Category: Investments

The disruption of blockchain in current business models

The potential in business and in different aspects of the blockchain’s daily life has not yet developed to its potential. But due to the possible associated disruptions it is important to follow up on their progress and prepare.

Perhaps the application of the most recognized blockchain technology is bitcoin cryptocurrency. However, this technology has been gaining space in different spheres with more and more applications and more actors becoming involved, and its impact can be quite significant and disruptive for current business models with potential for the whole world.

Melanie Swan, founder of the Institute for Blockchain Studies, explains in her book “Blockchain: Blue chain for a new economy”, published in 2015, how blockchain technology can be considered the fifth disruptive computational paradigm after central computers ( mainframes) in the seventies, personal computers (PC) in the eighties, the internet in the nineties, mobile social networks in the first decade of 2000, and the blockchain in the decade of 2010.

For this reason, Swan suggests thinking about the blockchain as an advanced information technology with technical levels of escalation sophistication, with multiple applications for any form of asset registration, inventory, and exchange, including all areas of the economy, tangible and intangible assets. (ideas and patents, climate change, health data, hotel reservations, contracts, etc.).

Image result for The disruption of blockchain in current business modelsIn fact, all public records (properties, civil status, car registrations, business licenses, birth and death certificates, etc.) could migrate to the blockchain. Moreover, the blockchain, Swan explains, is a new paradigm of organization for discovery, valuation, and transfer.

The author analyzes that the potential benefits of the blockchain go far beyond financial transactions, and extend to face political, humanitarian, scientific and social issues of the real world.

For example, its application for the management and coordination of public data repositories and the irretrievability of transactions can be a fundamental step to advance and perhaps reconfigure different aspects of humanity.

At the United Nations conference on climate change in 2017, a group of experts identified the potential of the blockchain to face climate change, since it allows greater transparency and participation of different interest groups to find solutions to this challenge.

The open global initiative Climate Chain Coalition (CCC) (created in December 2017 and with more than 100 organizations around the world) seeks to advance blockchain technology and other digital solutions such as internet of things and big data to support the mobilization of climate finance and improve measurement, reporting and verification (MRV) to scale climatic actions for mitigation and adaptation.

The work ” Bitcoin: a peer-to-peer electronic cash system ” that dates from the year 2008 of Satoshi Nakamoto, was the one that popularized the applicability of blockchain for the development of a cryptocurrency (blockchain). A Google Scholar search on blockchain in September 2018 results in more than 44,500 publications of studies on this technology in the last decade.

The blockchain or blockchain consists of a ledger or ledger where all operations are recorded, whose control is dispersed between different computers in the network, each of these with a copy of the chain and with this it eliminates the trust in a single administrator.

Additionally, being a public ledger, transactions can be consulted using a block browser such as This technology, which uses self-monitored and self-controlled algorithms, has the power to reject malicious manipulation attempts in the system.

In 2016, Deloitte defined blockchain as another type of database to record transactions that are copied to all the computers that participate in a network.

The blockchain technology makes absolutely each of the transactions create a block that is added to the chain and is registered in a linear and chronological way with the day and time of this, and it is assigned by the system a unique hash ( hash function ).

Blockchain blocks manipulated transaction attempts and describe them with an alphanumeric string resulting from data encoding using cryptography.

Because of this, any attempt to falsify one of the blocks in the chain would imply manipulating the previous blocks and this guarantees the authentication, transparency, and efficiency of each transaction, and increases the security of the mechanism for attempts to modify transactions.

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The massive adoption and full development of blockchain’s potential will depend, according to Fredrik Voss, vice president of Blockchain Innovation on Nasdaq, to have a complete ecosystem.

According to the OCDE policy forum of the blockchain, in order to reach its potential it is necessary to guarantee the integrity of the processes and requires adequate policies and measures, and also to face the possible risks of its misuse.

For this, governments and the international community will play a significant role in the creation of policies and the regulatory environment of the blockchain bases that are aligned with the challenges to promoting transparent, fair and stable markets.

In an article published in the magazine ” Entrepreneurial Business and Economics Review ” by the authors Witold Nowinski (Poland) and Miklos Kozma (Hungary), it is identified that blockchain technology creates value to companies in different ways.

First via transaction authentication mechanisms; second, by reducing costs, since it eliminates intermediaries that were necessary for operations and transactions; third, improving operational efficiency, decreasing times.


The fintech bring new paradigms that drive disruption in both services and in the processes of agent interaction

It is commonly mentioned that fintech brings with it not only new technologies but new paradigms, that drive disruption both in the services and financial products themselves (credits, savings, payments, and insurance) and in the processes or methodologies of agent interaction… And it is true. A clear example of this is collective financing or crowdfunding. Although there are multiple forms and methodologies of crowdfunding around the world, broadly speaking, we can distinguish three approaches or models that will allow us to highlight the novelty of this initiative for consumer agents.

