Monthly Archives: August 2018

Archive of posts published in the specified Month

Aug
17

How diversifying your portfolio in cryptocurrencies helps you minimize risks

Last year, Bitcoin traders and owners made a lot of gains as it was at its all-time highs of $19,000. This caused an influx in the Bitcoin arena, as prospective and expert investors went out of their way to purchase more bitcoins in a bid to cash in more. Nevertheless, the glory did not last long as the market cap for bitcoin dropped to around $7000. Even though this price is still quite valuable, those who invested in the last minute underwent massive losses while those who invested earlier still had something to smile about as they had made enough gains way before the bubble burst. Where is all this going? Well, this is to show you that investing in crypto is not always fun and games. The world of crypto is subject to market fluctuations and many other factors which affect the price and curve of the crypto graph. In respect to that, anyone planning to invest should at all times retain a vigilant attitude towards the investment choices he/she makes. One way to do so is by broadening your horizons. If you’re a newbie to the crypto universe, below is how diversifying your portfolio in cryptocurrencies helps you minimize risks giving you an opportunity to join the world of BronzeMarkets earners.

Spreads risks

To most investors, making multiple investments in cryptocurrencies might sound insane and ridiculous. However, those who practice this, are sufficient proof that doing so is not only beneficial in the long run, but is also one of the primary ways to meet your long term financial goals without losing your shirt.

Investing in multiple cryptos helps you minimize your exposure to the risk associated with one asset as it helps spread the risks over various investments. Take for instance, a trader who had invested his money on 30% Ethereum, 30% ripple and 40% bitcoin suffered less losses during last year’s bitcoin fall as he/she still had another channel to not only sustain him but also bring him 60% profit in comparison to one who had invested 100% on bitcoin.

There’s no telling which crypto will be dominant in future

Even though there have been numerous advancements in blockchain technology such as smart contracts, the blockchain, and crypto technology is still in its earliest stages. Additionally, they are highly susceptible to market volatility, and no matter how proficient one is, it is impossible to tell which cryptocurrency will become dominant in future. Thus diversifying your portfolio is a wise strategy as it gives you an upper hand on whichever crypto rules the market in the near future. For instance, using the same example above, if in future Ethereum becomes dominant, then the first trader will still have the upper hand and will enjoy more gains while at the same time enjoying the profits made by the other crypto in which he/she owns. The complete opposite will be experienced by a trader who invested solely on bitcoins as they will be forced to sell at a lower …

Aug
17

Creation and Development of an Internet Business: Tea and Coffee E-Retailing

It is easier to start a business applying the marketing strategies of other companies, which are proved to be effective within time. For instance, it goes without saying that internet retailing becomes more and more popular nowadays, because it has obvious advantages. First and foremost, it saves consumers’ time and provides an opportunity to shop wherever and whenever without being limited by working hours or inconvenient routs. Moreover, e-retailing is about making a decision without any kind of pressure from sellers or other buyers; yet the task of the internet business owners is to create favorable conditions for successful selling. In other words, the main task of the entrepreneurs is to make their goods “sticky” and “contagious”. However, the first step should be community’s observation aimed at detecting the needs of a certain consumer environment. To identify customers’ preferences, a future business owner may implement traditional survey methods like conducting an interview with buyers and/or reading the relevant literature. Besides, more often than not, for this purpose, one can use simple observation of the buyers’ baskets in the supermarkets or the list of the goods which both small shops and large shopping malls propose. The given strategy refers to the utilization of successful business performance, which saves new entrepreneur’s time and efforts and, thus, gives better odds for the prospected affair to be successful. As soon as one has a list of the products that are in demand, it is important to evaluate them in terms of transporting and storage particularities. Taking this into account helps to eliminate potential wastages. For instance, coffee in a plastic bag is more sustainable than milk, sweets, or grocery products, not talking about the pharmacy goods. In addition, wholesale purchase with the further packing may be more profitable than wholesale purchase of already packed goods, because, in the first case, the entrepreneur is capable to choose the packing materials of various price ranges. That is why negotiating e-retailing of tea and coffee products can be a good option for those who want to start internet business. For example, the entrepreneur makes wholesale purchase of different kinds of tea and coffee, buy packing materials, weight and pack it, and sell with the help of internet to consumers.

Hence, even if a certain commodity is in the demand, new owner of internet business is going to endure the pressure of competition. In the presented case, the potential competitors are current coffee/tea e-retailing sites, coffee shops, and the relevant departments of the supermarkets and/or shopping malls. Moreover, other potential rivals are the similar business, which may appear in the future. Therefore, in order to remain competitive, one should know and successfully implement the basics of marketing strategies. As it was mentioned above, one of the position strategies is “a positioning strategy based on competitors”. It presumes that the business owners study competitors’ performance and use the most successful concepts and principles in order to advertise their businesses. Another approach is “positioning strategy based on product class”, for …

Aug
4

What Are Substandard Loans?

A substandard loan is best defined as an adversely classified loan that carries a risk of loss for the lender. As with other types of loan classifications, these are also determined using a history of past delinquencies, information uncovered during audits, or industry trends. Banks classify these loans in a particular way both to minimize their risks and meet regulatory requirements.

Why These Loans Are of Concern

One of the most significant concerns with substandard loans is that the obligor has less of an ability to repay. There may also be issues with the worth of the collateral involved in the transaction. Lenders make these classifications very carefully because of the possible consequences.

When a bank lends to a consumer, there needs to be a reasonable expectation that they will be able to collect repayments. Otherwise, the lender may face losses that are problematic when they build up over time. It is always in a lender’s best interests to try to avoid such a situation.

How Loan Classification Often Has Consequences

Loan classifications not only matter for businesses but also make a difference in policy and regulatory requirements. How banks handle these types of loans is a reasonable assessment of how well they are following procedures. It’s not uncommon for banks to delegate these types of loans to special departments.

Banking regulations often change, and the lending process is one of many factors that might be involved. How a bank classifies its loans might make a difference in whether it conforms to new regulations. The more diligent a bank is about these matters, the fewer challenges they will face in adapting to changes.

The loan classification process, while often seen as puzzling to many outside the industry, is one of the best ways banks protect their investments, conform to current regulations, and reduce their costs to customers.…