
Amanah Pelaburan Hartanah
Guidelines on Real Estate Investment Trusts (pdf)
(Tarikh dikeluarkan: 3 Januari 2005)
Guidelines for Islamic Real Estate Investment Trusts (pdf)
(Tarikh dikeluarkan: 21 November 2005)
Frequently-asked Questions (pdf)
Nota Panduan
Guidance Note 1 (pdf)
Contents of Prospectus
(Tarikh dikeluarkan: 15 September 2005)
Guidance Note 2 (pdf)
Borrowing Limit and Issuance of Debenture
(Tarikh dikeluarkan: 10 Julai 2006)
Guidance Note 3 (pdf)
Appointment of Delegate Not Licensed by SC
(Tarikh dikeluarkan: 24 Julai 2006)
Guidance Note 4 (pdf)
Definition of Non-real Estate- related Assets
(Tarikh dikeluarka: 8 Februari 2007)
Guidance Note 5 (pdf)
Revaluation of Real Estate
(Tarikh dikeluarkan: 8 Februari 2007)
Guidance Note 6 (pdf)
Remuneration of Trustee and Management Company
(Tarikh dikeluarkan: 8 Februari 2007)
Guidance Note 7 (pdf)
Placement of Units
(Tarikh dikeluarkan: 8 Mac 2007)
Dana Dagangan Bursa
Guidelines on Exchange-traded Funds (pdf)
(Tarikh dikeluarkan: 21 Jun 2005)
Penawaran, Pemasaran dan Pengedaran Dana Asing BARU
Guidelines for the Offering, Marketing and Distribution of Foreign Funds (pdf)
(Tarikh dikeluarkan: 1 Julai 2007)
Bahan-bahan Lain
Guide on Areas of Compliance and Internal Controls for Management Company and Trustee (pdf)
(Tarikh dikeluarkan: 3 Jun 2003)
Checklist of Requirements for Annual/Interim Reports (for Unit Trust Funds) (pdf)
(Tarikh dikeluarkan: 16 Jun 2003)
Senarai Semak Penyerahan
Application for Establishment of a Unit Trust Fund (pdf)
Application to Act as a Management Company of a Unit Trust Fund (pdf)
Application for the Appointment of a Company to Act as a Trustee to a Unit Trust Fund (pdf)
Application to Appoint Chief Executive Officer, Director, Investment Committee Member and Panel of Adviser (pdf)
Application to Appoint Syariah Committee Member/Syariah Adviser (pdf)
Application for an Increase in the Approved Fund Size (pdf)
Application for Appointment of Delegate Not Licensed by the Securities Commission (pdf)
Application for Approval of a Foreign Market for Investment by a Unit Trust Fund (pdf)
Application for an Exemption/Variation/Extension of Time (pdf)
Application for Registration/Renewal for Trustee to a Unit Trust Fund (pdf)
Senarai Semak Pengiraan Fi
Fee Computation Checklist for Unit Trust Funds & Real Estate Investment Trust Funds (pdf)
(Tarikh dikeluarkan: 22 September 2004)
Fee Computation Checklist (Other) for Unit Trust Funds & Real Estate Investment Trust Funds (pdf)
(Tarikh dikeluarkan: 22 September 2004)
Senarai Semak Prospektus/Prospektus Tambahan
Compliance Checklist for UTF (pdf)
Compliance Checklist for REIT (pdf)
Registration Checklist for UTF (pdf)
Registration Checklist for REIT (pdf)
Lodgement Checklist (pdf)
Senarai Semak Tugasan
Registration Checklist (pdf)
Lodgement Checklist (pdf)
Borang-borang Permohonan
For Establishment of a Unit Trust Fund (MS Word)
To act as a Management Company to a Unit Trust Fund (MS Word)
For the Appointment of a Company to Act as a Trustee to a Unit Trust Fund (MS Word)
To Appoint a Chief Executive Officer/Director/Investment Committee Member/Other Committee Member (pdf)
For the Appointment of Syariah Committee Member/Syariah Adviser (pdf)
For Increase in the Approved Size of Fund (MS Word)
For Approval of a Foreign Market for Investment by a Unit Trust Fund (pdf)
For Appointment of a Delegate Not Licensed by the Securities Commission (pdf)
Checklist for Compliance with Guiding Principles for Outsourcing of Back Office Functions for Capital Market Intermediaries (pdf)
Checklist for Compliance with Guidelines on Performance of Supervisory Functions at Group Level for Capital Market Intermediaries (pdf)
For Registration/Renewal of a Trust Company as Trustee to a Unit Trust Fund (pdf)
SC/Info Form (pdf)
For Registration/Renewal of Registration as a Syariah-qualified Individual (pdf)
For Registration/Renewal of Registration as a Syariah Adviser (pdf)
Application for Issuance of New Units for a Real Estate Investment Trust (pdf)
Application for the Valuation of Real Estates (pdf)
Applications for Acquisition of Foreign Real Estates (pdf)
Unit Trust Funds Statistical & Compliance Returns Form (pdf)
REIT Statistical Returns (pdf)
REIT Compliance Returns (pdf)

