World Buying Stock

Debt securities or the more commonly known as the bond is one of the investment instruments that are also traded in the secondary market Indonesia Stock Exchange (IDX).

Although it does not have the prestige such as product stocks, but bonds have interest in the product and its place in world capital markets.

In fact, if I may say, still a few who truly understand the mechanism of bond transactions on the trading floor products. When in fact, the product of bonds is one investment that can provide huge profits with minimum risk level.

In a column this portfolio, detikFinance tried to introduce a simple description of this product.

Bonds is one type of fixed income securities categorized. Bonds are debt instruments that contain an agreement or contract willingness of the borrower (issuer / issuer) to make regular payments to the lender (investor) in a certain period.

Of course, the entire principal amount will be refunded at the end of the period of the agreement. Well, the interesting thing is, these bonds can be traded and transferable during the period of repayment period.

Characteristics of bonds divided into four categories, namely the bond issuer, priority, coupon rate of interest and redemption options.

In terms of the issuer, bonds are classified into two types ie Government Bonds and Corporate Bonds. Both have a different characteristic.

Government bonds typically have a lower interest coupon rate which would give yield to maturity (YTM) is lower as well. However, the level of risk may be said almost nothing. Therefore, these bonds are fully guaranteed by the government, so the unlikely event of default.

Corporate bonds usually provide a level of higher interest coupon which would provide a higher YTM anyway. But the level of risk is higher, because the private companies always have the possibility of default. Therefore, corporate bonds are usually accompanied by attractive features that are commonly known as the sweetener (sweetening).

In terms of priority, the bonds are divided into two types of bonds senior and junior bonds (subordinated bonds / subdebt). In government bonds this classification does not exist.

The difference between the two types of bonds is the priority when there is a condition of default (default). If a corporation’s default, the lender’s senior bonds will be prioritized for payment.

While the junior bonds get second place after the payment to holders of senior bonds

is completed. Therefore, the coupon rate offered at the junior bonds are usually higher than senior bonds, because the assumed level of risk is greater.

From the side of the coupon interest rate, in general there are three types of coupons are valid in Indonesia is a fixed interest coupon, coupon and zero coupon interest floater.

Provide a fixed interest coupon rate of return (return) which remained since the beginning of the bonds issued until maturity. So that the calculation of interest to be paid and the bond issuer for bond investors YTM calculation becomes easier.

Coupon interest floaters provide returns that vary according to the reference interest rate. Typically, the benchmark interest rate on SBI (Bank Indonesia Certificate).

Zero coupon bonds do not give a coupon interest payable, but rather the provision of discounts on the initial bond offering. For example, company A is issuing bonds worth Rp 1 billion, then the price to be paid by investors, you name it, amounting to Rp 900 million.

Later at maturity, the issuer will pay the full amount of Rp 1 billion. So investors will get a coupon payment in advance.

In terms of redemption options, generally consisting of call options, put options and conversion options. Call option (call option) is a right held issuer to buy back (sort of buy-back) at a certain period before maturity bonds.

Conversely, a put option (put option) is a right held by bond investors to sell back its bonds to the issuer of the bonds. However, the put option is rarely granted, because it is not profitable for the issuer.

But what happens in the market is not as simple as that. According to Handy, in addition to these factors, there are other factors that make investors provide different offerings in the secondary market.

“Determinants of bond prices is the biggest factor is interest rates,” he explained.

Continuing the illustration above, if when he bought bonds earlier in the second year, where interest rates have decreased to as low as 6%, then the movement of bond prices in the secondary market will depend largely on expectations of interest rate trends.

Illustration like this, if investors are speculating the future trend of interest rates will go down, call it to the level of 5%, then he will put up bidding to buy at prices above the price of Par.

“In this way, he will have a YTM of getting bigger in the future in line with the downward trend in interest rates,” said Handy.

Conversely, if investors are projecting the future interest rates will go up, call it to the level of 8%, then the consequences will be receiving the projected yield will decrease.

“Therefore, to still get a big yield, he would put the price bid under Par,” said Handy.

Handy explained that the simple formula as follows:

If SBI is projected to decline, YTM will decrease, then prices will tend to rise.
If BI is projected to rise, YTM will go up, then prices will tend to fall.

Therefore, further Handy, to play bonds in the secondary market, investors should pay attention to the calculation of projected trends in interest rates. Therefore, the trend in interest rates greatly affect the movement of bond prices in the secondary market.

