Investment Banking

When you deposit your money in the bank, you can keep your money safe against theft, and other natural calamities like flood, hurricane or accidents like fire. You can also have a peace of mind, that your money is safe in case you are having a large savings or emergency fund, which you just can't keep at home. You can also earn an interest annually for keeping your money in the bank.

Incremental working capital is the money needed to run the business on a day to day basis. It is usually represented as a percentage of the total business revenue.

The NPER() function.

I meet one of the partners of Empire Capital Group in Dallas, TX, David Goude and their firm specializes in non-market correlated investments and private offerings. Some of the investment vehicles he spoke about were main stream investments for institutional investors that I was not aware was being offered to the general public. I am planning on making an investment from my 401k and self directed IRA. They also have some private offerings that are very intriguing as well. You might think about giving Mr. Goude a call.

SPECIFIED INVESTMENTS

These are to be sterling investments of a maturity period of not more than 364

days, or those which could be for a longer period but where the Council has the

right to be repaid within 364 days if it wishes. These are low risk assets where

the possibility of loss of principal or investment income is considered negligible.

These include investments with:

(i) The UK Government (such as the Debt Management Office, UK Treasury

Bills or a Gilt with less than one year to maturity).

(ii Supranational bonds of less than one year's duration.

(iii) A local authority, parish council or community council.

(iv) An investment scheme that has been awarded a high credit rating by a

credit rating agency (although this definition is changing in the draft CLG

Investment Guidance to "High Credit Quality").

(v) A body that has been awarded a high credit rating by a credit rating agency

(such as a bank or building society).

For category (iv) this covers a money market fund rated by Standard and

Poor's, Moody's or Fitch rating agencies.

Taken from committeeadmin.lancaster.gov.uk

Overview of Investment Banking Fees and Issues

Companies considering using an investment banker for the first time often question the high fees and value of such services. However, it's not just the fee amount that should concern companies. Several common engagement practices often work against the best interests of the Company and its equity holders.

Typical Investment Fees and Approach

Investment banking fees often include three components: an upfront or monthly retainer, a cash fee paid upon closing and additional equity compensation. Most investment bankers charge fees that equate to between 3% and 10% of the total capital raised. The larger the capital raise the more lucrative the fees become even though it's the same amount of work involved. For this fee the banker will typically develop a business plan, solicit investors, receive proposals (called 'term sheets'), negotiate proposals and help the company close the transaction.

Common Conflicts

In practically every investment banking engagement, there are two contractual approaches which almost always create conflicts of interest between the investment banker and company seeking to raise capital.

Fees vary based on the type of capital raised - Advisors that raise capital on a percentage basis usually charge two to three times the percentage fee to raise equity capital versus debt capital. Most bankers charge a fee of 1-3% for debt and between 5% to 10% for equity capital raised. This difference in percentages creates a strong incentive for an advisor to recommend or guide a client towards equity sources over debt sources. In addition to doubling or tripling the investment banking fee paid by the company, it can needlessly dilute the owners' equity.

Additional Equity Compensation - In addition to significant cash fees, most investment banking fees include equity compensation. Most equity compensation is paid in the form of warrants. Warrants are generally a number of shares equal to 5% to 10% of the number of shares sold by the investment banker. The warrants usually have an exercise price equal to 100% of the price of the securities sold in the deal. Under this approach, the banker actually has more upside from the value of his warrants the lower the valuation of the business is at the time of the capital raise. In short, bankers have an incentive to complete a deal but necessarily at the terms that are best for the company.

Other things to avoid

Over the years, we have heard all sorts of schemes for raising capital. Smaller companies are particularly vulnerable. The best way to guard against poor advice is to use common sense. Avoid overly complex schemes or approaches you don't understand. Also, be leery of 'one trick ponies' that only have expertise in one type area such as reverse mergers, ESOPs and even bankruptcies. Chances are their advice will always lead back to their specialty whether or not that's the best approach for your company.

