A recent ii poll shows that more active investors are buying than they were at the end of February.

interactive investor coronavirus poll: More armchair investors go shopping – but many are still waiting for further falls

As the coronavirus pandemic continues to send global markets South, a poll of 2,295 interactive investor customers between 11 - 16 March 2020 shows that more active investors are buying than they were at the end of February.

This second wave of investor research follows on from a wave 1 poll of 2,337 investors between 28 February – 2 March 2020, when market jitters were taking hold.

The most recent wave 2 survey shows that whilst many investors are still doing nothing amid Covid-19 concerns, this is down 6 percentage points (from 53% to 47%) two weeks ago. Instead, more investors are starting to take the plunge and buy – some 43% of investors said they are increasing their stock market exposure - up 8 percentage points from the last survey (35%).

However, many investors are all too aware that the market could sink lower. Some 19% of investors think the FTSE 100 becomes a buy if it heads down to 4,500, 9% think 4,000 and 8% think even lower. 

There has been little change in the proportion of investors saying they have deliberately increased their cash (8% vs 10% two weeks ago), while those moving into gold or bond funds remains at 1% respectively. 

Those who are still investing after market falls are tending to favour shares (55%, up from 49% in wave 1), followed by investment trusts (20%, down from 26% in wave 1). Some 11% of investors are looking at active funds, and 7% passive funds, and 8% are looking at ETFs.

The UK was the most favoured region for those increasing their stock market exposure (70%), followed by the US (15%) and this was very similar to the wave one research.

Rebecca O’Keeffe, Head of Investment, interactive investor, says: “History suggests that the best time to buy is when the market is fearful – and the market is firmly in panic mode now. Many of us can look back and wish that we had held off buying, but it is nigh on impossible to call the bottom of a market. 

“Most global markets were at or close to record levels before the start of the sell off, with some (such as the US) arguably at stretched valuation levels, so there was always plenty of potential downside in the event of a negative shock.  Most of us have (mercifully) not experienced an event such as Covid-19 in our lifetimes so there is a huge element of uncertainty still around.  

“Selling now would crystallise losses for many investors.

 Yes, it could still get much worse, but history suggests that, if you have a reasonable time horizon for your investments, then it is usually better to be buying during these periods of extreme fear and risk aversion than it is to be selling. 

“And you also have to think about dividends and total returns – something that investors often forget in times of pronounced market stress.

The FTSE 100 may be back at levels not seen since 2010, but it has paid out high levels of dividends since then and while there may be some companies that are forced to cut their dividends over the coming months, the likelihood is that dividends will still continue to be paid at a reasonable rate.”

source: ii.co

Uncertainty has powered the incredible roller coaster ride in stock prices these past weeks and the remarkable (as well as historic) drop in bond yields.  Don’t expect that to go away anytime soon.  But do keep in mind legendary investor Ben Graham's advice: “The intelligent investor is a realist who sells to optimists and buys from pessimists.” 

Translation: During market routs like the one happening now consider adding to your investment portfolio.

Graham’s student, Warren Buffett famously said, “Widespread fear is your friend as an investor because it serves up bargain purchases.” Translation: Now might be a good time to put some cash to work or increase your contribution to your 401(k).

My tune will rarely change on this subject. Corrections, even bear markets, create opportunities for patient investors.  According to J.P. Morgan’s 2020 Guide to Retirement, from Jan. 3, 2000, to Dec. 31, 2019, $10,000 invested in the Standard & Poor's 500 index grew to $32,421 for an annualized total return of 6.06%. By simply missing the ten best days, that same $10,000 investment grew by half as much, to $16,180 for an annualized return of 2.44%. Ouch.

Can cash carry coronavirus? World Health Organization says use digital payments 

In recent columns, we discussed how to prepare your 401(k) for a downturn and talked about sound investing principles in the face of violent sell-offs. Stock prices may still face selling pressure as the number of COVID-19 cases in the U.S. rise. So it is still a good time to review a few facts.

What's really moving the market

• In the near term, no one has any idea what is moving stock prices. If you've been glued to the financial news networks you might be struck, as I have been, by how many pundits can tell you with certainty why stocks are trading as they are at any moment. Yet we know that in the short-term stock prices are influenced by computer-driven buy and sell programs and institutional money which moves in and out with lightning speed. Short-term moves then reflect money flows rather than fundamentals. 
  