“Factors to be considered is the trend of inflation in the future. Therefore, the trend of inflation go hand in hand with the trend of interest rates (SBI). If inflation rises, the SBI will go up also, conversely, if inflation goes down, then SBI will come down anyway,” he said .

Well, talk about the macro economic conditions in the future Indonesia, said the latest projections into the second half of 2010 will be a global economic recovery. This recovery will certainly include Indonesia in it.

“Economic recovery is usually accompanied by rising inflation which of course will cause an increase in interest rates higher,” said Handy.

By simple logic, it can be assumed, in the future will happen, which means higher interest rates would make bonds YTM products has increased as well.

Then the consequences will be a decline in bond prices in the secondary market ahead of the second half of 2010.

“The decline in prices and the adjustment as it already started to happen from now. Investors seem to have anticipated the projected rise in interest rates early on. For investors who speculate in interest rates will rise right in the second semester, it would be better to buy now because prices are still high, thus received YTM will be greater,

Investing for the community should become a lifestyle trend. No longer limited to just think ‘saving’ and put the funds on deposit that supposedly most secure investment instrument. Begin turning to the stock. Why?

Simple indicator is the increase in the Composite Stock Price Index (CSPI), which reached 46.13% to a level of 3703.512 during 2010, and is predicted to continue in this year.

According to research results of PT Bahana TCW Investment Management, the strategy of investing in 2011 is to minimize the allocation of liquidity, either cash or deposits. The problem of excess liquidity to keep interest rates remain low, so the acquisition can not cover inflation.

Let’s look at interest rate movements on the type of investment deposits. Since 2005, the government cut fuel subsidies and the allocation of the global crisis that terrible incident in 2008, causing deposit rates continued to decline. Until the acquisition of interest on the bonds can not fight inflation, mainly of food commodities and education.

Indeed during the 1998 crisis, the government became fully ensure public funds are deposited in the deposit. So forget the notion that the deposits as a profitable and safe investment.

Trimming the fuel subsidy is causing inflation and cause interest rates rise. But it turns out the positive impact, especially foreign investor confidence, actually increased.

Furthermore, not only foreigners who buy government bonds, but also domestic banks. Proceeds from sale of state bonds has raised additional funds of banking, even exceeding the purposes for which credit has actually been increasing.

As a result, excess funds are collected in Bank Indonesia Certificates (SBI), and ultimately be borne by the central bank.

Bank Indonesia (BI) instrument makes interest rates as inflation control through the absorption of liquidity. If the rupiah liquidity is absorbed, there can be reinforcement that reduces the risk of inflation. During the height of bank money in SBI, the bank is relatively not so needy of public funds as reflected in relatively low deposit rates.

An alternative solution is to stock investing. Shares of commodity sector remains one of the main drivers of investment in the stock market. But the expectation of rising stocks will not last year.

“We think the expectations are the benefits to follow the historical average of 20%, according to the long term nominal GDP growth of Indonesia,” explained Director of Research and Investor Relations Investments on the type of bonds or corporate bonds also worth ogled. Investors can choose a corporate bond with a good credit rating, rather than government bonds. Treasury bond yield mapping for the tenor of 10 years, in late 2010 at 7.6% level. This figure is lower than the average 10-year inflation of 8.3%.

“Indeed, inflation in 2011 could be less than 8.3%, so the yield on Treasury bonds are very attractive. But investors should be alert to secure itself when inflation soared,” he said.

Other investment alternatives can be done in non-listed companies through private equity fund. Especially when the price of stocks and bonds are considered expensive, while the low-interest bonds awake.

The advantage to invest in private equity funds is the dividend. In addition, there is potential for greater profit when released into the market the company’s business capital as a public company.

Equipping children with a credit card there is no harm, even from one side to give a positive thing because it can train the child to manage finances. But there are some things which should be noted that parents will equip her credit card.

Of course everyone has different views about the provision of credit card supplementation in children aged adolescents.

“Giving credit cards to the training of children is a responsibility of trust and remarkable, both for parents and for children themselves,” said Maria Sukrisman, Vice President, Card & Strategic Marcom Head, Citibank NA Indonesia, Friday (21/05/2010).

He explained that credit card issuers in Indonesia in general allow supplementation for children who already had identification such as ID cards, namely the age of 17 years.

The majority of parents agree that children should learn independently. Early on they were taught to save and create a budget and, if necessary, be able to earn their own income. One way that can be taken in teaching children how to manage finances is to provide a credit card.