A first model, closer to traditional finance, is Equity-based. This methodology compares more to the public offerings of traditional companies because, basically, the one that contributes to a certain project obtains a financial participation as a percentage of sales or dividends. The novelty in these cases is, then, mainly technological and not so much methodological.


However, one of the most traditional, widespread and disruptive models of crowdfunding was based on rewards (Reward-based). In these cases, when funding a project it becomes part of it, but not (necessarily) in financial terms. This non-financial participation takes different forms but seeks to attract the investor as a consumer. This is, for example, the promise of having an advanced and unpublished version of the product at anchor, participating in the design of the product name or in some detail of its final version, among other examples.

Kickstarter, one of the most recognized crowdfunding platforms, was developed mainly to promote the creation of creative projects (art, music, movies, or creative products) under this logic. The sponsored projects offer rewards such as consumer experiences, being the extra of a film anchored by the platform, getting to know its protagonists, attending the event premiere. To date, this platform created in 2009 that attracts the investor in its role as the consumer has funded more than 250,000 projects through contributions of more than 9 million individuals who mobilized a flow of more than $ 1,900 million.

Another interesting case is that of Indiegogo. Founded in 2008 to promote creative projects, the main difference was that it allowed partial funding. That is, if the project did not reach the total amount proposed on the web, it is allowed to transfer the money collected to start it and continue the collection in conjunction with its execution. It is thus more flexible than Kickstarter, in which if the total amount is not reached the entrepreneur does not receive money to carry out his project.

Finally, a third approach widely spread in crowdfunding is one that is motivated by social impact. While there is no financial or direct consumption reward for the agent that contributes to the project, the desire to have some impact on the community or to see the idea materialized becomes the main driving force of the investor.


Neighborly, a site that started in 2012 for purely social purposes, initially funded projects solely for civic purposes. Although they moved to finance microloans and small municipal bonds, Neighborly allowed neighbors to invest, for example, in bonds to build parks or public spaces, getting a financial return in return. After two years, the initiative had funded 55 community projects for a total of $ 2.5 million.

As can be seen, the most interesting and innovative aspect of these crowdfunding initiatives was not only the ease of connecting thousands of distant agents through technology. In the models introduced by this particular type of fintech oriented to collective financing, the possibility arises that the return is not financial but the desire to consume the product or see the project that is being funded. That characteristic of the investor-consumer is something still unusual for the traditional financial markets.

The 10 typical mistakes of the ‘denied for savings’ (and how to avoid them)

If you consider that you spend more than you earn and that is why you do not have any way to save, make a stop in your finances because maybe you need to make a paradigm shift and evaluate your learning about saving.

Do you feel that each time a saving goal is proposed, you end up with no money at the end of the month? Maybe, that’s just an excuse because maybe you make the same mistakes in the month and that’s why you never have enough money to handle an emergency fund or programmed savings.

And maybe, you are a judicious person, then do not smoke, do not drink, do not spend money in restaurants or casinos, rather, lack the common causes for those who do not have money. However, when the fortnight arrives or the salary of the month has already practically spent because he had to run to the doctor, he spent more on birthday gifts, or on special dates, he went to find a gift to make it well in high. As in May with Mother’s Day or in June with Father’s Day, two times of the year that for many are a valid reason to spend a little more on the month.

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We are going to tell you that you can spend and at the same time save, you should only leave behind some behaviors that do not favor the goal of reaching your goals. For Diego Prieto Rivera, president of Banco Caja Social, “promoting a savings culture has a valuable connotation in the progress of society since it is easily convertible into another type of assets that leverage development, such as education, housing or creation of Business”. This implies a total change in the paradigms of consumption and the use of money.

We are going to take information from this bank to point out the typical errors of those who consider themselves ‘denied in savings’. Resolve these bad habits soon and you will see how your budget starts to improve and each month you save more. That way you will become a visionary and have a better future.

#1. A ‘denier’ does not know how much he earns and how much he spends

What is not measured is very difficult to control, for this reason, it is important to measure what your income actually spends. It may be that adding all the monthly expenses, both the largest and the smallest, you will be surprised at how much you spend on trifles.

#2. The one who ‘does not know how to save’ has not learned to spend either

Every day we are victims of a culture of consumption that always puts us on the edge of our ability only to acquire whims or sumptuary things. Before succumbing to these temptations, it is necessary to reflect and ask: can I live without this? What long-term benefit does this give me? Then, you can look more objectively at those luxury expenses such as those generated by sweets between meals, cigarettes, coffee, taxis, promotions, among others.