Ketekunan Wajar

Guidelines on Due Diligence Conduct for Corporate Proposals. (pdf – 473KB)
(Tarikh Berkuat kuasa: 1 Februari 2008)

Permohonan FIC

Practice Note 1 (pdf)
(Tarikh dikeluarkan: 5 Disember 2006)
Frequently-asked Questions (pdf)

Pengurusan Dana

Guidelines on Islamic Fund Management (pdf)
(Tarikh diterbitkan: 3 Disember 2007)
Guidelines on Restricted Investment Schemes (pdf)
(Tarikh diterbitkan/Berkuat kuasa: 7 April 2006)
  • Securities Commission RIS Returns Declaration/Verification Form (MS Word)
  • Application for Establishment of a Restricted Investment Scheme (MS Word)
  • Application for Approval of a Foreign Market for Investment by a Restricted Investment Scheme (MS Word)
  • Application for Increase in the Approved Size of a Restricted Investment Scheme (MS Word)
Guidelines on Compliance Function for Fund Managers (pdf)
(Tarikh dikeluarkan/Berkuat kuasa: 15 Mac 2005)

Penawaran Ekuiti dan Sekuriti Berkaitan Ekuiti

Guidelines on the Offering of Equity and Equity-Linked Securities; (pdf – 550KB)
(Tarikh Berkuat kuasa: 1 Februari 2008)
Guidelines on the Offering of Equity and Equity-Linked Securities for the MESDAQ Market; (pdf – 12MB)
(Tarikh Berkuat kuasa: 1 Februari 2008)

Pelesenan

Buku Panduan Perlesenan
Guidelines on the Establishment of Foreign Fund Management Companies (pdf)
Application for Establishment of Foreign Stockbroking Companies Under the Special Scheme (pdf)
Guidelines on Reporting Requirements for Fund Managers (pdf)
Permohonan Perlesenan

Penasihat Prinsipal

Guidelines on Principal Advisers for Corporate Proposals;
(Tarikh Berkuatkuasa: 1 Februari 2008)

Prospektus

Prospectus Guidelines (pdf)
(Tarikh dikeluarkan: Mei 2003)
(Dipinda setakat 1 Februari 2008)

(Pindaan dibuat ke atas Bab 13 Prospectus Guideline)
•  Public Offerings
•  Abridged Prospectus
•  Supplementary Prospectus
Practice Notes (pdf)
Practice Note 1 – Basis for Pricing of Securities
(Tarikh dikeluarkan: 27 Oktober 2005)
Procedures for Registration (pdf)
(Tarikh dikeluarkan: 27 Oktober 2005)
(Edisi semakan semula: 22 Februari 2008)
Prospectus-related Guidelines (pdf)
•  Plain Language Guide for Prospectuses
•  Guidelines on Electronic Prospectuses and Internet Securities Application
•  Guidelines on Advertising
(Tarikh dikeluarkan: 27 Oktober 2005)
Frequently-asked Questions (FAQs) (pdf)
(Tarikh dikeluarkan: 27 Oktober 2005)
(Edisi semakan semula: 10 Mei 2006)

Pinjaman dan Peminjaman Sekuriti

Guidelines on Securities Borrowing and Lending (pdf)
(Tarikh dikeluarkan: 27 Disember 2006)
Tax Guidelines on Securities Borrowing and Lending (pdf)

Pembrokeran Saham

Guidelines on Permitted Activities for Stockbroking Companies (pdf)
(Tarikh dikeluarkan: 26 Oktober 2005)
Guidelines on Dealing in Unlisted Securities by a Universal Broker (pdf)
(Tarikh dikeluarkan: 30 Oktober 2002)
Practice Note 1 – Application of the Guidelines to Cross-Selling of Unlisted Debt Securities to Eligible Individuals by Dealer’s Representatives Not Certified by PPKM (pdf)
( Tarikh dikeluarkan: 12 Julai 2005)
Guidelines on the Establishment of Electronic Access Facilities by a Universal Broker (pdf)
(Dipinda setakat 5 November 2004)
Practice Note 1 (pdf)
(Dipinda setakat 5 November 2004)
Guidelines for a Universal Broker (pdf)
(Dipinda setakat 23 November 2004)
Guidelines on the Establishment and Location of a Branch Office by a Universal Broker and a Non-universal Broker (pdf)
(Dipinda setakat 5 November 2004)
Practice Note 1 – Flexibilities Granted to Stockbroking Companies in Relation to Branch Offices and Branching Policy for the Year 2002 and Beyond (pdf)
(Dipinda setakat 5 November 2004 )
Guidelines on Chinese Walls for Dealers and Futures Brokers (pdf)
(Tarikh dikeluarkan: 11 Mei 2006)
Member Readiness Checklist for a Universal Broker (pdf)
(Tarikh dikeluarkan: 02 Oktober 2000)
Guidelines on Electronic Contract Notes (pdf)
(Tarikh dikeluarkan: 28 April 2005)
Guidelines on Performance of Supervision Functions at Group Level for Capital Market Intermediaries (pdf)
(Tarikh dikeluarkan: 29 Jun 2005)
(tarikh semak semula: 2 March 2006)
Guiding Principles for Outsourcing of Back Office Functions for Capital Market Intermediaries (pdf)
(Tarikh dikeluarkan: 29 Jun 2005)
(Tarikh semak semula: 2 March 2006)