Enormous advantages of credit cards is to avoid the risk of carrying too much cash.

“Through the credit card, you also can control spending and your child’s ability to manage credit. You can see the transactions that they do through monthly bills, so you also can see the habits of children and thereby know what problems may arise in the future , “explains Maria.

Based on this information, he added, parents can discuss with children about ways in the proper use of credit cards, before they have it themselves later on when to have their own income.

Here are some tips from Citibank for parents who give credit cards to the child:

Teach children to use credit cards wisely

You should teach and give examples of the use of credit cards with either the child. If you do not have good habits, most likely your children will follow the habit. Reiterate that the credit card is a non-cash means of payment, rather than facilities for the debt.

Convey that the credit card is a Privilege

The first time you have a credit card, tell them that this card is a privilege that you give to him and therefore they should be fully responsible in using it. Tell also that you will constantly monitor the transactions made by the child.

Review and discuss the bill every month

When you receive a monthly credit card bill, sit down together and examine every expenditure made by your child. If you feel there are things that are unnecessary or inappropriate, straight talk and solve it with your son or daughter. Through the monthly bill, you can also teach children about the importance of interest and pay off their bills on time.

Have a clear payment plan

One important thing is to be discussed with the child how he would pay these bills. If they do not work, then you can impose a cut of the money monthly. Teach that they can only do the expenditure of the amount of money they have. If not, then they will not have the ability to manage credit cards well. If the kids buy something at great expense, you can just charge interest when he returned the money to you.

Specify the limit that can be used child

Parents should make a deal with a child on the limited use of credit cards. With this limit, both parties must be consistent in terms of this agreement has been made. Make sure you only give one credit card to the child.

If planning to send their children abroad, make a credit card as a payment facility that allows

Credit cards are very commonly used in foreign countries, so as to pay tuition, buy books, rent dormitory space and other needs can be made by credit card.

For children, she will feel secure that the parents in the country will meet the cost of education needed. As for parents, although far in the eyes of children, credit card bills can be a role model activity and spending habits of their children.

So, when is the right time for parents to give credit card facilities to their children?
“There is no absolute age limit in this case. Parents should be able to view and understanding of the needs of adolescents for a credit card. If the child is in need and understand the credit card function properly, then you can provide these facilities,” explains Maria.

Selecting Media for Business Internet Payments

In conducting business transactions on the internet, there are several payment media you need to use if you are selling online or selling products online services. I will for the selection of payment media for your internet business into two, for Indonesia market and to overseas markets. Payment media that can be used for both the market is different because it deals with financial transactions can be done and the habits of people in making payment.

=> Choose Payment for Internet Business Media’s target market in Indonesia

Primary payment media that you should use the bank transfer. You can trade sell your products and services using a bank transfer payment media (ATM), internet banking, mobile banking as well as buyers deposit cash into your bank account. And the advice I have 2 bank accounts that need to be prepared the BCA bank account and one bank account Mandiri.

BCA Bank Account

BCA is a large bank in Indonesia that has the most ATMs and most widely used by people. So if you sell your products or services on the Internet, then you need to have a bank account payee BCA as a tool of your transaction.

Bank Account

The next one is Bank Mandiri. Bank Mandiri is a state bank that has a great asset and the present is always growing to compete with the BCA in terms of number of bank branches are also ATMs. You need to have a bank account because Bank Mandiri Mandiri was incorporated in Shared ATM networks.

In payments from prospective buyers, there are some which may be spread across regions or cities in Indonesia, which may not have the BCA bank account, but have accounts at other banks such as Bank BNI, Bank Permata and others. And for buyers who do not have a bank account BCA, he could make transfer payments to the account of Bank Mandiri as it includes shared ATM network, while the BCA does not include this shared ATM network.

By having this account both BCA and Mandiri, the payment transaction, you can walk. And should you have 2 accounts is due not to the difficulty in the payment to buy your products is the bottleneck and ultimately make the transaction were not so, it may be difficult due to the transfer because it does not meet or remote location of the ATM BCA or the buyer does not have a bank account BCA, but he had an account another bank and he could not transfer from other bank ATM to the BCA bank account and become null and void because they can not afford the transfer and the desire is gone.

