National Bank reported net income of $233 million in the second quarter of fiscal 2007, an increase of nine per cent over the same period last year, largely on the back of higher profits in its financial markets and wealth management segments.

Canada’s sixth largest bank reported Thursday that diluted earnings per share were $1.40, up 11 per cent from $1.26 in the second quarter of 2006. Had it not been for the net gain on the sale of its shareholder management business in the second quarter of 2006, the increase in diluted earnings per share would have been 14 per cent, the bank added.

Between the second quarter of 2006 and the second quarter of 2007, total revenues grew nine per cent to $1.02 billion, while return on common shareholders’ equity stood at 20.3 per cent.

“Standing here on my last day as head of the bank, I am very satisfied with how the bank fared during the quarter. It exceeded all of its profitability objectives with strong contributions from all segments,” said Real Raymond, outgoing president and CEO.

Incoming president and CEO Louis Vachon said he feels the financial institution is in an excellent position to continue its trend of profitable growth.

“National Bank has once again demonstrated the value of its growth strategy based on a balance between its three core areas of expertise: personal and commercial banking, wealth management and financial markets. Over the coming quarters, the segments’ strategies will be brought up to date to enable the bank to further strengthen its presence in its priority markets and exceed the expectations of all parties that have a stake in its success.”

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CORPORATE giant CLICO is about to start a more than $212 million transformation of Barbados south-east corridor with the full backing of Government.

Prime Minister Owen Arthur also made it clear that no amount of political provocation would make his near 13-year-old administration engage in whimsical and other vicious relations with the company headed by Leroy Parris. The CLICO Group has interests in insurance, construction, is a major land owner in St. John and is now venturing into the tourism and hospitality sector in a big way.

Arthur announced that by September a massive $200 million restoration of Sam Lords Castle, St. Philip  including a 250-room five star hotel and conference facility, plus 200 condominiums  would be started by the entity.

Next door in St. John would be the $12 million Villa Nova hotel, with plans awaiting approval for the construction of a 45-unit community there, he added.

Thats not all for that rural parish, however. CLICO has also proposed a golf development along with recreational facilities and condominiums on 300 acres of Government land at Bath, to serve both Barbadians and those who will be holidaying at Villa Nova and Sam Lords.

Addressing management and staff of the Trinidad-owned company during its group awards gala 2005 and 2006 at Sherbourne Conference Centre on Saturday night, the Prime Minister said the region comprising St. John, St. Joseph and St. Philip was the new frontier of development in Barbados.

The west and south coasts were saturated, certainly in terms of the availability of new areas of expansion, he noted.

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Here are additional helpful tips to gain financial knowledge:

1. When hiring a person to work for you, hire one who is more knowledgeable in the position you intend to hire him/her for. This way, you will have less worry if he/she is able to perform the job. You get to learn from the person, and you’ll have more time to attend to other moneymaking ventures. Don’t think the person might be a threat to your business, as long as you pay him/her well. Otherwise, he/she need not work for you in the first place.

2. Changes, especially those that involve bargains, can spell profit. Take for example in a supermarket where there is a “sale.” People’s most likely reaction is to buy and stock up. It is normal reaction but peculiar when analyzed. In the stock market, when there is a price crash, people tend to shy away. This is contrary to what happens in the supermarket. Why?

Perhaps, we will never know. On the other hand, when prices in a supermarket go up, people shy away. Again, in the stock market, when prices go up, people start buying which shouldn’t be the case.

3. Part (or shall I say a big portion of) financial knowledge is knowing the difference between an asset and a liability.

Actually, an asset or a liability depends on the person looking at the thing. What you think is an asset, could be a liability to another person. As mentioned before, anything you own that earns is an asset; otherwise, it is a liability.

4. Oftentimes, we stick to the conventional way of doing business: “This is the way it is done here.” For all we know, the conventional way might not be the best way. Look at it another way, the unconventional way. It could save money, and money saved is money made.

5. High emotions (fear included) can sometimes suppress financial knowledge. Do not let your financial ability submit to your emotions. Overcoming emotions is, per se, part of the learning process. Similarly, making financial decisions without proper training on finances is disastrous.

Gain more financial ability is simply having more options for opportunities that come your way. In the same manner, a higher level of knowledge can help you spot opportunities other people don’t see. What you can’t see with your eyes, you might see with your mind.

Money comes and goes. But unlike money (although this is what we’re aiming for), financial knowledge stays. The nourishment it needs to stay keen is to keep it accurate and up-to-date.

If you feel like you’re being pushed around, stay smart, exercise self-discipline, and keep updated. Be alert and look out for “double standard” information (information that requires double checking). It is better to reconfirm than be sorry later.

The basics of financial knowledge should have been taught in school; but it hardly did, and it looks like it hardly will. This explains why the poor and middle class comprise the majority of the populace with its gap from the rich ever widening.