  

See beyond the moment

• The underlying fundamentals of a company will eventually matter again. Take tech bellwether Microsoft. The stock peaked on February 10th at $188.70. After warning on February 26th that sales in the PC unit — about 35% of total sales — will come in below expectations, the stock has been hopping around like a lotto ball on Powerball jackpot night. The long-term fundamentals of the company will likely still delight investors for years and when the focus returns to fundamentals the stock price will trade accordingly.  Buffett once said: “…when a great company gets into temporary trouble…we want to buy them when they’re on the operating table.“ Consider that as you review your investments this weekend. 
  
  

Don't get sucked into the panic

• Human nature never changes. Panic begets panic.  The Dutch tulip bulb bubble in the 1600s, one of the most famous bubbles of all time, demonstrates very clearly what rampant speculation wrought. At the height of the mania, rare tulip bulbs traded for multiples of the average person’s annual salary. Remain cool. And rational.  
  
  

Think about your mix

• Diversification is always smart. I can’t add much on this topic, except to say—you should follow a prudent diversification strategy that aligns with your appetite for risk. Stocks may be down double- digits but bonds are up.  That is the point of diversification. 
  
  

Keep cash to the side

• Keeping your powder dry is for times like these. Cash on the sidelines comes in handy when stocks decline. Consider adding cash to your stock holdings and if your bond holdings have appreciated above your target, trim those back and add to stocks to ensure your allocation reflects your goal.  Graham and Buffett would be proud.  
  

source: usatoday

They can also add $5.3bln to country's GDP, says Bain & Company

Saudi Arabia stands to gain from municipal investments, which are projected to contribute 20 billion Saudi riyals ($5.33 billion) every year to the country’s gross domestic product (GDP), a global management consulting firm said.

At the recent Municipal Investment Forum in Riyadh, Bain & Company highlighted the positive impact of municipal investments, citing that they are “pegged to achieve 5 billion riyals to government revenues” annually and also create 125,000 jobs for residents.

“Given the immense economic impact of municipal investments, it is critical to entice more investors into supporting initiatives in various municipalities and governorates,” Samer Bohsali, a Middle East-based partner at Bain & Company said.

 “Investments such as these are key to building competitive cities in Saudi Arabia in support of the goals and objectives of Vision 2030,” Bohsali added.

Municipal investments can support the 35 objectives of Vision 2030 and its six main programs, namely privatisation, housing, quality of life, hajj, national transformation and fiscal balance, according to the global management consulting firm.

“It is significant for governments worldwide, not just in Saudi Arabia, to focus on building competitive cities because of their many economic benefits,” he said.

“A competitive city’s GDP growth stands at 5 times compared with average cities. Job growth stands at 4.5 time relative to average cities. In terms of income growth, competitive cities experience a 10 times increase compared with average cities,” Bohsali said.

source: zawya

GCC MAJOR SOURCE MARKET FOR OUTBOUND MICE TRAVEL SAYS REGIONAL EXPERT MICEMINDS   

WINS ‘BEST INCENTIVE PROGRAM IN AN INTERNATIONAL DESTINATION’ ACCOLADE AT

THE MALT EXCELLENCE AWARDS 2020

Dubai, United Arab Emirates: The global MICE industry is anticipated to reach over $1.4 billion in the next five years and the Middle East remains at the forefront as one of the fastest-growing tourism generators globally and an important source market for any destination.

According to the team at MiceMinds, the UAE is the second biggest source market for outbound travel from the Middle East, surpassed only by Saudi Arabia. This growth has been buoyed by the growth of the regional airlines as well as the game-changing mindset of companies like MiceMinds who create bespoke incentive travel experiences that are personalized and designed to lead positive business results.

An ITL World Company, MiceMinds was lauded for their ‘out of the box’ thinking where they won the ‘Best Incentive program in an International Destination’ award at the MALT Excellence Awards last night. The official award show of the renowned Mice Arabia and Luxury Travel Congress (MALT), the MALT Excellence Awards highlight, honor and celebrate path-breaking achievements of top organizations and individuals, who have demonstrated exemplary initiatives in the field of Meetings, Incentives, Conferences, Events (Mice), Business and Luxury Travel from the GCC.

This particular award recognized this unique organization within the ITL World portfolio that uses incentive trips as a tool to stimulate and motivate employees and partners and reward those who have achieved certain goals in the company.

“When we won the TMC of the Year award last year we didn’t rest on our laurels so to be rewarded for a 2^nd year in a row is a real honor especially for a part of our business that usually goes unrecognized. The core objective of MiceMinds is to help organizations strengthen their team and overall performance through one-of-a-kind travel and event experiences, and this unique accolade underscores our steadfast commitment to excellence in making the MICE industry bigger, better with more customization and innovation across the board,” said Rafeeq Mohammed, CEO of ITL World.