Additional alternative is PayPal

Paypal is an online payment media from abroad. And for the market in Indonesia, you can add paypal as a medium to receive an additional online payment. Because when people already have a paypal account and no funds in Paypal he can use paypal to pay into your Paypal account. >> You can open a Paypal account at the following link and guidance in this book, you buy at the bookstore or contact the publishernya.

Internet media without restriction area, then your website to display product offerings can be viewed and you can read by people outside of Indonesia and if your offer attractive and your product is the product you are looking for and needed by them, then they can buy your product and make orders on your website. However, problems arising then is how you can receive payment for the products that you would sell if there are buyers from abroad and order your products on the website? The solution today is PayPal.

PayPal is a tool for transacting online that can accept payments from credit cards and PayPal account transfers from one another, and the good news had reached Indonesia PayPal. People Indonesia can now use PayPal in full-featured. You can accept credit card payments from your customer for every sale of products on your website, you can receive or make payments to other PayPal account, you can receive payments from the sale of your product on ebay.com, or you can ask for the delivery of money from colleagues your business. In short, PayPal is your online account to trade and receive money online. And the money is collected later in the PayPal account you can melt into your bank account throughout Indonesia within 5-7 working days. So you get a dollar from the sale of a product or service and will be converted into dollars, so you receive the money in your bank account is in rupiah.

In opening an account on PayPal.com, PayPal provides three types of accounts you can choose according to your needs are personal accounts, premier accounts and business accounts. Personal accounts are used for personal you intend to use PayPal for online shopping without any intention to sell products online, while for Premier and Business accounts are used for those who wish to use PayPal as a payment on your website in selling your products and services on the website . Premier and Business account serves a similar function, but with the addition of multi-user access is a PayPal account can be accessed by more than one user when you select a business account. Business Account earmarked for the company, so you open a PayPal account in the name of the company while the premiere of using personal names. To get started you simply open a premier account and you can upgrade later.

in today’s world with the internet media is running a business becomes increasingly globalized. If you typically market their products or services you are offline you normally do in your place of business in the form of a store or through your network marketing business, now you can sell your products or services on the internet using a website that directly boooom …, your market becomes more widespread, You can reach the entire market Indonesia market directly or greater to markets around the world. Stay you decide, you want the focus to reach the market place.
business-internet

You can access the internet anywhere

Difference when you sell offline to online selling is when you sell offline only, then the prospective buyer you get from the people who come to your store, but by selling online then you can reach people who have Internet access wherever they are an open your website. You open up new markets instantly. Because that’s how if you are now starting to sell to markets around the world?

The bigger the market the better course and the difference between market your products to the Indonesian market only or to the market around the world are distinguished only by how you send your product later. Goods are shipped the same, only the shipping costs are different, to go abroad you can wear a more expensive shipping costs to buyers.

As a beginning to start it, surely you must have a product or service that can be sold on the internet, then create a website store either online or with a simple sales website. And on the website, you can display products or services you offer with the data as much detail as possible including photos and specifications of products.

Photos or pictures of a very important product to sell online so that prospective buyers can see what the product will he get later, and with a detailed product data, so prospective buyers can decide directly on the website or do not want to buy on the spot.

there are now many new airlines popping up they present with the concept of low fare airlines or commonly called the airline LCC (low cost carrier). They lowered ticket prices to be very cheap by lowering operating costs, in other words, they eliminate some services such as inflight catering service, inflight entertainment. And also minimize the reservation process with technologies that exist today. Those things are done to reduce operating costs so they can sell tickets at low prices. Yet they still maintain the safety factors such as aircraft maintanance and the things that have been set by the ICAO to maintain the safety of passengers to arrive safely to the place of destination.

With the present number of new LCC airlines in Indonesia then it is to revive the airline business in Indonesia, which previously could only be reached by the middle and upper LCC airlines now in the presence of the public to address the needs of low-cost air transport and accessible to all people. And also resulted in the highly competitive against airlines-airlines themselves so that there is quality improvement and quality but does not affect the price of tickets to the passengers still interested in using an existing airline.