If a person winds up with a lot of cash without financial ability, this person is bound to find his/her money gone soon. We’ve heard of athletes who earned millions during their prime and movie stars who amassed untold fortunes only to grow old broke.

Having financial knowledge is truly vital to maintain and grow your wealth.

If you are looking for answers to massively increase your income and become a Millionaire with proven strategy. Then you will not want to leave without checking this out. If you’re looking to secure your financial success, I urge you to check this out.

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MUMBAI: Reliance Capital, the non-banking finance arm of the Anil Dhirubhai Ambani Group (ADAG), is planning to foray into investment banking to broaden its offerings in the financial sector.

The company, which has presence in asset management, retail broking and insurance businesses in the country, intends to start the investment bank in partnership with a foreign player, a person familiar with the development said. He, however, declined to divulge further details.

Reliance Capital’s vice-chairman Amitabh Jhunjhunwala is said to be overseeing the initiative and the company has initiated talks to rope in key executives.

A Reliance Capital spokesperson declined to comment on the development. An email query to the company did not elicit any response. According to bankers, Reliance Capital’s partner for the investment bank could be a foreign firm with no presence in India till now.

Some of the names taking the rounds are the US-based Bear Stearns and Paine Webber. Investment bankers said Reliance Capital would provide the knowledge of local markets, while the foreign partner would bring in the technical expertise. The proposed launch comes at a time when there is a surge in capital raising activity in India, with several cross-border mergers and acquisitions (M&A) firming up.

However, analysts tracking Reliance Capital are unsure about the value an investment bank could bring to its balance sheet. According to an analyst: “It will depend on the size of the venture (investment bank) and how they plan to go about the business. But as per the trend, the size of the operations can be significant.”

Investment bankers from rival firms said Reliance Capital can have a significant presence in the investment banking business, given the fact that it holds minority stakes in various companies across sectors. They feel Reliance Capital could secure fund-raising mandates of
these companies.

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Moody’s Investor Service has changed the outlook to positive on South African banks’ Baa1 foreign currency long-term bank deposit ratings and foreign currency long-term issuer ratings of two development institutions. This action follows Moody’s earlier change in outlook on the country’s ceilings for foreign currency bank deposits and foreign currency bonds.

Société Générale Corporate & Investment Banking and Brait Specialised Funds, the provider of hedge fund solutions to institutional investors, has launched a leveraged certificate on the Brait Absolute South Africa Fund. The certificate provides dollar exposure to the SA hedge fund industry for European high net worth individuals and it also gives them easy entry to the South African market, which has been difficult to access due to regulatory barriers.

Resolution Health Medical Scheme has had its “A” rating reaffirmed by rating agency Global Credit Rating. The agency says the scheme’s %E

http://dayslook.com

Milwaukee, Wis. - You may have missed this: Web-software services provider Zywave Inc. recently announced it would be the anchor tenant in a new 165,000-square-foot building being constructed in the Milwaukee County Research Park.

The announcement was little noticed outside of commercial real estate development circles, but the news is more than a real estate story. It’s a major technology success story playing out, and an example of how a powerful business development practice could bolster the regional economy, if it were not engaged so rarely.

That practice is called corporate venturing, a broad category of activities whereby an operating company deliberately and strategically develops and allocates funds and resources to new businesses.

The most well known strategies under the corporate venturing umbrella are acquisitions in early-stage companies and joint ventures. Lesser known, but with high potential, are internally focused business creation strategies, or “internal corporate venturing” initiatives. Some are conducted informally as “skunk works” projects, ad hoc idea creation, or the pursuit of opportunity-driven innovation. Other strategies such as corporate venture capital, corporate incubators, and support for corporate entrepreneurship are more formally structured.

Founders knew of Zywave’s growth potential

Zywave is an example of internal corporate venturing through its former parent, Frank F. Haack & Associates, an insurance brokerage firm. Haack internally formed and launched Zywave in 1995 to provide software-based reporting solutions to its insurance clients. However, from the beginning it was clear in the minds of the founders that Zywave was a software services company and could stand on its own after a planned incubation period supported by the parent founders.

Zywave now has more than 110 employee and its leaders anticipate annual growth of 25 to 30 percent the next three to five years, according to Bill Haack, Zywave’s president and CEO. This region has other outstanding examples of corporate venturing successes — examples that will be explored in more detail in a follow-up column.
Let’s first take a look at the strategy of corporate venturing, since the term is relatively unknown and unused in this region. Even though the term may be unfamiliar and the practice uncommon, the potential for new business development through formal or informal corporate venturing is high, particularly the development of software-centric businesses.

Jeff Covin, professor of entrepreneurship at the University of Indiana, has been researching and publishing works on corporate venturing for more than a decade. In recent discussions, he shed light on the many facets of corporate venturing and its role in strategy and innovation. His work can help navigate the maze of options and funding scenarios.

Corporate venturing can be funded directly through an operating budget or indirectly through a financial intermediary such as a corporate-sponsored fund or outside managed fund.

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