#3. It does not define the initial goals of saving

The savings must meet specific objectives. Initially, it is recommended to meet small goals that demonstrate the power of saving and allow you to change your way of thinking in the face of expenses. Thus, the first goal could be: “instead of buying that coffee in the morning, in two weeks with that money I will buy …”

#4. They keep their saving objectives secret

It is useless for the leaders of a family or any group to talk about saving if they do not share goals and commitments with all their members. C commitments make the process even more stimulating because collectively they will begin to look for how to cut expenses to improve the distribution of income.

#5. They do not detect or cancel the sources of their expenses

Analyze your consumption habits and break paradigms. It is possible to maintain a healthy and comfortable lifestyle by reducing expenses in internet plans, in the use of brands, even in the way of traveling. For example, by sharing the car with family and neighbors at least once a week, it will reduce parking, gasoline, and maintenance costs. What if you manage to share it twice a week, or three times?

# 6 They have ‘atomized’ debts

Many people leave their salaries paying credits for things that were left in the past, others have so many cards and credits that they do not really know where their allowance went. According to Diego Prieto, “you can sell your portfolio to another entity that charges a lower interest rate, and so the new fee will be lower. The interesting thing is to save the difference between the old and the new quota, assuming that the payment is made by the previous value “.

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# 7 When they consolidate debts, they keep their old cards, with high interests

To define which card suits you, analyze features such as management fees and interests. The one with the lowest fee and the lowest interest will be the healthiest for your economy.

# 8 In your budget, you only save ‘what you reach’

By combating unnecessary expenses and adjusting your debts, you will have a healthier economy that will allow you to put savings among the priorities and not among the options. For that, look for applications that will allow you to make a budget and put the savings item within your expenses. Or with a spreadsheet, you can do this exercise. The apps of the banks also allow you to make a budget management, with your income, expenses and monthly savings.

# 9. They do not establish spending plans

Defining the expenses you can make will increase control and knowledge of your lifestyle and allow you to use revenue responsibly. For this, there are simple options, such as making the list of the market and buy what is really needed, instead of falling into the temptation to acquire something just because it is in a promotion. It is also very important to compare the prices of similar products and opt for the most favorable for the household budget.

Additionally, it is possible to save by taking advantage of the discounts for prompt payment of the bills or by going to ways that help reduce what is paid in public services, such as reducing the consumption of electricity and water.

# 10. They ignore what technology can bring

Nothing better than using solutions such as spreadsheets and applications or macros to organize budgets and payment plans to have visibility into your income, your expenses and, most importantly, your savings. Also, take advantage of digital banking and electronic payments to accurately know your expenses.

Less use of cash leads to a natural saving. Paying through applications helps you even keep track of your income and expenses. Nowadays, almost everything that is generated in electronic form is free; in addition, he stops running the risk of losing the cash if for some eventuality he throws his wallet or it is stolen.

10 financial mistakes you must avoid at all costs


In times where extra money arrives, such as severance payments or employees’ legal premium, people make mistakes, without learning from them.

The time has come to receive the bonus and almost always the workers make several mistakes with it: they spend it before, they use it for the children’s school or even, when they withdraw it, they do not take security measures and are victims of the thieves.

That does not have to continue like this. Anyone can make decisions on time and correct those things to stop losing money . In fact, an article by, written by Aurelio Jiménez from the El Salmon Blog portal, states that we get used to the fact that money goes in and out of people’s pockets, without being measured and until the day of death. It seems simple to say but the most common mistake that individuals make is to believe that they can spend more money than they receive.

Therefore, bad individual decisions can lead to the bankruptcy of the entire economy of a country: this happened in Albania, with the fall of the pyramids or Ponzi schemes, with the abuse of toxic mortgages packaged in complex stock products that led to the bankruptcy of major US financial firms, or the exaggerated public welfare system that compromised pensions in Greece and led to the default of their sovereign debt.

Faced with the evident lack of financial education, FP took as a reference 10 recommendations for money management, provided by the financial cooperative Confiar to summarize the 10 common errors that occur in Colombians regarding their finances, especially if they receive additional money as the service premium or the severance interests. Generally, they think that this money is to enjoy it, to spend it on a trip and it does not occur to them to look for investment products.

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However, not all possibilities are closed and there is still time to reorganize your finances. Just try to avoid behaviors such as those that Confirn exposes below, and you can surely continue to materialize your medium and long-term objectives.

#1. They do not know how to calculate the money they will receive: for example, the premium arrives and they do not have clarity of what they will receive, that is why it becomes ‘pocket’ money or to be liked. If for any reason he becomes unemployed, that employee does not know how much will come of liquidation. There are aids in of applications to know the settlement or this explanatory video to calculate the labor settlement.