Waran Berstruktur

Guidelines for the Issue of Structured Warrants (pdf)
(Dipinda setakat Oktober 2006)

Pengambilalihan & Percantuman

Malaysian Code on Take-overs and Mergers (Amendment) 2004 (pdf)
Amendments to Practice Notes (pdf format)
(Tarikh dikeluarkan: 25 Mac 2004)
Kod Malaysia Mengenai Pengambilalihan dan Percantuman (Pindaan) 2004 (pdf)
Kod Malaysia Mengenai Pengambilalihan dan Percantuman Pindaan Kepada Nota Amalan (pdf)
(Tarikh Dikeluarkan: 25 Mac 2004)
Malaysian Code on Take-overs and Mergers 1998
(Date Issued: 1 January 1999)
Practice Notes 1 (pdf)
(Tarikh dikeluarkan: 1 Januari 1999)
Malaysian Code on Take-overs and Mergers (Amendment) 2006 (pdf)
Format and Contents of Applications Under Division 2, Part IV of the
Securities Commission Act 1993 and the Malaysian Code on
Take-overs and Mergers 1998 (pdf)
(tarikh berkuat kuasa: 1 Mac 2004)
Guidelines on Offer Documentation (pdf)
(Tarikh dikeluarkan: 25 April 2001)
Clarification to Section 12(1) of the Malaysian Code on Take-overs and Mergers 1998, in Relation to Announcements (pdf)
Clarification on Immediate Approvals in Relation to Certain Exemptions (pdf)
Frequently-asked Questions

Modal Teroka

Guidelines for the Annual Certification for Tax Incentives for the Venture Capital Industry (Amended) (pdf)
(Berkuat kuasa 2007)
Application Form for Certification for Tax Incentive for the Venture Capital Industry (pdf)
Frequently-asked Questions
Guidelines for the Registration of Venture Capital Corporations and Venture Capital Management Corporations (pdf)
Frequently-asked Questions
Venture Capital Registration Kit

Lain-lain

Garis Panduan Kawal Selia Pasaran (pdf)
Guidelines for the Employment of Non-Malaysian Citizens in the Securities and Futures Industries (pdf)
Form 1: Application for the Employment of Non-Malaysian Citizens in the Securities and Futures Industries – to be Filled by the Principal Company (MS Word)
Form 2: Application for the Employment of Non-Malaysian Citizens in the Securities and Futures Industries – to be filled by the Non-Malaysian Citizen Candidate (MS Word)
Frequently-asked Questions – Guidelines for the Employment of Non-Malaysian Citizens in the Securities and Futures Industries (pdf)
Practice Notes on Exemption from Stamp Duty and Real Property Gains Tax (pdf)
(Tarikh dikeluarkan: 19 Disember 2006)
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Institutional Structure of Malaysian Capital Market

Posted on 18 October 2008. Filed under: Banking, Finance, Pelaburan, Perbankkan | Tags: , |

Institutional Structure of Malaysian Capital Market

1. What is the present institutional structure of the Malaysian capital market?
The present institutional structure of the capital market is shown in the diagram below:

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PELABURAN SAYA, HAK SAYA!

Posted on 18 October 2008. Filed under: Banking, Finance, HYIP, Pelaburan, Perbankkan | Tags: , , , , , |

Pengenalan
Apabila anda membuat pelaburan dengan membeli stok dalam sesebuah syarikat, anda mengharapkan syarikat tersebut menyalurkan keuntungan dan memberikan anda pulangan yang baik bagi pelaburan tersebut. Walau bagaimanapun, sering kali berlaku, pelabur menyaksikan nilai pelaburan mereka mengecut melalui amalan tadbir urus korporat yang lemah oleh pemegang saham yang mengawal atau pengurus korporat. Salah laku tadbir urus korporat yang mendapat publisiti besar-besaran menyaksikan orang dalam “mencuri” aset syarikat dengan pelbagai cara, atau pengarah-pengarah yang berkali-kali gagal melaksanakan tanggungjawab fidusiari mereka untuk melindungi aset dan kepentingan syarikat serta mendorong syarikat membuat projek yang rugi. Ini berlaku kerana banyak pemegang saham minoriti jahil terhadap hak mereka dan juga tidak menyedari bahawa mereka tertindas. Apabila menyedarinya, selalunya mereka mengambil pendekatan yang pasif dan mentah terhadap kekurangan amalan tadbir urus yang baik tersebut, dan tidak mengambil sebarang tindakan. Apabila mereka memutuskan untuk mengambil tindakan, mereka kurang pengetahuan tentang hak, pilihan dan saluran yang betul untuk meluahkan perasaan tidak puas hati. Mereka juga mungkin tidak menyedari, sehingga terlambat, bahawa terdapat tempoh masa yang ditetapkan oleh undang-undang untuk mengambil tindakan. Kita juga acap kali melihat pelabur runcit dipujuk membeli produk pelaburan seperti derivatif yang didagangkan di bursa, atau dana unit amanah yang tidak bersesuaian dengan kehendak risiko dan objektif pelaburan mereka. Pelabur seumpama ini mungkin akhirnya akan kerugian lebih banyak wang daripada yang boleh ditanggung oleh mereka apabila nilai pelaburan mereka naik turun di pasaran. Sering kali, mereka menyalahkan nasib malang sebagai penyebab kerugian itu berlaku, kerana mereka tidak menyedari bahawa mereka mempunyai hak untuk dilindungi daripada tatalaku perantara pasaran yang tidak profesional.