“Awards such as this are a wonderful endorsement of our unique approach to delivering exceptional experiences to our MICE clients and the resolute commitment and expertise of our team,” he added.

Since its official launch in 1998, ITL World has been assisting companies across the globe to make the most of what they spend on business and incentive travel.

source: uaenews247

The Egyptian government is working to move its entities to the new capital, and wants to provide adequate transportation services to the public sector employees

The Egyptian Minister of Planning and Economic Development, Hala El Said, has discussed with the General Manager of Uber Egypt, Ahmed Khalil, expanding the services of the ride-hailing application to the New Administrative Capital.

The Egyptian government is working to move its entities to the new capital, and wants to provide adequate transportation services to the public sector employees, the minister further noted.

El Said vowed to provide a suitable environment for Uber’s expansion plan, referring to the success of the Uber Bus services that launched for the first time in the world from Cairo.

The minister further stressed the need for creating a feature for frequent passengers to cater to the needs of students and employees.

Uber launched in Egypt in 2014, according to Khalil, who noted that the company now has more than 130,000 drivers.

The company is planning an Uber for Government service for public sector employees in the new capital, he further indicated, with studies to introduce the Uber Intercity programme across all governorates.

soruce: zawya

It’s no secret that your people are the beating heart of your company.

Whether you’re a two-person pre-seed startup, or a 50-person strong Series B, a focus on people is vital.

With record-breaking FDI and increasing levels of M&As in the MENA region, there’s never been a more pertinent time to invest in your talent strategy. With that in mind, here are a few tips to get your talent strategy heading in the right direction:

1-BUILD A TEAM TODAY THAT’S FIT FOR TOMORROW

The team you put together now will be executing your key objectives for the next two, six, and 12 months.

Who you hire now dictates what your company is capable of achieving between now and its next significant phase of growth.

If you begin to hire incredible talent, you’re sending a signal out that you’re ready for growth.

2- BUILD A HIGH-SPEED, HIGH-QUALITY RECRUITMENT OPERATION
Top talent will have offers coming from multiple companies. Interesting startups with strong ideas can miss out on the best talent by making the recruitment process too long.

Build a process that will test the capability and compatibility of your candidates without making it tedious for them.

In the time you are deciding after your fourth-round interview, your candidate could be tempted elsewhere.

3- LOOK BEYOND INCREASING CAPACITY
When facing the need to hit growth targets, companies can go on a hiring spree to increase capacity. This can help you achieve your targets no doubt; however, you face a battle to maintain the growth that warrants these hires, and the potential disruption of having to part ways with recent hires once you achieve your desired growth- a real demotivator internally.

Being transparent with hires from the start is one way to alleviate the potential effects of such a strategy; however, looking further than the short-term and investing in talent to take you beyond this is a healthier option.

4- LOOK BEYOND THE SKILLS GAP
Look for people who will add value to your culture. Be honest if your team is lacking in a certain area that you might want to improve- for example, if you’re naturally risk-averse, look to bring someone who will challenge this.

Look to add value in areas important to you and your leadership team.

5- UP-SKILL WHERE POSSIBLE
Your business will turn from needing generalists to specialists. There will be tough conversations to have with people who have got you to a certain stage, but can’t take you to the next level.

Where one person may have been wearing multiple hats before, you will be looking to bring in experts in these separate areas that may make that original person unfit fit for a role.

If you see potential in these generalists, look to upskill them where possible so that they can remain in your company.

These founding people offer much more than their skills, contributing hugely to your culture, if you can lift them up to the level you need, it’s a win for everyone.

6- CREATE CLEAR PROGRESSION FRAMEWORKS
People join high-growth businesses because they want growth too– as such, design scalable roles for people capable of growing.

To avoid increasing attrition rates, make it clear where people could get to in your company. Making these roles visible is a big motivator, and it will help you retain current staff and attract new talent.

The rewards of investing in hiring and managing talent as you scale are vast. With both funding and exits on the rise in the MENA region, the impetus to invest in talent is clear.

These little tips outlined are part of a larger exercise to consider your talent strategy, and be thoughtful when you’re looking to scale.

source: entrepreneur

Predicting the future of social media is always fun. Product managers make sure that their customers engage a lot more on their products than they did the previous day.

Hence the product’s features and tools are rolled out in a way that it offers more ways to connect, track and maximize a product’s online marketing performance.

Though there are lot of products being launched, only the best will endure.

I make my own predictions every coming year, then look back at them to see if I was spot on or way off. These are my trend predictions for social media marketing in 2020 and where things seem to be heading as we begin the next decade, based on my subject expertise and experience in 2019.