#2. They let themselves be carried away by the emotion of money: they forget that money is scarce, limited and that it costs a lot to receive it. Therefore, they are given to spend more and end up more indebted than before.

#3. They do not review the financial goals of the year: they are commitments that are not written down by any side or are simply made in the mind like saying ‘this year I will save $ 1 million’, but without proposing realistic plans, but on the contrary, taking more cards and spending more.

#4. They ‘forget’ their obligations: instead of canceling their debts with the banks, of services, of bills, they ‘forget’ them and go out to eat, buy something they liked or go on a trip. The recommendation is to use the automatic debit or discount tools to the payroll savings account to stay up to date, avoid interest and enjoy better.

#5. They do not set goals for saving: before saving, be clear about the date to comply with these savings and, more importantly, what savings are for. The same happens when the premium arrives, you have to know what you want to invest in, so you will avoid spending it little by little on unnecessary things.

# 6 They get carried away by the pressure: take the time to request information and when promotions appear like “for a limited time”, “Just for the early morning”, “the first 100 people”, they go shopping without thinking.

# 7 They do not measure in the vacations: if they travel and the company advances the salary for vacations, a budget must be made that contemplates the trip and the expenses that come later.

# 8 They go out to hunt promotions: u offers for changes in the collection, without remembering that there will always be discounts. The typical spenders go out to find products in the promotion, without being told what items are on offer, the number of available units and their duration. The solution is to verify that the information contains the requirements and conditions to access the promotion.

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# 9. They do not investigate what investment or saving options there are: if you have not heard of collective investment funds or variable income products, the cooperative has savings products with special rates for your programmed savings and CDT.

# 10. They spend the money in a single month: from now you can foresee the expenses of special dates, to spend a rest of the year with tranquility.

About 8 million Colombians would receive the service premium. This population is part of the formal labor market of the country, that is, 35.5% of the more than 22 million employed in Colombia, according to DANE figures. Recall that the worker is entitled to the premium that is linked by a contract to an employer and that there is a subordination; including those of domestic service. This is calculated proportionally to the time worked.

The 5 tips to make your investment more profitable

With a little practice, you can become an investment expert. Do not be afraid of the terms of the market.

It does not matter if you have $ 500,000 or $ 10 million, investing will always be better than leaving the silver depreciating under the mattress or in savings accounts that in addition to not generate any profitability, you discount taxes such as 4 per 1000.

So whether you are new to the subject and want to take the big step, or have already soaked a little, this information will help you feel more confident when investing and especially to choose the product that best benefits you.

First of all, you have to know that there are two types of investments. The fixed income and the variable income. Fixed income investment instruments are debt issues made by the Nation and the companies, aimed at participants in the capital market.

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You can sell and buy securities directly with the entities that are supervised by the Financial Superintendence of Colombia, among which are the credit institutions, the fiduciary companies, the stock brokerage companies, the independent brokerage firms, the management companies of pension and severance funds, insurance companies, the General Directorate of Public Credit and National Treasury of the Ministry of Finance and Public Credit, the Social Security Institute – ISS, the Financial Institutions Guarantee Fund – FOGAFIN, the Financing of the Agricultural Sector – FINAGRO and the Bank of the Republic.

For the most conservative savers, this is the most striking option since they are instruments with a low associated risk and a profitability that, although reduced in comparison to other types of investments, is known in advance. The bonds that are granted give the right to collect the interests and the capital in the future and the collection of interest is determined for the entire life of the issue.

On the other hand, there are the instruments of variable return or also called financial assets in which neither the return of the invested capital nor the return on the asset is guaranteed. We do not know the interest that they are going to pay us, even if the return is negative and we lose money on the investment. This is because profitability depends on various factors such as the evolution of the company, the economic situation, the behavior of financial markets, etc. Stocks, currencies, and commodities are the products that offer the most profitability.

When it comes to investing in variable income, it is best to go to the bank or a professional advisor, with the ability to offer a solution tailored to your profile and your particular investment objectives.

Where to invest?

To know where to invest, you must make a thorough study of the market, making a good analysis of your economic possibilities, your appetite for risk and your profit objective with the operations that you are going to carry out.

Everything depends on the tastes, their economic capacities and their preparation and financial experience. The only clear thing is that the less you risk, the less will be the booty (if it comes to be).

If you are going to invest in CDT:

-In general, an investment is profitable when its profitability is greater than inflation. This, because inflation is the loss of value of money over time. For example, if a product rents 6% and inflation is 3%, the real return on your investment is 3%, because of 6-3 = 3. It’s low, but it’s safe. In the very long term, equities are the only asset that manages to beat inflation.