Anda Mempunyai Hak

Sebagai pelabur, anda mempunyai:

(i) hak sebagai pemegang saham sesebuah syarikat; dan
(ii) hak sebagai pelanggan produk dan perkhidmatan berkualiti tinggi daripada broker saham/remisier atau broker/wakil berdaftar niaga hadapan atau syarikat pengurusan/ejen unit amanah.

Di Malaysia, hak pelabur dilindungi bawah beberapa undang-undang sedia ada, iaitu bawah Akta Syarikat 1965 (CA) Akta Suruhanjaya Sekuriti 1993(SCA), Akta Perindustrian Sekuriti 1983 (SIA), Akta Niaga Hadapan 1993 (FIA), Akta Perindustrian Sekuriti (Depositori Pusat) 1991 (SICDA) dan peraturan Bursa Saham Kuala Lumpur (BSKL), Bursa Dagangan Sekuriti dan Sebut Harga Automasi Malaysia (MESDAQ) dan Bursa Derivatif Malaysia (MDEX).

Bahagian ini bertujuan untuk memberikan panduan bagaimana anda, sebagai pelabur, boleh melaksanakan:

  • hak untuk mendapatkan maklumat;
  • hak untuk menyuarakan pendapat; dan
  • hak untuk mengemukakan aduan.

Hak Untuk Mendapatkan Maklumat

Maklumat yang bertepatan masa dan boleh dipercayai meningkatkan keupayaan pelabur untuk membuat penilaian lebih baik dan menentukan keadaan pelaburan mereka – sama ada ekuiti, derivatif yang didagangkan di bursa atau dana unit amanah. Apakah jenis maklumat yang perlu dicari oleh pelabur? Dan, di manakah maklumat tersebut boleh didapati?

Ekuiti

Satu masalah besar yang dihadapi oleh pelabur runcit ialah, mereka tidak tahu bagaimana hendak mula menilai merit dan prestasi syarikat tersenarai awam (PLC). Hasil daripada penilaian anda akan memberikan panduan sama ada hendak melabur atau tidak, terus melabur atau mengeluarkan pelaburan daripada syarikat tersebut.

Sebagai permulaan, beri perhatian kepada perkara-perkara yang berikut:

Perniagaan teras – Perniagaan teras ialah apa yang terbaik dilakukan oleh sesebuah syarikat, dan pelabur perlu mengetahui bahawa lembaga pengarah dan pihak pengurusan tidak sepatutnya menerokai perniagaan baru tanpa penilaian terhadap kebolehan dan tenaga kerja syarikat. Kebiasaannya, perniagaan baru mestilah boleh diselaraskan dengan perniagaan teras.
Profil pengarah dan jawatankuasa pengurusan – Peranan pengarah ialah memandu hala tuju syarikat, dan lembaga pengarah bertanggungjawab untuk meluluskan pelan strategik dan menyediakan haluan strategik untuk pertumbuhan syarikat. Selain terlibat dalam proses membuat keputusan korporat, lembaga pengarah juga bertanggungjawab memastikan perniagaan diuruskan dengan betul. Oleh itu, para pelabur seharusnya berpuas hati bahawa para pengarah dan pihak pengurusan cukup cekap dalam menguruskan dan merancang pertumbuhan berterusan perniagaan syarikat.
Amalan tadbir urus korporat dan kawalan dalaman – Etika perniagaan memainkan peranan penting dalam persekitaran perniagaan moden, dan amalan tadbir urus korporat yang baik menanamkan keyakinan pelabur terhadap syarikat. Perlu juga ada satu sistem yang kawalan dalaman yang kukuh untuk melindungi pelaburan pemegang saham dan aset syarikat. Ini termasuklah mengenal pasti risiko utama serta pelaksanaan sistem yang sesuai untuk menguruskan risiko tersebut.
Data kewangan – Laporan kewangan menyediakan pelabur dengan sedikit asas untuk memahami dan menilai keupayaan syarikat untuk mendapatkan keuntungan dan aliran tunai.

