The Pope is Coming!

The Pope is coming to the Philippines on January 15-19. You might be thinking what the Pope’s visit to the Philippines has to do with investment in finance. Nothing really, except for the fact that it will be holiday during the Pope’s visit. Trading, banking and business activities will be limited.

 

The Pope’s Visit. Original image from papalvisit.ph

 

FinanceMD will be posting Pope related investment information during the Papal visit.

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Investment Sayings and Quotes — Explained

For my post, I have to qualify the investment “quotes” as sayings since quotes in investments are more likely to refer to prices.

Many people like to read quotes/sayings since these are inspiring, enlightening, motivating ideas which are condensed into something short, witty, enigmatic and catchy. Sometimes though, the quotes may be too enigmatic that interpretations may be necessary. Here is what this post (which will be a part of a series) is for.

 

Investment Quote:

“In investing, what is comfortable is rarely profitable.” – Robert Arnott

 

What the quote probably means:

In investing, there is such a thing as the risk-return tradeoff. The higher the risk, the higher the potential return. Taking risks takes someone away from his comfort zone. An investor taking low risks will less likely earn big.

 

Who’s Fracking What?

Wonder why gas prices are low nowadays?

It seems Fracking has a lot to do with this phenomenon.

Fracking, or hydraulic fracturing, is the process of extracting natural gas from shale rock layers deep within the earth. Read more about Fracking at  http://www.what-is-fracking.com/.

 

This is how they Frack. Image from www.biggerpieforum.org

The Fracking revolution in the United States has been cited as the cause of lower crude oil prices in 2014. See the graphs from the Motley Fool website.

However, in 2015, these low prices may eventually put pressures on Fracking as firms struggle with lower profitability. It seems that Fracking is becoming a victim of its own success.

 

Health and Finance – Financial Fitness Run 2015

I describe myself as a doctor who dabbles in investments.

This activity combines my two passions.

Financial Fitness Run on February 22, 2015

 

If you’re interested, all the information you need is in the image. I’m thinking about joining myself.

Read more about it here.

Reality or Myth? – An Investment Banker’s Lifestyle

Do you think an investment banker lives like this?

I found this on Instagram. I assume that an investment banker will be too busy to take pictures of his possessions and post them, but not for this guy who projects an image of one. Honestly, I think he uses too many hashtags.

The Investment Banker’s Lifestyle?

 

If you want to see more of his version of the investment banker’s lifestyle. Check out his Instagram page.

Investment Trend for 2015: Strong US Dollar

In 2014, the dollar gained on the Euro, Pound and Yen. In 2015, many analysts expect the dollar to grow stronger.

Is 2015 the year of an even stronger US Dollar?

Barron’s enumerated the ways in which a strong dollar impacts the global economy.

Will an extra second disrupt banking and trading systems ?

Because the earth rotation is slightly slowing, there is a need to add an extra second to sync clocks to the earth’s rotation. On June 30, a “leap second” will be added by the International Earth Rotation Service in Paris.

For us people, that action may be unnoticeable, but not so for computers. When a leap second was last added in 2012, Mozilla, LinkedIn, Reddit and other websites crashed. Will adding an extra second affect banking and trading platforms that are becoming increasingly dependent on the computers and the internet?

According to a report in the TelegraphUS delegates at the conference in Geneva in 2012, opposed adding leap seconds since this action may disrupt timed money transactions, among other things. However, experts believe that this is a better option than adding leap minutes in the future to catch up. The Earth’s rotation may also slightly speed up, so removing a second is also a possibility.