-It is important to see the rating of the entity that offers the CDT, the better the risk rating you have, whose maximum can be triple-A, it means that it is more solid and that your investment is safer.

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If you are going to invest in commodities:

  • Take into account that there are f external actors referring to geopolitical, climatic and conjunctural issues that can affect the behavior in the prices of goods. A clear example of climatic factors that affect the prices of raw materials is the “El Niño” phenomenon that has occurred in previous years, which has caused droughts and other variations that directly affect the production of raw materials.

If you are going to invest in the stock market:

  • Diversifying is paramount. So you will not lose all your capital in one go. On the other hand, if you bet all your money on a single investment, and it goes wrong, that’s where the problems will start. When you see that an action goes up, consider selling at once.

Europe warns US protectionism

The president of the European Central Bank, Mario Draghi, said that these exchanges cannot be said to be a commercial war yet, so he asked President Trump to question who the enemies are.

President Trump weakens business relationships by signing an executive order

President Trump signed as he had promised the previous week, the executive order in which he imposes tariffs on imports of steel and aluminum. In this order, it was clear that both Mexico and Canada will be exempt until they reach a new trade agreement – NAFTA – more “fair”. This order imposes a tariff of 25% on steel and 10% on aluminum and will take effect within 15 days. The decision is against a letter passed by 107 Republican congressmen in which they asked the President not to sign this increase since it will worsen the country’s trade relations globally and will probably start a commercial war.

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The president of the European Central Bank (ECB), Mario Draghi, hardened his speech today after ruling out the possibility of increasing the volume of bond purchases if financial conditions worsen; the international market has taken for granted that the stimulus program advances in this way to its end. This speech this morning is far from what was expressed in the last meetings on rate decisions, which has led the euro to turn around and has reached up to 0.20%.However, at the end of the day, the European currency resumed the fall with the dollar against the fears of the currency war and lost about 0.8% to 1.23. Mario Draghi continued to defend a more restrictive monetary policy, doing everything possible to play down the importance of the change of discourse, ensuring that it is not going to be a classic monetary policy contractionary cycle. He also assured that they will continue to monitor the exchange rate due to its effect on inflation, but he also stressed that the stimulus program is necessary to achieve that core inflation reaches the target close to 2%.

And in front of the Commercial War?

President Draghi has warned about incipient global protectionism and its possible effect on the currency market and exchange rates. Although he underestimated the short-term impact of the protectionist policies promised by the United States. assuring that these exchanges cannot be said to be a commercial war yet, so he asked President Trump to question who the enemies are if friends want to impose these tariffs on them.

Growth and inflation forecasts

Growth projections have been revised up again to 2.4% in 2018, compared to 2.3% announced at the previous meeting. While for 2019 and 2020 expectations of growth of 1.9% and 1.7% remain. As for inflation forecasts, they have remained stable at 1.4% for 2018, but have been reduced to 1.4% for 2019 from the previously forecast 1.5%.

Global debt markets are awaiting US labor market data

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In the United States, the interest rates of treasury securities decreased throughout the day. The movement occurred on the eve of the non-farm payroll data that will be known tomorrow. The market already expects the interest rate to increase in the meeting of the Federal Reserve next Thursday, however, speculation about the pace at which the next increases will be carried out is still in doubt, and the forecasts that will be known in The press release may shed new light on the path the entity will take in the coming months.

Local market; in line with a lower perception of risk

In the Colombian debt market, the interest rates of government debt securities in pesos showed decreases with respect to the close of the previous day, a movement that is in line with the flattening registered in the yield curve of treasuries and less uncertainty regarding President Trump’s tariff plans once the executive order is signed. Regarding the yield curve of the securities in UVR, the rates continued to show reactions to the recent inflation data for the month of February. Interest rates for the short part of the curve showed increases of up to 5 basis points as investors discount a decrease in inflation in the coming months. This movement that is characteristic of this time of year could continue over the next months, which would end up consolidating a flattening in the yield curve.

The Colombian peso depreciates in line with its peers

The Colombian peso continued to register bullish intentions in line with what happened on the previous day. The currency responded to the strength of the US dollar and at the same time to the fall in oil prices. This movement led the currency from the $ 2,860 opening to a maximum of $ 2,880 in line with the volatility context of the day, where Latin American currencies, with the exception of the Brazilian real, showed depreciation against the US dollar.The total volume negotiated throughout the day was the US $ 915 million, slightly lower than the average of the last 90 days (the US $ 968,000 million). The maximum of the day respects the range of transaction that the currency has maintained since mid-February ($ 2,830 – $ 2,880). If volatility is maintained and prior to the electoral process over the weekend, we could expect the level of 2900 to be exceeded by the end of the week.