Selain laporan tahunan, BSKL menetapkan supaya semua syarikat tersenarai menerbitkan laporan kewangan interim setiap tiga bulan. Semua perkara penting perlu di laporkan dalam akaun interim ini. Pelaporan suku tahunan berguna bagi pelabur yang mempunyai syak wasangka terhadap prestasi sesebuah syarikat. Tanpa pelaporan suku tahunan, syarikat boleh menyembunyikan berita buruk untuk tempoh setengah tahun atau lebih.

Urus niaga pihak berkaitan – Walaupun urus niaga pihak berkaitan tidak semestinya “salah laku”, penzahiran segera urus niaga begini adalah antara cara untuk melindungi kepentingan syarikat. Penzahiran membolehkan pemegang saham menilai urus niaga pihak berkaitan bagi memastikan urus niaga ini dilakukan mengikut syarat-syarat yang tidak membawa lebih kebaikan berbanding jika dilakukan sebaliknya.
Liabiliti kontingen – Liabiliti kontingen melibatkan kemungkinan rugi yang timbul daripada kejadian tidak pasti pada masa akan datang. Penzahiran maklumat mengenai liabiliti kontingen akan membantu pengguna laporan kewangan untuk menilai prestasi kewangan yang ada sekarang dan yang dijangkakan, serta kedudukan kewangan syarikat.

Mendapatkan Maklumat

Maklumat mengenai PLC boleh didapati daripada pelbagai sumber, iaitu melalui media cetak dan penyiaran, melalui perkhidmatan talian, melalui internet dan lain-lain. Sumber maklumat yang disenaraikan di bawah mudah didapati oleh semua pelabur.

1. Laporan tahunan menyediakan maklumat terkini yang berguna tentang kegiatan syarikat bagi tahun terdahulu dan mengandungi maklumat mengenai semua perkara yang disebut di atas.

Pelabur perlu mengambil perhatian bahawa dari 1 Januari 2002, pindaan kepada Listing Requirements of the KLSE memerlukan ahli lembaga pengarah syarikat tersenarai untuk memasukkan dalam laporan tahunan satu pernyataan bahawa mereka telah melaksanakan prinsip-prinsip tersebut dan mematuhi amalan terbaik yang digariskan dalam Kod Tadbir Urus Korporat Malaysia. Ini termasuklah satu pernyataan mengenai keadaan kawalan dalaman dalam kumpulan syarikat secara keseluruhan.

Bagi pemegang saham sedia ada, laporan tahunan mengandungi maklumat yang cukup bagi mereka mengemukakan soalan berkaitan kepada para pengarah dan pihak pengurusan kanan pada mesyuarat agung tahunan. Bagi bakal pelabur pula, laporan tahunan sepatutnya memudahcarakan penilaian mengenai nilai syarikat tersebut sebelum membuat keputusan sama ada hendak melabur atau tidak.

2. Tapak web BSKL (www.klse.com.my) menyediakan lebih banyak maklumat terkini mengenai syarikat tersenarai di bursa saham.

Antara maklumat yang boleh didapati daripada tapak web itu ialah:

  • maklumat ringkas mengenai aktiviti dagangan harian setiap lima minit
  • pengumuman syarikat tersenarai, seperti:
    • hasil kewangan suku tahunan
    • hak, seperti dividen, terbitan bonus, terbitan hak dan bayaran faedah
    • perubahan dalam maklumat korporat, iaitu jawatankuasa audit, lembaga pengarah, ketua pegawai eksekutif, setiausaha syarikat dan pendaftar
    • amaran pelabur seperti penggulungan petisyen, perintah pencegahan, pelantikan pentadbir khas dan lain-lain.
  • surat pekeliling kepada pemegang saham
  • akaun teraudit tahunan dan laporan tahunan.

Tapak ini juga menyediakan pautan kepada tapak web sebahagian daripada PLC.

3. Halaman perniagaan akhbar harian tempatan dan penerbitan lain yang meliputi kewangan, perancangan kewangan dan perniagaan, adalah antara sumber maklumat yang baik Sebagai contoh, satu ulasan dalam sebuah akhbar mingguan berbahasa Inggeris mengenengahkan fakta mengenai sebuah PLC sedang mengalihkan lebih daripada RM404 juta kepada unit lain untuk mendapat faedah sedangkan sepatutnya syarikat itu memberikan bayaran dividen lebih tinggi atau terbitan saham bonus. Walaupun urus niaga itu tidak menyalahi undang-undang, pemegang saham minoriti yang tidak puas hati dengan urus niaga tersebut boleh menyoal lembaga pengarah pada mesyuarat agung tahunan mengenai isu ini.