1. To find out how big the influence of low fare airlines in the development of business aviation.

2. To find out the various businesses in the aviation world that can support continuation of the airline.

3. To illustrate the development of business aviation in Indonesia at this time.

industrial distribution business, is an industry that has only recently emerged. especially after the introduction of mass-scale production of industrial (factory) and public consumption increasing and widespread.

why? because at first people to make a little bit, and then sell on their own. with the discovery of mass production technology, and increasing the initial capital, the entrepreneur then focus in mass production. however, still carried by retail sales. here, the shopkeepers (retailers) who took the goods in large quantities direct from the factory, then sold the unit at each store.

when the production of goods increasingly diverse, and sales of more complicated to do (because of a variety of products and various methods of buy-sell), the shopkeepers and the difficulty to take the time to come to the factory. given the growing number of factories, with a variety of products in each plant. then, emerging type of new business. namely the distribution business. businesses that seek to bridge production (manufacturer) and retail businesses (stores).

technique is actually relatively straightforward. simply take the goods at the factory, then focus on distribution to stores. manufacturers are willing to pay later, after the store to pay to distributors. in addition, when the era of distribution assets investment (car, truck, aircraft, marine vessels) can be bought on credit, then the easier distribution business. unfortunately, the easier it is a business, it will be more and more competitors are playing in it.

what strategy? the answer is collaboration. national distributor working with local distributors. especially for areas of marketing such as Indonesia, in cooperation with local distributors will further reduce the cost of operation. understand, extensive marketing area, which not only reach by land, but also by sea and air, making Indonesia the distribution field including heavy.

other than that, let alone? optimization of the receivables is the answer. the challenge is, how to enlarge the receivables from the store, but reduce the debt to the factory. here supply chain management becomes a major tactic. how to streamline activities to do, so that the lower distribution costs, but increase the effectiveness of distribution that do?

A young computer programmer friend of mine is very unusual to ask me. “I’ve read the book Mr. Laksita, Business Start-Up Wizards and have been listening to audio books Laksita sir, which I recommend that we go over it in a Red Ocean in Indonesia because it was easier to win the competition than to create and offer something new. In the case of my work as a computer programmer, which one is better. Log in Red Ocean or Blue Ocean? “, He said.

I personally would not question which one is better or Red Ocean Blue Ocean in running a business. No matter whether the business field of products or services. Included also in the business engaged in the development and sale of software. In running a business (any business), I put forward the formation of channels large amounts of revenue for the business in question as soon as possible. Because this is the real essence of a business. How to make our money grow quickly

While the product, just a tool to build revenue channels for business as often I emphasized in seminars and workshops customers who will buy from our business many times.

Why should I Blue Ocean products but market is not ready to absorb it and leads to the quiet order. Because of something new and innovative and always takes more effort to introduce to the market. Until eventually the market will accept it fully. While expenditures in our business can not be postponed.

In business, of course the ideal is to build as soon as the pillars of revenue from products and services anything we can do to establish a channel of revenue as quickly as possible and as much as possible. Because all business expenses we will not be delayed. And to make the pillars are of course needed immediately generate targeted marketing mastery as I teach in my workshop two days of “The Great Marketing Road map”, so it does not take long to make the pillars are generating sales revenue.

And of course the consequences of this choice, would be related to the products in the areas of RED OCEAN .. which fortunately is not too much .. While the competition is intense. No matter, what matters every minute of our business at the beginning of its establishment can always generate sales figures, every hour, even every minute, of the many pillars.

As well as buildings. The more pillars buffer the building, the more sturdy the building stood. Conversely, the less buffer than the building pillars, the more vulnerable the building can hold up to withstand heavy roof loads. So also with the business. More and more income for the business daily, the more solid business standing, while the less revenues generated by the business, the more vulnerable  business collapsed in a short time.

The problem is the competition itself .. There’s no problem with competition, because we can apply the strategy of Tai-Chi that I have developed to be able to win the competition with ease, and master the core strategies of marketing, I always emphasize on the second day of my workshop, “The Great Marketing Road map “(98% of participants in 3-5 business flooded with orders for months or even less)

Return to the Blue Ocean Strategy or Red Ocean Strategy.
Which strategy is better at running a business?

For me, back again the problem is actually very simple, create the pillars of income as much as possible in the Red Ocean because it is much easier to produce. With the strategy of Tai-Chi competition problems easily .. Workshops and seminars with my marketing problems too easy .. After a few pillars have started to generate sales in large enough quantities, immediately reinforced the pillars of the revenue from the Blue Ocean sector ..

Because even though they will need time to be accepted by the market .. At least regular income of the pillars of Red Ocean is sufficient to support our business until the pillars of income Blue Ocean that we were actually developed was able to generate revenues as we expect .. So combine it with Read Ocean Blue Ocean, it would be much safer for our business.

Maybe that’s my answer about my friend the question above.