The currency markets will continue to be characterized by increases in volatility and uncertainty as tomorrow we will know the pulse of the labor market in the United States for the month of February, a figure that will refine the sentiment of investors on the next rate hikes. interest on the part of the FED going forward.

Oil is affected by the largest production in the United States

The price of oil for the second consecutive day closes with devaluations, trading at levels lower than the US $ 60 per barrel amid a strengthening of the dollar, reacting to the rebound of shale oil production in the United States. Inventories of US crude rose by 2.4 million barrels during the week ended March 2, a figure that does not improve confidence on the stability of the international price in the face of the persistent increase in production in the United States that has already reached 10. , 3 million barrels a day , reaching a maximum of 4 weeks, a historical high that surpasses the second largest producer of the commodity – Saudi Arabia.

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As investors continue to forecast oil prices above the US $ 60 per barrel in the WTI reference, both OPEC and Russia are expected to keep production quotas limited until the end of 2018.

Expectations of growth in the national production of crude valorize Ecopetrol

The stock market capitalization index of the Colombian Stock Exchange, Colcap, remained relatively stable, increasing 0.04% and closing at 1,474.31. The most negotiated action during the day was Ecopetrol, which was valued 1.02% after the statements of the National Hydrocarbons Agency, in which it indicated that crude production this year would increase 5.4% reaching a daily average of 900,000 barrels per day. On the other hand, Cemex Latam Holdings had the best performance during the day, which was valued at 2.22%, reaching $ 9,680 at the close. Finally, the most devalued share was Corficolombiana Preferred with a fall of 3.75% and a closing price of $ 20,000.

How to identify a business idea?

Undertaking an idea or business is like having a baby when you think of carrying out the business, you worry, you plan, and once you see its fruits, you feel proud. But you should keep looking ahead and supervising.

However, to identify a business idea should not be left there, it should be investigated first to know about the viability of the matter and to evaluate if this idea will really solve a problem or need. On the other hand, business ideas must adjust to the pace of life of today’s consumers, as it is obviously not the same as 10 or 15 years ago.

People today go from one place to another with their mobile phones and spend a good part of their day reviewing their profiles in Social Media. Therefore, to exploit its full potential by identifying this idea that will not go away, it is necessary to pass it through a filter that evaluates that it really is an idea that will win it in the business world.

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Equally, it is necessary that you know if that idea is suitable for you as a professional and even as a person, lest you abandon it to the first problem that arises. A business idea is a challenge that requires dedication and discipline. That is why we want to help you identify what that business idea is that will lead you to success and become the route to achieve your dreams.

Ask yourself: What do you know and what you like to do?

If you are going to develop an idea, the best thing is that this idea makes you fall in love because if not, believe us !, it will be reflected in the ROI. The passion for what you do is the key to getting things right so your idea should be related to your skills, your professional training, and even your personality to make things work.

Search if you have a good base of contacts to which you can satisfy a need and from there you could get that longed for an idea. Take advantage of your experiences and acquaintances to start from scratch.

Find an interesting niche

There are trends in other countries that could be adaptable to your community and you can undertake them with your seal. Not all businesses have to go, necessarily, directed to the masses, there are small niches that can provide great satisfaction but their job is to detect them and offer them their business idea.

And once you have detected them, study the community in depth to get where they are and give them the content they are looking for, that’s where good content marketing comes in.

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Improve old processes

Look at the technology and how far it has come: it has managed to optimize and even simplify the processes that used to take hours, such as, for example, making a deposit to the bank. Think about what old process you could make a difference to make life simpler for your future consumers.

Do it better than others

A typical error when wanting to undertake is that enthusiasts think that a business idea is 100% innovative and never seen before, which could be, but there is also the possibility that it does better than others. Maybe there is a service out there that you would do better, optimize processes and make your users feel more comfortable. Does anyone come to mind?

Explore in your daily life

We all have a routine that sometimes wears out, think of yours and ask yourself: Do I have a problem or need that could be solved/satisfied with an innovative idea?

You are a user or consumer of many things and we are sure that if you think about it a bit, you could offer a solution to any concerns you have and create your winning idea.

Make entrepreneurial friends

We do not talk about copying your ideas, but about getting around these people who are on the same wavelength as you and are filled with inspiration. Maybe when you hear them talk about their anecdotes, comes the energy of creativity and should look for paper and pencil as soon as possible so that the idea does not go away.

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It is also recommended that you explore on the Internet, see the profiles on social networks of entrepreneurs who have achieved it in a surprising way and take the confidence you need to carry out your project.

To conclude, keep in mind that:

  1. Creativity comes when it comes out into the real world.
  2. A Brainstorming can help you get to that idea.
  3. There are no bad ideas, you just have to develop it and adapt it to a specific audience.
  4. Do more research and write down everything that catches your attention.
  5. If you identify an idea, pass it through a filter to see if it really is viable in time and space.

