David Beckham’s iconic signature dead ball free kicks remain enshrined forever for curvy goals which flummoxed the best goalkeepers in the world but David’s was certainly not known for his innovative financial structuring skills.
Welcome Blended Finance. Blended Finance not to be confused with bending finance, is fast becoming an important and potent tool for bridging the yearly $2.5tr gap to meet the UN Sustainable Development Goals target by 2030. Blended Finance is not a panacea for the global development crisis but stills works as an innovative way to pool in commercial capital to aid risk-adjusted return for development projects. OECD defines blended finance as the strategic use of development finance for the mobilization of additional finance towards sustainable development in developing countries. This is a defining change in the scope of blended finance from its work as various financial structuring instruments to its strategic use as a form of finance to eradicate social inequity. Continue reading “Blended Finance: Please don’t blend it like Beckham”
In my earlier article on Jerome Powell and the FED, I wrote “when recession hits the US”. Wrong choice of words. I meant if recession does hit the US in near future or in case of a prolonged global slowdown. EU has been a worry and if forecasts are to be believed, a growth of 1.5% at best and core inflation between 1 to 1.5% leaves real growth hovering close to zero.
Under Pressure is an epic song by one of the greatest rock bands of all time, Queen. Remember We Will Rock You. A song re-sung by so many bands and an ever green crowd favorite around the world.
And Freddie Mercury, not to be confused with the hideous Freddy from A Nightmare on Elm Street. Its nappy time in India and Freddy might just come in your dreams. Leave you with Under Pressure, one of my all-time favorites. To one of the greatest rock stars of all time, Freddie Mercury. Watch Bohemain Rashbody, the biographical movie on the rock band Queen. Rami Malek, well done.
2018, Man of the year, goes to the FED chairman Jerome Powell. Sorry, it’s not Bradley Cooper and in fact, I am yet to watch A Star is Born. In spite of unwanted criticism, Jerome Powell is a hero. When he got nominated as FED chief I was a bit skeptical. FED maybe is the only reserve bank which has a history of nominating chairman who does not have a Ph.D. Jerome following Alan Greenspan footsteps does not have one. At the same time, Mr. Powell outshines as a leader for his outstanding vision, tenacity, fortitude, and acumen in guiding the US economy through uncharted waters in 2018. He has been spot on increasing rates to not only stem inflation but also to give space for monetary flexibility once the recession hits the United States in near future. US today has one of the lowest unemployment rates thanks to sustained innovation and prolonged low rates and along with rising wage growth, fueling inflation in the US to 2%. Back it up with a 24% increase in earnings in 350 S&P 500 companies compared to the previous year beating analyst forecast of 20%, according to WSJ. All are telltale signs of an economy heating up due to low lending rates and increased consumer spending. Continuing real negative interest rates would have further fueled asset prices resulting in an imminent collapse fulfilling the doomsday prophecy. Continue reading “Man of the Year: Jerome Powell”
The national stock exchange (NSE) is launching Nifty 50 index weekly options. The launch comes on the back of success in launching weekly options in the equity derivative segment of NIFTY Bank index and the currency derivatives segment in the dollar-rupee currency pair. Read the attached report on Twitter here. Continue reading “NIFTY 50 Index weekly options and Indian Bond Market”
LIBOR, the benchmark rate for trillions of dollars of financial products is going to be phased out. This news escaped my radar until recently and now there are many articles on this subject. One of the benchmark rates being pushed as a substitute is SOFR. So what is SOFR ?
In pursuit of science, fitness, and happiness, this article is a continuation of the video shared here on fat loss. The chemical equation of human fat C55H104O6 decomposes into Carbon and Oxygen. Ruben Meerman’s video on the mathematics of weight loss led to the genesis of this article. Dipped with a small dose of quantum mechanics, this article shares a very brief overview of the micro world of elementary particles and laws of nature governing our bodies and this Universe.
Carbon, Hydrogen and Oxygen atoms play a fundamental role in burning fat. About 96% of human body is made up of carbon, oxygen, hydrogen, and nitrogen. Hydrogen and Helium are also the elements which build the atomic mass of our universe. Hydrogen and Helium atoms make up 99.8 % of all atoms and 98% of all atomic mass in the Universe. An atom has protons and neutrons in its nucleus with electrons orbiting the nucleus. Protons and neutrons have the same weight which is much more than the weight of electrons. Mass of electrons is negligible compared to the weight of protons and neutrons. The number of protons decides the elementary characteristics of the elements on the periodic table. The mass differs from the weight. Mass measured by mass of atoms in the body which is equal to the mass of protons and neutrons combined. Mass is constant while weight changes according to the gravitation pull of the planet. The movies Interstellar and The Martian are good examples of how weights can vary in different planets. Continue reading “One for Science: Elementary Particles, Mass and Forces of Nature”
This article has first posted here on July, 18 2017. Sharing it again.
ETF also known as Exchange Traded Funds are on a meteoric rise globally. According to a report by PWC, ETF’s in the US is going to grow to $5.9 trillion by 2021, a whopping 23% cumulative annual growth compared to $1.6 trillion in Europe and $560 billion in Asia. ETF’s are passive investment products which track an index. Exchange Traded Funds are linked to different asset classes like equities and commodities. In the US, S&P 500 would be a broad equity index so an ETF linked to S&P 500 would replicate this index. Replication here means it would track the index. ETF would not outperform the underlying index i.e. S&P 500 but rather deliver similar returns. Let’s understand a few concepts here. Continue reading “Exchange Traded Funds: Rise of Passive Investing…Series Begins”