Influencer Marketing

According to the latest research, influencer marketing will skyrocket, with 59% of marketers planning to increase their influencer budgets in 2020.

Consumers always get confused when multiple ads are targeted towards them hence an influencer marketer builds that trust by reviewing the product and convincing them in their purchase decisions. These people can be friends and family, but the circle of trust has now grown to people they follow on social media, ranging from celebrities to niche artists and experts in specific fields.

Social media has always been great for small and medium sized business and startups, because it allows small brands with less budget to compete with brands on the same stage.

Many small and medium sized business don’t have the budgets to go after the “named” influencers, so we see a rise in the growth of micro-influencers in the coming ages.

Shopping on Social Media

Shopping on social media is a trend that began this year and is predicted to grow.

Through your fingertips you get to see the things you need without even making an effort to visit the ecommerce website. Now, with just a few clicks, you can go from seeing something you like while scrolling Instagram or Facebook.

Within a few seconds you can acquire a product by COD or via borderless transactions.

Many startups sell their products online since this platform reduces storage space and helps cut down the budget.

Stories Will Become the Marketers’ Darling For a while, Stories were exclusive to Snapchat, but then Instagram and Facebook Stories came out, and recently YouTube also started to show Stories.

Stories portray reality and consumers are more eager to see what are the latest and most interesting things that are happening with their brands.

Videos can be captured on the spot and Stories can be easily created which gives traction to authentic insights.

Stories offer a sense of urgency since they have a time limit of no more than 24 hours to boost sales and offer discounts.

Chatbots

When chatbots first came into the picture, customers only received pre-recorded answers to questions. Algorithms are improving chatbots’ effectiveness by “understanding” what users are writing to them. Brands no longer have to stock the bots with canned answers, as chatbots finds accurate answers online very quickly.

Chatbots can interact with multiple audiences at the same time. Multitasking is where humans do multiple things at the same time to save huge chunks of time. Soon, chatbots will take the jobs away from humans.

Improved Customer Service

This second part is dedicated to chatbots. Every day, the duration of the time that elapses from the moment a consumer initiates a call and until he establishes contact and expect an answer is indeed shortening.

We know that having a live 24/7 customer service team for every single business is a waste of resources.

Utilizing chatbot technology, in combination with your live staff, enables a type of round the clock coverage.

Although bots do not answer every single question, nor do they allow the personalization of talking to an actual human lots of time can be saved for the customer service workers by handing over the same repetitive questions, changes to addresses and passwords to the chatbots.

There are lots of improvements needed for an effective chatbots to run.

They will be the major game changers in the automation industry in 2020; offering time, cost and savings efficiency, and enabling wise use of company resources.

Hence these are the main technology pivots in social media. A lot of new tools and shifts will take place in 2020, but in terms of actionable marketing potential, these are the areas where I predict to see the more relevant shifts.

Hopefully these notes will help you make your strategic approach.

source: bentrepreneur.biz

Here's what entrepreneurs need to do to avoid costly mistakes down the line.

Many people aspire to start their own business, but succeeding in the commercial marketplace is easier said than done.

Companies led by inexperienced people unfamiliar with the legal requirements they need to fulfill are particularly susceptible to failure. Nevertheless, many business owners jump into the competitive marketplace without doing enough research when it comes to covering their legal bases.

Don’t start a business without first thoroughly preparing yourself.

Here are eight legal requirements you need to fulfill when you start a business, and the costs associated with letting these important concerns fall by the wayside. 

1. Protect your personal assets

The most important thing to consider when launching your own business is how you intend to protect your personal assets. No budding business owner wants to think about failure, but the truth of the matter is that many new companies struggle to earn a profit and collapse.

Even those that are successful might find themselves the victim of an unjust lawsuit that eats up time, money and energy.

To avoid a lawsuit being the end of not only your business but also your personal financial security, it’s imperative to protect your assets by forming an LLC. A limited liability company, as the name implies, limits the degree to which you as the business owner are liable for damages incurred by customers. Thus, a customer who sues your company after receiving a faulty product or inadequate service won’t be able to touch your personal finances or bank account.

Take plenty of time to research forming an LLC, as this is a lengthy process but an essential one that must be done by the books. 

2. Check if you must publicize your company 

Depending on where you live and where you intend to open your business, you may face extra hurdles when forming an LLC or similar legal entity.

Some states and cities require that you publicize news that you’ve formed a company by posting a statement in a local newspaper, for instance. Failing to take this step could result in a stiff fine or a refusal on behalf of state authorities to recognize your new business.

At least three states have newspaper publication requirements: Arizona, Nebraska and New York. Residents of those states should pay special attention to the rules. 