So, Success and start!

Emergency tricks to start saving

According to the World Economic Forum, the people of eight of the largest economies on the planet will soon suffer the lack of $ 400 billion dollars for pensions. Right now the situation of many retirees is desperate. But it’s so hard to save! We consult an expert.

How good or good are you to save? It is estimated that most people need the equivalent of about 70% of their labor income to survive once they retire. However, the states are less and less prepared to face this expense: the World Economic Forum warned that the eight largest economies on the planet will have a deficit of $ 400 billion dollars for pensions in the next 30 years.

That figure is equivalent to multiplying by five the value of all the stock exchanges of the world added. And the news about the pension funds of the developing countries is also not rosy. That is to say that many of us could have to live on what we save.

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Are you ready or prepared to do so? To help him tackle this difficult task, the BBC Business Daily program consulted the famous behavioral economics expert and author Dan Ariely of Duke University in the United States.

Ariely just published “Small change: money mishaps and how to avoid them” ( Small change: monetary mishaps and how to avoid them) and has devoted to studying some simple tricks that we can use to encourage us to save.

Bad savers

To begin with, the expert explained why it costs us so much to save so much.

“One of the main challenges of behavioral economics is that the environment matters, we do not act simply based on our preferences, the decision has to do with what surrounds us,” he said.

Ariely refers to all those things that invite us to spend: from a cafeteria to a new cell phone model. “How many of those around us care about our well-being in the long term? Very few,” he concludes.

For the expert, it is important to realize that “there are not many entities that are on our side” when we propose to save. On the contrary, most want our “money, time and attention”.

“They want quarterly income, not that you do well in the long term,” he sums up. Then a key to start saving is to realize that “the world is not neutral, but is designed to try to get things out.”

Murderous temptation

The economist warns that living in a world of temptation not only conspires against our efforts to save but that it is even leading us to an earlier death.

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That concluded a study conducted in the USA. that analyzed causes of death and more specifically how likely we are to accelerate our end as a consequence of our own actions.

“Before that probability was 10% but now it’s 43%,” he explains. What is the increase? ” Obesity, diabetes, smoking, using the cell phone while driving … are all temptations that kill us,” he says.

But even though our choices are causing us more and more damage, it is also true that we live more and more, thanks in large part to medical advances. That is why another factor that we have to take into account to start saving is the increase in life expectancy.

“If we all died at age 65, at retirement age, life would be simpler,” Ariely acknowledges. But many live to 80, or more.

That means that we work for 30 or 40 years and then we must subsist another 20 years or more. In theory, that should lead us to save about half a year for our retirement for each year worked. But how?

The Kibera experiment

Ariely told about three saving techniques that were put to the test in the poorest settlement in Kenya, called Kibera. His team partnered with M-Pesa, a mobile phone service that allows money transfers very easily, and with an investment bank.

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Together they put into practice a savings system so that the inhabitants of Kibera could deposit a small sum of money daily.

They used three savings formulas:

  • Easy deposit, difficult withdrawal

They designed the system in such a way that depositing money was easy but removing it, very complicated.

People could make daily transfers to the bank with just a couple of clicks on their cell phone but in order to withdraw the money, they had to take a bus to the city and go to the bank in person, something that could take up to four hours.

  • Easy deposit, difficult withdrawal + reminder

The second system was like the previous one but in addition, the bank sent a weekly reminder incentivizing to make deposits.

  • Easy deposit, difficult withdrawal + personal reminder

The same system was applied again but this time the reminder came not from the bank but from the children of the potential saver, who encouraged him to make a deposit thinking about them and their future.

Which of these ideas was the most successful? Third. “The children make us more idealistic, the children were key in the anti-smoking campaigns and in the promotion of the use of the safety belt, for example,” says Ariely.

But in addition, the last option has an advantage: it offers a reward. “When you deposit money in a savings account, you do not receive any positive comments, but when you give something to your children, they thank you.”

The trick of the prepaid card

Another saving technique recommended by Ariely is to have a weekly budget allocated for discretionary expenses.

This formula has two keys: the first is to start applying the budget on Monday because if it is applied on Fridays it is highly probable that we will spend more during the weekend and we will run out of funds for the rest of the week.

The second key – and perhaps the most important one – is that to pay for all those discretionary expenses we use a prepaid debit card.

That is to say, a card to which the budgeted funds are deposited and which we can only use until that money is exhausted. In this way, we avoid the excesses in which we tend to fall many when we use credit cards.

