Latest Posts by investmentsandequity-blog - Page 3

Creative people are humble and proud, they tend to be both extroverted and introverted, and they are both rebellious and conservative. How creative are you? Give this Fast Company article a read to find out: http://www.fastcompany.com/3016689/leadership-now/10-paradoxical-traits-of-creative-people

European Credit Manager Avoca Sells

The Europe's Avoca Capital Holdings is an employee owned investment management firm. They have recently announced that they will be selling to the American private equity firm KKR.

Avoca Capital Logo This sale should be a good deal for both companies, which should complement each other well. Fitch ratings claims that the transaction should not affect Avoca Capitals highest standard's asset manager rating. Fitch also claims there will be good synergy between the two companies. The combined assets of both firms is approximately $28 billion, of which $8 billion is under management by Avoca Capital. There may be some conflicts of interests between assets of the two firms but this should not create any major problems. Fitch believes that Avoca will grow supported by KKR's brand and distribution capability. In addition KKR will assist Avoca to meet new European risk retention regulations. These rules make operations more expensive for smaller firms who are unable to handle the burden. The operational transaction risk for the two companies is relatively low. Moving forward all Avoca staff will become KKR employees, however there will be no change in reporting lines or processes, systems or locations. Short term measures have been taken to retain senior Avoca staff through incentives. operational risk associated with transaction will be low. avoca staff will become kkr employees, but there will be no change in reporting lines processes, systems or locations on the short term. measures have been taken to incentivise the retention of senior staff.

This morning, leading digital telecommunications manufacturer Qualcomm Inc (NASDAQ:QCOM) is coming under some selling pressure. The stock is trading l…

This morning, leading digital telecommunications manufacturer Qualcomm Inc (NASDAQ:QCOM) is coming under some selling pressure. The stock is trading lower by 0.63 cents to $68.94 a share. Day traders can watch for intra-day support around the $68.51, and $68.00 levels. Both support levels can give the stock a small bounce during today’s trading session. Nicholas Santiago InTheMoneyStocks.com

TRADING STOCKS: Making Easy Money In Minutes

Kenya’s drugs regulatory authority the Pharmacy and Poisons Board of Kenya (PPB) and TradeMark East Africa (TMEA) have launched a new e-portal that will enable the pharmaceutical industry’s stakeholders to access trade and drug retention services online.

The system will enable importers of medical drugs to make their orders online and make electronic payments as well. The government expects the new system to boost the pharmaceutical sector by easing access to services provided.

Lazard Earnings Rise 75%

Kenneth M. Jacobs, Lazard CEO

Earnings have risen 75% on deals and cost cutting. The firm reported it earned $62 million in adjusted profit for the quarter. This amounts to 46 cents a share. They reported a 10% rise in operational revenue to $489 million. 

Dealbook also reported Lazard had increased in profits last quarter as well. 

NEW YORK Oct 13 (Reuters) - A loss at JPMorgan Chase & Co’s private equity group signals a tough quarter for buyout shops, as global economic uncertainty and market declines hit the value of their investments.JPMorgan said on Thursday its private equity segment swung to a loss of $347 million...

THE MYTH THAT “MINORITIES” GET MORE SCHOLARSHIPS DEBUNKED SINCE 5EVER

This is something that comes up time and time again like clockwork.Here’s a”just the facts” post.

Racists LOVE this tired old saw. The problem is that it’s complete and utter bullshit, it always HAS been, and IT IS THE OPPOSITE OF REALITY.

Caucasian students receive more than three-quarters (76%) of all institutional merit-based scholarship and grant funding, even though they represent less than two-thirds (62%) of the student population. Caucasian students are 40% more likely to win private scholarships than minority students. These statistics demonstrate that, as a whole, private sector scholarship programs tend to perpetuate historical inequities in the distribution of scholarships according to race.

-The Distribution of Grants and Scholarships by Race

BUT WHAT ABOUT FINANCIAL NEED BASED SCHOLARSHIPS????

OH HEY IS THERE ANOTHER SOURCE FOR THIS?