4. RAM dan MARC – Sebahagian PLC turut menerbitkan sekuriti hutang sebagai jalan alternatif untuk mendapat pembiayaan daripada pasaran. Walaupun tiada keperluan bagi bon ditarafkan, pada masa ini semua terbitan hutang di Malaysia ditarafkan oleh, sama ada Agensi Penarafan Malaysia (RAM) atau Malaysian Rating Corporation (MARC).

Penarafan bon direka bentuk untuk membantu pelabur menilai nilaian kredit syarikat penerbit, iaitu, keupayaan membuat pembayaran pada masanya. Penarafan bon disemak dan ditingkatkan secara berkala sepanjang hayat bon tersebut. Pemegang saham PLC yang memiliki terbitan bon boleh menggunakan penarafan ini sebagai petunjuk tentang kedudukan syarikat. Contohnya, sesebuah syarikat yang diletakkan dalam pengawasan penarafan atau diturunkan taraf , boleh jadi menandakan berlaku kemerosotan dalam perniagaan syarikat tersebut.

Anda boleh mendapat maklumat penarafan penerbit yang terkini di tapak web RAM (www.ram.com.my) dan MARC (www.marc.com.my). Pengumuman penarafan turut dikeluarkan dari semasa ke semasa di halaman perniagaan akhbar harian.

5. Layari tapak web Suruhanjaya Sekuriti (SC) (www.sc.com.my) untuk melihat, antara lain, senarai perantara berlesen dan amaran pelabur.
6. Tapak web pendidikan pelabur (www.min.com.my) menyediakan maklumat asas mengenai melabur di pasaran modal Malaysia.

Derivatif yang Didagangkan di Bursa Instrumen derivatif ialah satu kontrak yang nilainya bergantung pada, atau diperoleh daripada, nilai sesuatu aset pendasar (seperti harga komoditi, kadar faedah dan harga saham) atau sesuatu indeks. Disebabkan sifat leveraj kontrak derivatif, pelabur sepatutnya memahami dengan jelas penggunaan derivatif dan risiko yang terbabit sebelum menerokai dagangan niaga hadapan dan opsyen.

Derivatif yang didagangkan di bursa sudah ada di pasaran modal Malaysia sejak 1995. Pada masa ini, ada lima produk yang didagangkan di MDEX, iaitu:

  • Niaga hadapan minyak sawit mentah
  • Niaga hadapan indeks komposit BSKL
  • Opsyen indeks komposit BSKL
  • Niaga hadapan kadar faedah tiga bulan KLIBOR
  • Niaga hadapan Sekuriti Kerajaan Malaysia lima tahun
Tapak web MDEX (www.mdex.com.my) merupakan tapak permulaan yang baik untuk mendapatkan maklumat asas pasaran derivatif Malaysia. Sebahagian daripada maklumat yang boleh didapati di tapak web ini ialah:

  • data harga tertangguh bagi lima kontrak niaga hadapan dan opsyen
  • spesifikasi kontrak bagi setiap instrumen derivatif
  • satu bahagian mengenai sumber pendidikan yang menyediakan perincian mengenai aplikasi mekanisme dan urus niaga kontrak niaga hadapan dan opsyen MDEX
  • senarai ahli berlesen (maklumat ini juga boleh didapati di tapak web SC) untuk mengelakkan berurusan dengan syarikat dagangan indeks/komoditi lani tidak sah.

Selain itu, untuk memastikan bahawa pelabur menyedari dan memahami apa yang terbabit dalam urus niaga kontrak derivatif, peraturan MDEX menetapkan broker niaga hadapan memberikan kepada pelanggan mereka:

  • penjelasan mengenai sifat kontrak,
  • spesifikasi dan butir terperinci terma penting bagi setiap kontrak yang pelanggan mereka ingin berurus niaga
  • pernyataan mengenai penzahiran risiko,

sebelum urus niaga dijalankan. Pelanggan juga perlu memperakui resit bagi maklumat di atas.

Dana Unit Amanah Dana unit amanah ialah skim pelaburan yang menjana wang daripada banyak pelabur yang berkongsi objektif pelaburan yang sama.

Ada banyak jenis dana unit amanah yang kini terdapat di pasaran, misalnya dana pendapatan, dana pertumbuhan modal, dana pertumbuhan agresif, dana terimbang, dana berkaitan indeks, dana bon, dana pasaran wang, dana Islam dan dana amanah harta.

Apabila memutuskan untuk melabur dalam dana unit amanah, anda perlu mencari maklumat mengenai:

  • pemegang saham, lembaga pengarah dan kakitangan pengurusan utama syarikat pengurusan untuk menilai kekuatan kewangan, rekod prestasi dan kepakaran syarikat tersebut dan kakitangannya. Ini kerana, selain pemasaran dan pentadbiran dana, syarikat pengurusan tersebut turut menguruskan pelaburan, iaitu wang anda.
  • objektif dan strategi pelaburan dana, had pelaburan, portfolio semasa dan sebarang ulasan mengenai prestasi terkini.
  • prestasi lepas dana tersebut. Pelabur diingatkan bahawa walaupun rekod prestasi sesuatu dana boleh dijadikan panduan kepada prestasi akan datang, ia tidak boleh dijadikan jaminan. Sesuatu dana yang menunjukkan prestasi baik pada masa lepas mungkin tidak dapat mengulanginya pada masa akan datang dan begitu juga sebaliknya
Prospektus

Setiap dana unit amanah mempunyai prospektus yang perlu dibaca dengan teliti sebelum membuat sebarang keputusan untuk melabur dalam dana tersebut. Anda mesti meminta prospektus terkini kerana prospektus diperbaharui setiap tahun.

