Wealth Management

Voted #6 on Top 100 Family Business influencer on Wealth, Legacy, Finance and Investments: Jacoline Loewen My Amazon Authors' page Twitter:@ jacolineloewen Linkedin: Jacoline Loewen Profile

April 19, 2011

Are the markets getting frothy again?

It's hard to pick between the bubbles-are-bad and bubbles-are-O.K. camps is that bubbles aren't all alike. The best ones create assets whose value survives the crash. The Apollo program that put people on the moon, only to lose public support in the 1970s, was a "social bubble" in which over-optimism advanced science. Bad bubbles generate worthless assets such as exurban housing subdivisions that are taken over by squatters and mold. Other bubbles don't produce any supply response at all. The only impact of China's new mania for old wine—one bottle went for nearly $233,000 last year—is to transfer wealth to whoever was lucky enough to own the bottles before the Chinese got interested.
When the tech sector gets bubbly, consumers are often the biggest beneficiaries, notes Harvard economist Edward Glaeser. 
Glaeser says:
Because investors fund ideas that help the general public, from wireless communications to solid-state data storage to the Internet. So it was in the 19th century with the railroad boom. Today's speculation in tech is concentrated in social networking. 
The question is whether the new investments will live up to the greatest hits—and productive busts—of Silicon Valley's past.

April 18, 2011

Are You Growing Your Business to Sell?

Decide if you’re a Lifestyle Business Owner or an entrepreneur.  This distinction matters to Private Equity investors. They have to see the big growth over the next five years.
In the Bootstrapper’s Bible, Seth Godin teaches us that a product focused business owner sells their talents.  While they may have a few employees, they’re doing a job without a boss, but not running a business.  There’s no exit strategy or pot of gold, but they make their own hours and be their own boss.  Examples include layout artists, writers, consultants, film editors, landscapers, architects, translators, and musicians.  Seth writes:
An entrepreneur is trying to build something bigger than themselves.  They take calculated risk and focus on growth.  An entrepreneur is willing to receive little pay, work long hours, and take on great risk in exchange for the freedom to make something big, something that has real market value.

April 17, 2011

Why Valuations Matter in Tale of 2 Economies - China and USA


In the US, the Obama administration is ploughing a lonely furrow, the only major country in the world to be easing fiscal policy this year, even as the Federal Reserve persists with a scorched earth monetary policy. The President's nod to the hawks in the Republican party, who not unreasonably consider America's deficit to be out of control, could hardly have been more half-hearted – his proposed spending cuts won't get going until the presidential term after next. George Osborne he is not.
On the other side of the world, China faces a completely different set of problems.
Why valuations matter in US and China's tale of two economies - Telegraph

The BRIC countries’ Hainan summit could make the G20 redundant - Telegraph


 The West's political and financial elite is still a long way from adjusting to the fact that economic power is shifting to Asia and the long term implications for our cost of living. Money is flooding to China and India and for those thinking about selling their business, now would be the time to act.
The West’s political and financial elite is still a very long way from grasping the extent to which the global centre of economic gravity is now shifting – and the implications in terms of relative and absolute living standards.

The BRIC countries’ Hainan summit could make the G20 redundant - Telegraph

April 15, 2011

Which Pitch Would You Choose?

Jacoline Loewen was on BNN, The Pitch, April, 13th and was pleasantly surprised by exciting pitches.
There was a gold nugget of an idea pitched by Ken Seville, Guaranteed Interview, but the business model is not well developed yet.
Guaranteed Interview is for a recruitment website like Monstor.com, but focused on ex-military. What a great marketing vertical.
The company name is also not a catchy brand, and they need some private sector talent to drive growth. Great concept though and every trucking, security, logistics, aerospace company will be bookmarking the site. Ken did a great job presenting. Check it out HERE
Get hold of Ken: : ken.seville@gmail.com