It debunks the race myth, which claims that minority students receive more than their fair share of scholarships. The reality is that minority students are less likely to win private scholarships or receive merit-based institutional grants than Caucasian students. Among undergraduate students enrolled full-time/full-year in Bachelor’s degree programs at four-year colleges and universities, minority students represent about a third of applicants but slightly more than a quarter of private scholarship recipients. Caucasian students receive more than three-quarters (76%) of all institutional merit-based scholarship and grant funding, even though they represent less than two-thirds (62%) of the student population. Caucasian students are 40% more likely to win private scholarships than minority students.

STOP PARROTING RACIST MYTHS INSTEAD OF ACTUALLY FACT CHECKING

Scholarships Go Disproportionately To White Students

White Students More Likely To Win Scholarships

White students get Minority Scholarships

Texas State Offers Scholarship EXCLUSIVELY FOR WHITE PEOPLE

One Million dollars’ Worth of White “Ethnic” Scholarships Don’t Trouble Student Group Protesting “Minority Scholarships

B-b-but what about the “Evils” Of Affirmative Action in Higher Education??? Oh yeah, WHITE WOMEN ARE THE #1 BENEFICIARIES OF AFFIRMATIVE ACTION.

So stop saying this shit. you’re just plain fucking WRONG. Also, racist.

Blue sunset by MiljanMladenovic

I owe JP MorganChase $500,000 on my mortgage, but I decided, “You know what? Fuck this place! I’m just going to sell it for $50,000 and walk away with the money”, and under this new system, the guy who buys it doesn’t owe you guys shit!

Why is JP Morgan responsible for the liabilities of a company that they bought?

3 early investors in Twitter will make 2x their entire FUND on Twitter IPO

These are some insane numbers to think about: (nearly) all 3 of the firms who invested in Twitter early on will make 2x their entire FUND in returns on the Twitter IPO. Talk about a bet paying off big time. Comment on this post and others you love. Finally, comments on Tumblr posts! Learn how. Posted by Patrick Hannigan.

Green Portfolio Surpasses Expectations.

Green Investor Alert: KKR's (NYSE:KKR) Green Portfolio Program Surpasses $900 Million in Financial Impact While Improving Environmental Performance of Private Equity Portfolio Companies

About KKR

Founded in 1976 and led by Henry Kravis and George Roberts, KKR is a leading global investment firm with $83.5 billion in assets under management as of June 30, 2013. With offices around the world, KKR manages assets through a variety of investment funds and accounts covering multiple asset classes. KKR seeks to create value by bringing operational expertise to its portfolio companies and through active oversight and monitoring of its investments. KKR complements its investment expertise and strengthens interactions with fund investors through its client relationships and capital markets platform. KKR & Co. L.P. is publicly traded on the New York Stock Exchange (NYSE:KKR), and "KKR," as used in this release, includes its subsidiaries, their managed investment funds and accounts, and/or their affiliated investment vehicles, as appropriate. For additional information, please visit KKR's website at www.kkr.com

Earnings Equals Opportunities, Ford, 3M, & More In Play

If there was any doubt that the US housing “recovery” is anything but the latest speculative play by deep-pocketed (namely those who already have access to cheap funding) investors, who are now engaged in rotating cash gains out of capital markets and into real estate, on their way hoping to flip newly-acquired properties to other wealthy investors, then the most recent, September, RealtyTrac report will put that to rest. To wit: Institutional investors (purchasing 10 or more properties in the last 12 months) accounted for 14 percent of all sales in September, up from 9 percent in August and also 9 percent in September 2012. September had the highest percentage of institutional investor purchases of any month since RealtyTrac began tracking in January 2011….All-cash purchases nationwide represented 49 percent of all residential sales in September, up from a revised 40 percent in August and up from 30 percent in September 2012. In other words, institutional purchases are now at all time highs, with all-cash accounting for half of all transactions!

Continued

Currently, Bajaj’s Boxer brand “commands a market share of 90% in Uganda, 40% in Nigeria, 35% in Angola and 30% in Kenya”, the statement said adding that “one of the main success factors, apart from the quality of the motorbike has been the company’s ability to cater to the service and spare parts requirements of its customers in these countries”.