Undang-undang menetapkan bahawa prospektus unit amanah mengandungi semua maklumat sewajarnya yang diperlukan dan dijangkakan oleh pelabur dan penasihat pelabur untuk bagi tujuan membuat penilaian bermaklumat terhadap skim unit amanah.

Oleh itu, prospektus mengandungi, antara lain:

  • maklumat mengenai syarikat pengurusan dan pemegang amanah
  • maklumat mengenai objektif pelaburan, strategi dan butir-butir terperinci lain dana tersebut
  • penerangan mengenai profil pelabur yang paling bersesuaian dengan dana tersebut
  • bayaran dan caj
  • maklumat masa lalu mengenai prestasi dana yang telah beroperasi lebih daripada satu tempoh kewangan

Pelabur perlu menyedari bahawa hanya skim unit amanah yang diluluskan oleh SC boleh ditawarkan untuk jualan kepada orang awam di Malaysia. Dana yang diluluskan boleh dikenal pasti melalui kulit luar prospektus, yang mengandungi pernyataan bahawa satu salinan prospektus tersebut telah didaftarkan dan diserah simpan dengan SC.

Laporan tahunan dan interim Syarikat pengurusan dikehendaki menerbitkan sekurang-kurangnya dua laporan dana berhubung dengan setiap tahun kewangan bagi dana tersebut. Tujuan kedua-dua laporan dana ini ialah untuk menyediakan semua maklumat yang perlu bagi membolehkan pemegang unit menilai prestasi dana dalam tempoh kewangan yang diperkatakan.

Laporan tersebut mesti mengandungi maklumat mengenai:

  • peruntukan aset skim tersebut pada tarikh laporan, termasuk butir-butir mengenai perubahan penting dalam peruntukan aset itu semenjak laporan terakhir
  • prestasi skim
  • tinjauan terhadap pasaran yang skim tersebut membuat pelaburan dalam tempoh berkenaan
  • penilaian terhadap prospek masa hadapan pasaran yang skim tersebut membuat pelaburan, dan strategi yang dicadangkan bagi skim tersebut berdasarkan penilaian
  • laporan pemegang amanah yang menyatakan sama ada syarikat pengurusan telah menguruskan skim tersebut dengan mematuhi peraturan yang ditetapkan oleh surat ikatan amanah dan undang-undang berkaitan. Peranan pemegang amanah ialah bertindak sebagai penjaga aset dana tersebut, dan pemegang amanah perlu, secara aktif, mengawasi pentadbiran dana oleh syarikat pengurusan untuk melindungi kepentingan pemegang unit.
  • jawatankuasa Syariah atau laporan jururunding (jika berkenaan), yang menyatakan sama ada dana itu telah ditadbir mengikut prinsip-prinsip Syariah
  • penyata kewangan bagi tempoh dalam kajian
  • laporan juruaudit

Iklan dan bahan promosi

Pelabur mungkin bergantung kepada iklan dan bahan promosi unit amanah untuk membuat keputusan pelaburan. Oleh itu, untuk memastikan iklan dan bahan promosi unit amanah adil, seimbang dan tepat seboleh mungkin, kelulusan daripada SC diperlukan sebelum iklan dan bahan promosi tersebut boleh dikeluarkan. Iklan dan bahan-bahan promosi yang diluluskan mempunyai kod kelulusan yang bermula dengan huruf “SC/PM”, dan tertera dengan jelas.

Walaupun terdapat begitu banyak maklumat yang diperlukan, pelabur perlu amat berhati-hati. Banyak daripada maklumat itu berguna, tetapi malangnya, banyak juga yang salah. Oleh itu, para pelabur perlu berhati-hati dalam mempertimbangkan kesahihan dan keandalan maklumat pelaburan yang diperoleh daripada semua sumber, terutama maklumat yang tidak diminta, yang terdapat di internet.

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Perlindungan deposit dikuat kuasa serta-merta

Posted on 18 October 2008. Filed under: Banking, Finance, Pelaburan, Perbankkan | Tags: , , , , , |

KEMENTERIAN Kewangan dan Bank Negara Malaysia semalam mengumumkan langkah perlindungan deposit di bank, institusi kewangan dan insurans sehingga Disember 2010, dalam usaha mengekalkan kestabilan serta keyakinan pendeposit terhadap sistem kewangan negara.Bank Pusat itu dalam kenyataan semalam, berkata berkuat kuasa serta-merta, semua deposit dalam ringgit dan mata wang asing di bank komersial, Islam dan pelaburan, serta institusi kewangan pembangunan seliaan Bank Negara, akan dijamin sepenuhnya oleh kerajaan.

