Posts Tagged ‘ Tokyo ’

Kuroda Bank of Japan Governor – Japanese but with a Oxford mindset ?

Prime Minster Abe has now got everything in place for Abenomics to take effect ,

What a lot of people don’t know is that Haruhiko-Kuroda is a Oxford graduate and as such has a very different mind set to his predecessors , Shirakawa’s studies at the University of Chicago in Milton Friedman’s advocacy of low inflation and disciplined central banks in the context of well-run budget policy.

Kuroda said in parliament last week that he is well acquainted with U.S. Federal Reserve Chairman Ben S. Bernanke, European Central Bank President Mario Draghi and departing Bank of England Governor Mervyn King, very different to his predecessor as he is keen to get Japan back on the international stage.

So much has been placed on his shoulders , personally I think he is up to the task , I can see a economic revival here .

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To be born in Wales, Not with a silver spoon in your mouth, But, with music in your blood And with poetry in your soul, Is a privilege indeed

In perpetration for tonight’s big match , supporting our lads from Tokyo .
I truly enjoy the feeling of anticipation , the rivalry and good old comradery .

Yn paratoi at heno am y gem mawr , a cefnogi y hogia o Tocio .

To be born in Wales,
Not with a silver spoon in your mouth,
But, with music in your blood
And with poetry in your soul,
Is a privilege indeed.

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“Winners never quit and quitters never win” Lombardi

“winners never quit and quitters never win” Lombardi

One of the most inspirational book I have ever read, what a man. When ever I want inspirational I read Lombardi .

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“Abenomics ” the winners & loosers

for every action there is always an equal and opposite reaction

Newton said that in 1687 and I can say that that is true today of the effect of “Abenomics” .Don’t get me wrong it’s exactly what Japan needs to kick start its economy but this will effect Japan’s biggest and also faster growing demography the “retired or silver saver as they known here ”

To understand this you need to understand inflation & deflation :
•inflation – increase in prices ( money has less purchasing power”
•deflation -prices fall ( money has more purchasing power )

So in a deflation environment which Japan has been for in the last 20 years “cash was king ” elderly saw their income power increase every year , with Abenomics this would end and this purchasing power would fall . The retired in Japan have assets in excess of $7 trillion ( that’s nearly as much as the GDP of UK ,Germany & half of France !)

The winners will be the stock market , forex and in the Japan Economy .The losers will the retires and people on fixed income ,

Personally I hope Abenomics will succeed Japan needs it, but it all comes down the “silver savers” will they allow it?

No one is bigger than the market forces , but the silver savers is quiet a force,

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“Out of the ashes arose a great Phoenix “- What I can see 2 years on in Japan

“Out of the ashes arose a great Phoenix “- What I can see in Japan 2 years on, keep it up.

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Bank of Japan ready to declare war on deflation ???

Is the Bank of Japan ready to declare war on deflation ? I believe so , Kuroda said last week he would take aggressive action to stop deflation and to increase the growth of the economy .
I personally believe he will look at around $1billion a DAY ! At the moment the BOJ has plans for $1billion every 2 days starting next year ,
His comments last week gave us the impression he wants action now rather than later !

“It would be natural for the BOJ to buy longer-dated government bonds in huge amounts,” Kuroda said in a confirmation hearing in parliament .

I personally see no real change until the up and coming election has been won by Prime Minister Abe . Reason for this is that Japan have been sheltered from high energy price , commodity and food price and residents in JAPAN haven’t seen their bills increase as most other G8 countries .Weaker Yen means higher prices for consumer ( voters ) and that means no votes !

Kuroda has still not been confirmed as the new Bank of Japan governor but the markets have already taken this as a given , Nikkei goes up 2+/-% in a day.
A 1% increase means the Nikkei adds around $23billion !!!

I see Abe drawing up a battle plan for war , at the moment he is just appointing his “generals” , summer time I can see the full war!

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Supporting Cancer Reaserch – Pink Ball Tokyo

I am pleased to support Run for Cure Japan Pink Ball 2013 .

This year’s gala is the Foundation’s 10th, and this will be the 4th time I am able to support this worthy cause .