The ideal approach

All bankers say they have good intentions and integrity. The key is to make your contractual agreement match their good intentions. The easiest way to do that is to eliminate all variable based pricing and equity compensation and pay bankers an attractive all-cash fee based on a successful funding. Should your investment banker become an on-going advisor, equity compensation may make sense for both parties but you can best determine that after the initial engagement is complete.

Ultimately, investment banking fees should be based on a successful completion of the project, as is the case with any other project. The best advisors strive to deliver not just one financing proposal but a variety of financing options that gives a client an opportunity to pick their best option. When bankers deliver a variety of financing alternatives for a reasonable total cost, clients perceive the value delivered to be far greater than the fees paid.

Overview of Investment Banking Fees and Issues

Companies considering using an investment banker for the first time often question the high fees and value of such services. However, it's not just the fee amount that should concern companies. Several common engagement practices often work against the best interests of the Company and its equity holders.

Typical Investment Fees and Approach

Investment banking fees often include three components: an upfront or monthly retainer, a cash fee paid upon closing and additional equity compensation. Most investment bankers charge fees that equate to between 3% and 10% of the total capital raised. The larger the capital raise the more lucrative the fees become even though it's the same amount of work involved. For this fee the banker will typically develop a business plan, solicit investors, receive proposals (called 'term sheets'), negotiate proposals and help the company close the transaction.

Common Conflicts

In practically every investment banking engagement, there are two contractual approaches which almost always create conflicts of interest between the investment banker and company seeking to raise capital.

Fees vary based on the type of capital raised - Advisors that raise capital on a percentage basis usually charge two to three times the percentage fee to raise equity capital versus debt capital. Most bankers charge a fee of 1-3% for debt and between 5% to 10% for equity capital raised. This difference in percentages creates a strong incentive for an advisor to recommend or guide a client towards equity sources over debt sources. In addition to doubling or tripling the investment banking fee paid by the company, it can needlessly dilute the owners' equity.

Additional Equity Compensation - In addition to significant cash fees, most investment banking fees include equity compensation. Most equity compensation is paid in the form of warrants. Warrants are generally a number of shares equal to 5% to 10% of the number of shares sold by the investment banker. The warrants usually have an exercise price equal to 100% of the price of the securities sold in the deal. Under this approach, the banker actually has more upside from the value of his warrants the lower the valuation of the business is at the time of the capital raise. In short, bankers have an incentive to complete a deal but necessarily at the terms that are best for the company.

Other things to avoid

Over the years, we have heard all sorts of schemes for raising capital. Smaller companies are particularly vulnerable. The best way to guard against poor advice is to use common sense. Avoid overly complex schemes or approaches you don't understand. Also, be leery of 'one trick ponies' that only have expertise in one type area such as reverse mergers, ESOPs and even bankruptcies. Chances are their advice will always lead back to their specialty whether or not that's the best approach for your company.

The ideal approach

All bankers say they have good intentions and integrity. The key is to make your contractual agreement match their good intentions. The easiest way to do that is to eliminate all variable based pricing and equity compensation and pay bankers an attractive all-cash fee based on a successful funding. Should your investment banker become an on-going advisor, equity compensation may make sense for both parties but you can best determine that after the initial engagement is complete.

Ultimately, investment banking fees should be based on a successful completion of the project, as is the case with any other project. The best advisors strive to deliver not just one financing proposal but a variety of financing options that gives a client an opportunity to pick their best option. When bankers deliver a variety of financing alternatives for a reasonable total cost, clients perceive the value delivered to be far greater than the fees paid.

Additional places to see examples of investment banking fees and the expected fees for a capital raise: www.lanternadvisors.com/investment_banking_fees.html

Did you get this in an email? There is a company called Value Point Networking and Security, but it's in India rather than Nigeria. This sounds like you got a message from a scammer.

Diversification enables the investor to reduce risk by spreading investments among different companies and types of investing.

Some investors will use their own money as capital to purchase investment property. Others will use hard money loans, which have high interest rates (hence their name). And yet others will use conventional loan methods.

It just depends on the amount you are looking to borrow as well as your financial situation.

If you are looking to purchase investment property, there are plenty of sites out there that offer access to listings.