Bajaj Auto also announced it has teamed up with SOMOCO, a locally-owned Indian company in Ghana and a subsidiary of the Mohinani conglomerate, to distribute its products in its 51st global market.

"Ghana’s motor-bike market is estimated to be about 100,000 units per annum," Bajaj Auto said adding that "demand has grown rapidly in the last few years thanks to a growing middle class. The company aims to be the market leader in three to five years time".

Bajaj Auto said the company would initially target the utility and commuter segment through its immensely successful motorbike brand which comes in two variants - the 100cc version and the powerful 150cc version.

Philadelphia sells PGW

Philadelphia Gas Works is being sold as advised by Lazard Ltd.  The administration of Philadelphia Mayor Nuttter continues to build a case for the sale of the Philadelphia Gas works. They released a cost benefit analysis showing how the sale would be good for the taxpayer. This new report was completed by financial advisory firm Lazard. The report estimates that the sale of PGW will be for between $1.45 billion and $1.9 billion. This sale will yield a net profit for the city of between $422 million and $872 million after PGW's debts are paid. Budget Director Rebecca Rhynhart claims the report is a conservative estimate of the value of PGW. She bases this on the opportunities that exist for new business opportunities and rate increases in the future. Mayor Nutter would like the money from this sale to go towards the city's pension system which is currently underfunded. Critics of this sale point out that the sale of PGW will lose the city $18 million in a year. Rhynhart claims that this will be made up for by additional room in the budget from the now funded pension funds.

http://aclassasset.blogspot.com/2013/10/philadelphia-sells-philadelphia-gas.html

Today, the stock market is higher once again but certain stocks have tumbled dramatically during market hours. In many cases, these drops were on epic…

Today, the stock market is higher once again but certain stocks have tumbled dramatically during market hours. In many cases, these drops were on epic intra-day volume and so fast they resembled the flash crash. Names like Netflix, Inc. (NASDAQ:NFLX), Facebook Inc (NASDAQ:FB) and LinkedIn Corp(NYSE:LNKD) are just some of these companies that experienced a massive mid morning collapse. While they have all bounced slightly, there is a bigger concern that is growing. These flash crash type moves in stocks show us that a crash like 1987 is possible. The markets are up on hot air (aka the Federal Reserve money printing). Today for instance, Wall Street got the Non Farm Payrolls number. The number of created jobs was mediocre at best, if not weak. In addition, this number was calculated based on the numbers prior to the government shutdown. So the next Jobs number should be even weaker. The markets rallied higher because this again dictates that the Federal Reserve will continue printing money for far longer than originally expected. The big concern to the intelligent investor must be how the market is continually moving higher on pure Federal Reserve intervention. Imagine if this market is shocked by something dramatically negative. A huge 1987 type crash could easily follow. A 20% drop in the stock market would basically just wipe out the gains from 2013. That is not out of this realm of possibility. Lastly, I wanted to mention a few interesting dates in history that surround this mid-October period. Just three days ago, on October 19th, 1987 the market crashed. Tomorrow, on October 23rd, 1929, the stock market crashed. This period in history has been bumpy to say the least and with the mini flash crashes in stocks lately, with the market at all time highs, I would be very careful. Gareth Soloway InTheMoneyStocks.com

Apple reveals iPad Air, new Macs and new OS X

(Photo: Justin Sullivan / Getty Images)

Apple CEO Tim Cook took the stage here in San Francisco to talk about “a lot”: New iPads, new Macs and the latest version of OS X — plus a lot of premium apps that are now free.

Live coverage

Netflix: Bearish Engulfing or Bullish Test of Support?

Is today’s move in Netflix bullish or bearish?

I can look at this chart and see:

1. a potential bearish engulfing candle (if today closes lower than yesterday’s low)

or 2. a test of the break out which can be bought and the support line as a stop to define risk.