‘The evening remains devoted to bringing together those in the community who share a commitment to fighting breast cancer as a life-threatening disease in Japan, and spearheading greater awareness, diagnosis and treatment among Japanese women of all ages – especially in medically underserved regions’

2013 Bink Ball Westin Japn

2013 Bink Ball Westin Japan

 

If you would like to donate please click on the blow link :

http://www.runforthecure.org/en/donate

UK company pensions – the end is nigh? Or even closer??

BCCJ Acumen March 2013 issue

UK company pensions – the end is nigh? Or even closer??

2007 saw the world suffer the largest financial meltdown of our generation, and while this was a key catalyst in today’s pension crisis, it is not the sole issue.

Coupled with a rise in life expectancies, this has now created a major problem for ANYONE (British, or non-British), with a UK pension, and expecting to receive an income in retirement.

The UK retirement age was set at 65 in1948 to provide financial support in the final year or two of life – the average life expectancy for a male at this time was 66.8.

Today the average life expectancy is in the 80’s and rising!

Pensions were designed to fund short retirements, not 20 or 30 years of retirement. As people’s life expectancy rose so did their expectations for an early and long retirement; in some cases 30 years of work and 30 years of retirement!!!
Pure Madness

Today 80% of UK company pension schemes are in serious deficit; they do not have the financial assets to meet their liabilities. Consequently the amount of pension income received in retirement could be significantly less than expected. Ten people for tea, only six sandwiches on the plate…

A guarantee is only as good as the one making the guarantee! In the words of Benjamin Franklin “‘In this world nothing can be said to be certain, except death and taxes.”

The UK has 7,800 pension schemes, and 1,184 have gone bust due to company failure or unsustainable funding ratios.

On average, 15 schemes a month are falling into Pension Protection Fund (PPF) and at this rate 25% of all Final Salary schemes will fall within the PPF within 7 years.

The PPF is a statutory fund run by a statutory corporation, not the government and has neither government guarantees or funding. It’s objective is to be commended, to pay compensation to defined benefit pension scheme members when their employers go bust and cannot afford to pay what they promised.

PPF Assets per member 2010/2011 £86,500
PPF anticipated assets per member 2015 £34,000

Once a DB scheme enters PPF assessment the opportunity for members to transfer out is gone.

But won’t the value of my pension recover?

Very unlikely :

• 60% of UK pension scheme money is invested in government bonds, not equities, therefore little growth!
• It is a myth that final salary schemes are guaranteed, they are NOT.
So in the BOOM in the stock market in 2013 (FTSE up 7.26%) UK pension schemes missed out!

11 FTSE 100 companies have pension liabilities in excess of their market capitalization:-

British Airways
British Telecom
BAE Systems
Royal Bank of Scotland
RSA Aviva
Lloyds TSB
GlaxoSmithKline
Marks & Spencer
Barclays
ITV
Sainsbury’s

BA’s DB pension scheme liabilities are 5 times the value of the company.

Many schemes are unsustainable and represent a serious risk to the future survival of the company.

What should you do?

If you have a frozen (DB) final salary scheme, then there has never been a better time to transfer into a Qualified Recognized Overseas Pension Scheme (QROPS). Why? Transfer values are 80 per cent higher today than they were six years ago.
Why the increase in QROPS ?
People are frustrated with Chancellor Osborne moving the goal post on pension benefit , age of retirement , contribution . When there is confusion people don’t do anything . People want some certainty , in Japan people have seen the £ go from 240 to 140 , seeing their incomes halved !

What can I do ?
Sit down and review your current situation , the pension itself and the scheme.
In my position as Area Manager of deVere Group Japan I have personally seen an increase in individuals fearful of the current UK pension crisis . With good reason there is an unprecedented window of opportunity available to eligible DB scheme members today that may well not be there tomorrow.
Due to the complex and convoluted nature of pension & pension transfers, the deVere Group have commissioned an independent actuary to prepare a report for interested individuals , this is very simple to initiate.

Download the article :
Industry_deVere

QROPS – deVere Japan reaffirms importance of pension transfers.

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