“Perlindungan deposit itu dilaksanakan menerusi Perbadanan Insurans Deposit Malaysia (PIDM) berkuat kuasa serta-merta hingga Disember 2010.

“Jaminan itu juga diperluaskan kepada semua institusi perbankan domestik dan asing yang diperbadankan di negara ini. Akses kemudahan kecairan Bank Negara juga diperluas kepada syarikat insurans dan pengendali takaful yang diselia bank pusat itu,” lapor kenyataan itu.

Pendekatan itu diambil sebagai langkah awal selaras inisiatif negara serantau untuk memelihara keyakinan dalam sistem kewangan masing-masing, susulan ketidaktentuan pasaran kewangan global.

“Ia adalah tindakan awal dan langkah pencegahan… Keyakinan pendeposit kekal kukuh susulan institusi kewangan Malaysia memiliki permodalan teguh dengan kecairan mencukupi.

“Berdasarkan kekukuhan permodalan institusi perbankan negara, besar kemungkinan jaminan itu tidak akan digunakan. Malaysia sudah memiliki rangka kawal atur dan pemantauan yang diperkukuhkan dengan disiplin kewangan oleh PIDM,” katanya.

Kenyataan itu menambah, sistem taksiran premium berbeza, menyediakan insentif kepada bank untuk mengambil pendekatan kukuh dan mengamalkan pengurusan risiko ketat, termasuk menyediakan penampan modal yang kukuh.

Sementara itu, PIDM juga memiliki kuasa penyelesaian perlu untuk melindungi pendeposit.

“Bank Negara kekal berhati-hati terhadap sebarang kemunculan risiko serta cabaran ke atas sistem kewangan negara.

“Jika timbul ketidakstabilan selanjutnya susulan perkembangan luaran, Bank Negara juga akan menyediakan perlindungan obligasi antara bank bagi syarikat perbankan, untuk memastikan kecairan mencukupi dan memudahkan akses kepada kecukupan modal pada paras sasaran jauh di atas standard minimum,” katanya.

Bank Pusat menambah, pihaknya akan terus memastikan rangka kawal atur kekal peka terhadap situasi pasaran dan mengekalkan insentif bersesuaian untuk pengurusan risiko secara berhati-hati.

Ia untuk membolehkan institusi kewangan terus berfungsi secara terurus sebagai pengantara sistem dan pasaran kewangan.

Sumber dipetik dari Berita Harian

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Malaysia risks recession next year: MIER

Posted on 18 October 2008. Filed under: Banking, Finance, Pelaburan, Perbankkan | Tags: , , , , |

Malaysia risks recession next year: MIER

17th October, 2008

KUALA LUMPUR: Leading think-tank in the nation on Thursday slashed its 2009 economic growth forecast for the country to 3.4 percent and said there was a risk of recession if the US economy tumbles.

The influential Malaysian Institute of Economic Research (MIER) said the economy was expected to expand by 5.3 percent in 2008 after a strong first half but that it would deteriorate in the new year.

It cut its 2009 forecast from 5.0 percent to 3.4 percent, in contrast to the government which in its 2009 budget unveiled in August predicted 5.4 percent growth next year. The economy grew by 6.3 percent in 2007.

“In the first half of the year the Malaysian economy did well but we don’t think this will be the case for the rest of the year given the flagging global economy,” MIER executive director Mohamed Ariff told a press conference.

“If the US economy goes into some kind of recession in… the first quarter or second quarter (of 2009) we think somewhere in the middle, second or third quarter, we may experience (technical recession),” he said.

“There is a 40 percent chance that Malaysia will register technical recession in 2009, meaning two quarters of negative growth and a 30 percent chance it could be a real recession lasting more than two quarters.”

However, Ariff said he did not expect a recession to be as severe as the 1997-98 regional financial crisis when the economy contracted sharply.

“This recession is going to be milder but I think (it’s) going to last longer,” he said.

Ariff said there could be a revision in official interest rates but it would not happen just yet. The central bank is expected to keep interest rates at 3.50 percent until the year-end.

Malaysia’s inflation jumped to a 26-year high of 8.5 percent in August, driven by the escalating cost of food and fuel, Ariff said that on the bright side, Malaysian banks were fundamentally strong and this would help keep the economy on the right footing, although there could be further risk as the crisis unfolds.

“All banks are adequately capitalised and the NPL (non-performing loans) problem actually for now is a non-issue because it is less than 3.0 percent of total bad loans, which is considered very low by any standards,” he said.

“But come next year there is a chance that the NPL problem may get worse if the real property sector and the construction sector caves in.”

Ariff said the political uncertainty that has paralysed the stock market and investment in recent months may compound Malaysia’s economic problems.

Sumber dari New Sabah Times.

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