It may interest you: You saved 50 million and went to travel the world how you did it

“Spending buddies”

A third idea he had Ariely was to gather a group of friends once a month to discuss together your expenses for a credit card.

“Each woman had to justify each one of her expenses,” explained the expert, who revealed why the technique – which he called ” spending buddies ” – was successful.

“After doing this exercise only once, the women told that they could hear the voice of their friends every time they bought something, which led them to change their behavior.”

Be careful with those dinner outings

A final advice from Ariely is that we analyze what we are spending our money to know if indeed that spending is making us happy.

The economist asked a group of people to analyze the details of their credit card expenses and tell them which expense they most regretted. The answer was surprising: most regretted a dinner outing.

“When we go out to dinner we end up eating too much and drinking too much and then we regret the experience,” he warned.

So if you want to start saving a little, you know where you can start …

Annual maximum decreases versus annual return

The variation of short-term prices is the price that must be paid in exchange for long-term profitability

Since last January 25, the date on which the SP500 reached a maximum of 2,872 points, the bags fell by just over 8% in a few days. Last Tuesday the media rushed to report that the US stock market had experienced the largest decline in its history, with the Dow Jones, an index composed of the 30 largest US companies, 1,175 points.

Given that the media knows for certain that viewers pay more attention to negative news than to positive news, because our brain is programmed to survive and otherwise it would have led to failure, they rushed to tell the story of the way they find it most convenient, and give the absolute value of the fall instead of the relative. And that data, in percentage, is the 531st worst day in the history of the Dow Jones.

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Evidently, it is not the same, in points, a fall of 4% on a value of 13,000 points that was in 2008 that of the environment of 24,000 as it is currently. And the data, to be representative, has to be given as a percentage.

The media do not favor the investors, frightening them with distorted and short-term data that take them away from the market and create the uninformed saver with the feeling that the stock market is a casino in which all the money can be lost at any time and that you have to run at the minimum correction.

The variation of short-term prices is the price that must be paid in exchange for long-term profitability. It is an inevitable part of the process, and we must remember it again and again so as not to be carried away by fear and lose the opportunities that arise.

In the attached graph you can see the annual revaluation of the SP500 from the year 1980 to 2107 in the vertical bar, while the point represents the maximum decrease during the year.

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Reviewing the history always gives us a good reference, and if we analyze the historical data since 1980, we see that in all but one year (in particular 2012) there have been more intra-annual decreases than the final annual result and that Although the average value of the maximum annual decrease was 13.8%, profitability has been positive in 29 of the 37 years.

The last two years have not been normal in the markets, being exceptionally stable.

A return to normality should be seen as positive since it will generate an environment in which opportunities to buy at good prices due to corrections that last days, weeks or even several months will appear. For this, having some liquidity will give us the right tools to take advantage of the situation when it arises.

Bitcoin has moderate debut in the future market of the Chicago Mercantile Exchange

Bitcoin began trading on the Chicago Mercantile Exchange (CME) futures market on Monday, the world’s most important financial derivative, drawing less attention than its recent debut on a smaller platform.

Bitcoins futures contracts have been available at CME since last night, taking advantage of the opening of Asian markets.

The premiere at CME follows the start of Crypto-Quotes on CBOE’s future market, also in Chicago, on Monday. A week ago, the launch of the contracts made bitcoin overtake the $ 20,000 barrier, the euphoria that is more contained today.

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An hour after the start of operations at CME, bitcoin contracts for January had fallen 6% to $ 26,650 each. Now, the retreat is already 8%, to $ 18,990.

WEC is offering futures contracts with a one, two, three and six-month term. However, in the first session, those due in January far exceeded the later deadlines.

Near the middle of the session, CME had traded 873 bitcoins contracts, averaging $ 18,825. This represents a turnover of US $ 83 million, a low value for the US market.

The amount is much lower than the one recorded at the CTOE’s Cryptotone debut, despite being a much smaller platform than the competitor in Chicago.

“There are more people involved in the CME launch than there was in the CBOE,” said Cumberland Chief Operating Officer Bobby Cho.

But if last week, bitcoin’s entry into the CBOE drew more attention from investors, the premiere at CME, more importantly, generated far less interest from the operators.

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Among other reasons, the market is focused on Wall Street advances today, where Dow Jones Industrial, the leading indicator of the stock market, has already gained 200 points. In addition, analysts had anticipated that the entry of bitcoin into the US futures market would reduce cryptomedean volatility by stabilizing prices.

According to Coinbase, the virtual currency was worth less than $ 1,000 in the same period last year. The appreciation in the last 12 months was around 2,280%.

The fact that bitcoin is a criptomoeda without the control of a central bank, without regulation of any kind and used by people who want to launder money, makes the market believe that this speculative bubble will burst sooner or later.