$NFLX reverses course after big gain following earnings. Reed Hastings during earnings videocast: ““Every time I read a story about Netflix is the highest appreciating stock in the S&P 500, it worries me because that was the exact headline that we used to see in 2003.” http://yhoo.it/1deOhGo

Google stock hits $1000

Last week Google saw its stock price climb above the $1000 mark. The shares jumped on Friday and saw a 13% raise to a high of $1008.18. Google now holds a market value of $40 billion and is worth more than Microsoft and Berkshire Hathaway. It is ranked 3rd in the United States for market value, behind Exxon Mobil and Apple. Investors have been gaining confidence in the company after continued dominance of mobile an video advertising business compared to competitors such as Facebook and Yahoo. Google saw advertising rise 26% this past year and expectations are that advertising with Google with continue to rise moving forward. Besides the search engine, Google is also known for their Chrome browser, maps and their Nexus smart devices. In addition Google owns the Android ecosystem and they are beginning to see a snowballing effect here as growth of apps and users generate more profit. Google is also seeing revenue growth outside of the United States and the UK, in markets such as South Korea and Japan.

http://aclassasset.blogspot.com/2013/10/google-climbed-to-1000.html

Cost of Shutdown?

Furloughed federal workers protest outside the U.S. Capitol $24 billion dollars is the answer. The 16 day long government shutdown over financing a healthcare reform for America's poorest citizens, that almost crashed the economy, cost the American Taxpayer $24 billion dollars. This was published in an estimate by Standard and Poor's. Another way to look at this is, it cost $1.5 billion dollars a day. The shutdown had a large affect on the economy, and it was estimated that fourth quarter GDP growth  will be reduced from 3% to 2.5%. A breakdown of losses: $3.1 billion was lost to government services according to research firm IHS. $152 million was lost each day to travel spending by the U.S. Travel Association. $76 million per day was lost because the National Parks were closed. $216 million per day was lost in contractor wages in the D.C. area alone. The shutdown affected hundreds of thousands of federal workers. It affected small businesses and stalled many business loans. It put a halt on tourism in many areas and affected military families who rely on child services. Many federal workers will receive furloughed pay, but contractors will not. Financial predictions expect this to affect spending during the holidays. It is still amazing that our politicians would be so irresponsible to let the U.S. government shutdown for over two weeks. The future does not look promising either. The decision made last week to reopen the government is not a solution to the problem but merely a delay until January when the fight over spending and the debt ceiling will come down to another deadline. Hopefully our leaders in Washington can figure this out before then, as usual I am skeptical.

http://aclassasset.blogspot.com/2013/10/how-much-did-that-shutdown-actually-cost.html

HSBC lawsuits and federal security law

HSBC has to pay 2.46 billion after a class action lawsuit claiming it violated federal securities laws.Lawyers for the plaintiff said this lawsuit included $1.48 billion in damager and nearly $1 billion in prejudgement interest. This is the biggest settlement ever following a securities fraud class action trial. HSBC formerly Household International is Europe's biggest bank by market value. In the lawsuit there were three plaintiffs represented by James Glickenhaus of Glickenhaus & Co. My Glickenhaus said that the judgment, "shows that the fraud committed by Household International and the individual defendant officers will not go unpunished, and we look forward to having the judgment affirmed on appeal." The lawsuit claimed that the company fraudulently misled investors on numerous cases including, predatory lending practices, quality of loans, and its financial accounting. HSBC's U.S. shares dropped $0.08 on Thursday and are up less than 2% for the year.

http://aclassasset.blogspot.com/2013/10/hsbc-lawsuits-and-federal-security-law.html

KKR's continued asian adventure, this time India.

We have been following KKR's on going investment crusade in Asia. As part of their $6 billion dollar asian fund, the New York based firm has been investing all over the region. There is speculation that much of KKR's foreign investments are guided by its Global Institute. 

Some of the countries they have so far invested in this year include Indonesia, Malaysia, Vietnam, China and Japan. 

Now the firm is likely to announce in the coming weeks a major investment into India's Gland Pharmaceuticals. This deal would be worth around $150 million and would be the second sizable India investment in six months. In April KKR bought a controlling stake in India's Alliance Tire Group from Warburg Pincus LLC for what sources estimate to be around $500 million. 

Gland Pharma was started in 1978 and makes active pharmaceutical ingredients and formulations for a number of different injections. 

Investments have been falling in India. Compared to this time last year the amount of private equity investments has dropped 67%.