- Banks, investment companies, insurance companies and credit unions - Households want desirable investments for their savings, yet the small size of most households makes direct investment difficult. They don't advertize to lend money to businesses and are not equipped to analyze the credit risk of borrowers - For these reasons, financial intermediaries have evolved to bring lenders and borrowers together. i.e. A bank raises funds by borrowing (taking deposits) and lending that money to other borrowers. The sprad between the interest rates paid to depositors and the rates charged to borrowers in the source of the bank's profit. In this way, lenders and borrowers do not need to contact each other directly.

beginning capital + net income - drawings= ending capital

Return

1) Given the CD investment: 20,000 2) Given the 15 months return of: 21,095.20 What formula can I use to find the APY ?? PG.

A CIM is a confidential information memorandum is a document that investment banks prepare with companies in a sell-side M&A process.

Returning On Investment .

Offshore banking as the name implies is to park your bankable assets out of the country of your domicile. The country of domicile is usually the country you pay taxes to it Government or staying there for a long period of time.

The purpose of offshore banking are usually to evade tax, for secrecy (hiding your money somewhere), for political stablility or for wealth management expertise.

1. Tax Evasion

Certain offshore banking center has not taxes on the fund invested. For example in Singapore, there is no tax on the investment return and interest earned from the deposits. Also if you earn an income out of your home country you need not bring it back and subject to local government taxes. You can simple park it offshore and remit back the money in parts as time goes by.

2. Secrecy

Offshore center like Singapore has banking secrecy laws to protect the information or particulars of the person banking there. No tax authority or Government officer can demand information on your account and yourself from the bank. Unless in extreme cases where a court order is given.

3. Political Stability

Many offshore banking clients stayed in country where the political situation is unstable from time to time, for example Pakistan, Sri Lanka, Nepal even Indonesian and Thailand. Therefore they would like to put part of their fortune in place like Singapore where you enjoy long term political stability and modern facility.

4. Wealth Management Services and Expertise

Many money is one thing, managing it is another area altogether. Financial cetner such as Singapore and Zurich has establish industry with many experience wealth managers (Private Bankers, Relationship Managers) who can advise you how to mulitply your wealth through various investment products offered by the banks in these offshore centers. The products offers range from FX, Bond, Stocks, structured notes to trustee services.

The number 1 banking center in Asia, is Singapore. For further details on how to operate an offshore account there you can contact : thomas_weecw@hotmail.

The following is a very simplified explanation of the Savings/Investment identity, ignoring imports, exports and government surpluses and deficits. It relies on equating two different ways of Gross Domestic Product: as Total Income and Total Spending. For a deeper explanation, search "Macroeconomics", "Gross Domestic Product" and "Supply and Demand for Loanable Funds".

Savings is just what people earn minus what they spend and what they pay in taxes. Lets call Savings (S), "what they earn" Income (Y), "what they spend" Consumption (C) and "what they pay in taxes" Taxes (T). So now:

S = Y - C - T (Equation 1)

Looking at the economy as a whole, the income of a nation (Y) is either spent by people (C), spent by government (G) or spent by businesses as investment (I). Now:

Y = C + G + I (Equation 2)

If we assume that the government doesn't spend more or less than it taxes, then G = T, or:

G - T = 0 (Equation 3)

Substituting the right side of Equation 2 into Equation 1, we have:

S = Y - C - T = (C + G + I) - C - T = I + (G - T) (Equation 4)

Finally, substituting the right side of Equation 3 into Equation 4, we have:

S = I + (G - T) = I + 0 = I.

Therefore, Savings = Investment.

the sales forecast or sales budget.

Mutual Funds

around 5 months

Call money is also refereed as inter bank. A short-term money market, which allows for large financial institutions, such as banks, mutual funds and corporations to borrow and lend money at inter bank rates. The loans in the call money market are very short, usually lasting no longer than a week and are often used to help banks meet reserve requirements. While known as an inter bank market, many of the players are not banks. Mutual funds, large corporations and insurance companies are able to participate in this market. Many countries, such as India, are beginning to push for a purification of the call money market, but adding regulations that allow only banks to participate.

what aryamass co. issues deventure bond.