3. Understand you must insure your workers

In most states, business owners (particularly those with more than five employees) are legally required to insure their workers in a number of ways. Offering worker’s compensation insurance to those who are injured on the job and incapable of providing for themselves, for instance, is required in most of the United States.

Many amateur business owners attempt to cut down on the costs associated with running a company by mitigating their insurance rates, but understand that skimping out on worker’s comp could seriously backfire and cost you dearly. 

can have, as it keeps you safe from generic claims of wrongdoing and will ensure you can keep the lights on should you be sued. 

If a customer is walking between the aisles of your store before slipping and injuring their back, your general liability insurance is going to be what kicks in to protect you after they sue you for damages. Similarly, if one of your products is defective and harms the user, general liability insurance will guarantee that your business doesn’t have to close its doors while reworking its entire manufacturing and logistics process.

5. Ensure you’re not violating trademarks 

Trademark and copyright violations aren’t something that can or should be shrugged off, so every budding entrepreneur should take time to ensure that the name they’ve chosen for their business isn't already trademarked. If you launch a new company and begin advertising your operations without checking if your name is already taken, you could receive a cease and desist form or even a subpoena in the mail. 

Formally register your name with the U.S. Patent and Trademark Office if you want to sleep soundly at night, convinced that your business’ name is yours and yours alone. 

6. Don’t forget about taxes

Now that you’ve clarified that your name is permitted and you’ve purchased expensive insurance, it seems only natural that you should get down to business.

Before you can open your doors, however, you need to address the issue of how you’ll be paying federal taxes. Unless you want the IRS knocking on your door, you’ll need to apply for an Employer Identification Number online via a holding company, which will allow the U.S. government to differentiate between your business and others when collecting what it’s owed. 

Take some time to browse the EIN page on the IRS website if you’ve not taken care of this already. 

7. Check if your industry needs licensing

These days, there are few generic businesses left, as specialization is the key to success in the modern economy.

Certain industries require you to attain a license before opening your doors, however, so don’t think you can leap straight into a specialized area without doing your homework beforehand. 

Check out a list of professions that require licensing across the United States and ensure that your documents are up to date if you want to avoid legal trouble.

Medical professionals, legal experts and other professionals in important industries should take special precautions when checking their licensing requirements. Malpractice lawsuits can be ludicrously expensive, so don't skip this step.

8. Hire a good lawyer

Finally, every business needs a good lawyer to call upon when things inevitably go wrong. In this day and age, it’s only a matter of time until you're dealing with a lawsuit, and when the subpoenas arrive you’re going to want solid legal expertise to rely on. Thoroughly vet the lawyers in your area and don’t be afraid to ask them why they’re the best choice for your business. 

Always remember that lawyers who can’t answer your questions in a satisfactory manner won’t be capable of seriously defending your business. Invest plenty of time, energy and money in finding the right legal experts to help protect your business, and your new company will be up and running in no time.

 source: entrepreneur

Entrepreneurship in Saudi Arabia has evolved over the years, and with the introduction of Vision 2030 the government has taken many steps to improve the market for foreign investors and open doors for startups and SMEs in the Kingdom.

As the value of entrepreneurship is realized and the benefits it provides to the economy and society, the government has initiated actions to boost the entrepreneurship ecosystem. 

Creating the right ecosystem for entrepreneurs to thrive in the Kingdom has been a key objective for the government.

This means creating enabling policies, providing appropriate opportunities for funding, creating a positive culture, support mechanisms and a venture-friendly market.

This requires support from other stakeholders such as corporations, risk capitals, universities, and other entrepreneurs, who help enable the growth of startups and SMEs in the Kingdom.

The government’s commitment to entrepreneurship has been further displayed through the fueling of the entrepreneurship and SME sector.

They have introduced initiatives and funding boosts to assist new entrepreneurs entering the market.

This includes a SAR 72 billion (US $19.2 billion) stimulus package to boost the private sector with a large focus on different programs and initiatives supporting SMEs, such as government fee reimbursements, a government VC fund, indirect financing to SMEs and export financing.

Continuing, the government launched the Meras program which provides all the public and private sector services required by an entrepreneur to set up a business in a day. Then, the General Authority for SMEs, also known as Monsha’at, was established which pledges to remove the barriers to entry, access to funding, supporting SMEs with marketing and exporting products and services.

These positive changes to improve the entrepreneurship ecosystem and create ease for those looking to enter the market has grown the Saudi Arabia entrepreneurship ecosystem rapidly.

The government is now focusing their efforts on increasing innovative and technologically advanced startups in the Kingdom to put Saudi ahead in the region. 

source: