Month: April 2018

The Impact Of Metrics For Investment Banking Performance

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Financial investments are measured through metrics for investment banking performance. This is a way of gauging if a financial undertaking is worth the risk and the effort. There is no point of providing inputs if the output is not satisfactory and if it does not meet certain specifications of what needs to be achieved.

Depending on the investment, there are several Key Performance Indicators that one may look at before arriving to a conclusion whether the financial investment is earning or losing money. One of these things is the return of investment of ROI. To compute this, the total amount of investment should be subtracted from the incremental earnings or profits. The difference will then be divided by the investment to get the percentage. To be more accurate in the calculation, data analysis must also be used. Numbers that will show sales, outgoing funds, expenses, and such will give an analyst a clearer view on whether there is substantial return on investment or not.

Another metric used is the years the investment was active. This will help individuals or businesses know what return they want to calculate. It is not wise to make judgment for the feasibility of an investment if it was just active for one month. Therefore, there should be a substantial amount of data to be studied. The ideal number of data points to be compared or used in an analysis is 20 data points. This means that the results of an investment should be measure for a minimum of 20 weeks, or 20 months, or even 20 years. Only then will an analyst see the causal effects of actions taken and how these things can be corrected in an objective way.

Always take note that measuring the financial performance of a company should be data driven. Just because the company did not earn does not mean it should be closed. Action plans and decisions should never be based on assumptions. All of them should be backed up by numbers and data since numbers do not lie. With this, people will not be fired or blamed because of poor logic and unwarranted assumptions and politically motivated intentions.

Another performance indicator of an investment is yield. The yield should be calculated in percentage and this will show an investor how much his investment has made in profit. If the investor has a certain target in mind, what he has to do is to divide target by the yield percentage, to find out how much he needs to add to his investment. For example, an investor has $1,000,000 in investment to the bank and he wants to measure its performance. After a month, he received a profit of $100,000. His yield percentage is 10%. If his target profit is $150,000, this means he is short of $50,000.

To determine how much investment should be added, he should divide by $150,000 by 10. The result is $150,000. This means he has to invest $150,000 to get the profit he wants, in order to get a substantial result of his metrics for investment banking performance.

No Need To Be Afraid Of Mobile Banking Apps

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There are many who agree that it is impossible to imagine a life without smart phones or mobile apps. This is because they can do literally anything with them ranging from checking emails; staying connected to social media to turn off the electronic equipments in a house. People have started relying on them completely to run their lives however, one area still worries the users and i.e. mobile banking apps. The Federal Reserve data show that in the year 2011-2012, only 21 percent users used mobile banking apps. However, despite this every major national bank has its own mobile apps. So, what is the issue that daunts smart phone users from using them for mobile banking? The answer is “fear”.

It is because of security issues that only one of every five users has used his smart phone for mobile banking. Many private research companies have been examining the strategies and tools used by banking institutions to provide outstandingly secure services. Google revealed why four out of five mobile banking customers are worried about mobile banking security is because they lack knowledge about tools and techniques used by banks to secure mobile banking experience. My advice to banking institutions is that before releasing the app, they should arrange to lessen the fears dwelling in the customer’s mind. They can do this by educating customers about the security features in the apps, how do they work and how effective they are.

Trends say that users want to access their bank accounts through mobile apps in straightforward and trouble free manner. This is another point that banking sector should keep in mind. Although they don”t use mobile banking option as they are unsure about its safeness in terms of accessing a bank account. Using banking apps is far safer than going to the bank and interact with the staff directly or accessing the account via your desktop or a laptop. You must be thinking that I have been paid by a bank to admire their services but this is not so. Why I am mentioning this is because I myself use mobile banking apps to access my bank account anywhere anytime. For banking institutions, it is easier to manage the security of mobile apps as compared to the security of a web browser. While accessing your account through a web-based browser, you expose your bank details to malware and unwanted third-party viewers. Don’t think that by implementing two-way authentication system, you can safeguard your account completely as recent breaches were made in accounts that were using two-way authentication system.

Mobile apps, on the other hand are safer, as they provide a direct link with the bank’s server without involving any third party. This is why I said above that banks have better control over security of mobile apps. Since a bank gets apps specifically for their users, they can provide a safe connection via SSL encryption. Another major benefit of smart phones and mobile apps is that they can be controlled even from remote locations. This means that even if your phone is misplaced or stolen, you can use your computer and the Internet connection to wipe the confidential information saved in it.

CONCLUSION

To popularize the trend of mobile apps in banking institutions, both users and banks has to play an equally important role. The role of customers would to become broad-minded and start having faith in their banks, whereas banks’ duty would be to make sure that they don”t break the trust of the consumers and provide more robust and secure mobile banking experience through mobile apps.

New Horizons for Breeze Mobile Banking

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Today, Breeze, the online and mobile banking application offered through Standard Chartered Bank is providing bank customers with a long list of unique features. People using Breeze find the functionality of this online and mobile banking solution extremely beneficial as is but according to bank officials, additional features will be added. Some enhancements will take place over the next few months, some over the course of the next year, and of course, changes will occur to meet changes in customer demand.

It is important for people to know that Breeze was designed based on direct customer input. Instead of guessing or following trends, bank officials wanted to develop a viable mobile banking application based on what customers wanted. The only way to accomplish that goal was to ask people the features they felt were most beneficial and those that could be eliminated from the design. Based on the in-depth data gathered from research, the IT department of Standard Chartered Bank was able to design the most innovative mobile banking solution on the market today.

We wanted to address some of the changes are already being developed, features that will enhance an already incredible mobile banking solution. For starters, this platform currently runs as an application on Apples iPhone but next month (September 2010), it will also be available on the iPad. Now, as more mobile devices are developed, opportunity for Breeze to be offered as an online and mobile banking solution increases.

Another change coming to Breeze over the next few months is a bill reminder feature. As the name implies, this feature would work in conjunction with due dates for bills paid through Breeze. Therefore, as a scheduled payment nears its due date, notification would be sent to the customers iPhone automatically. Today, people live very busy lives so overlooking payment on a bill happens. This feature would make handling finances easier, reduce risk of being charged penalties for late payments, and even eliminate risk of the customers credit score from being damaged by a late payment.

The market that will be using Breeze will also be expanded. Today, beta testing was completed in Malaysia and Singapore but two countries next on the list are India and Hong Kong. Already, people in these countries are getting exciting at having the same opportunity as initial users to manage bank accounts in a more efficient manner. Once Breeze has infiltrated these two countries, Standard Chartered Bank has a plan in place to launch the application for international markets.

In addition, while Breeze has already established presence on a variety of social medial websites to include three of the top sites YouTube.com, Facebook.com, and Twitter.com, it is anticipated that other like sites will be added. Standard Chartered Bank understands the value of keeping its current and potential customers abreast of changes within the bank specific to online banking, but also the mobile banking solution Breeze.

Finally, a newer version of Breeze is currently being developed by Standard Chartered Bank. Although the official name could change, at this point it is being targeted to launch as “Typhoon.” With this version, a variety of enhanced features would be available. For instance, to use the “Pay my Bill” or eCheque features of Breeze today, registered payees can only be added through the banks website. However, when Typhoon launches, payees could be added directly from the mobile device.

Small Business Bank – How Specialized Banking Works for You

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If you’re opening a small business, you need a small business bank, pure and simple. Using your regular bank won’t net you the benefits that a specialized banking account can come with. No matter who you choose as a host for your banking needs, you always need to open a new account for a business. Never use your personal bank account as this can make it next to impossible to discern your business income and expenses from more personal sources. Always choose a new account, and look for a specialized bank whenever possible. The right bank will have a deep understanding of your business needs.

One of the most important features of a small business bank is an assortment of affordable banking solutions. Money is usually tight when you’re starting out. You don’t want to have a high minimum amount on your account that you can’t possibly sustain. If you need to make a large withdrawal for business purposes, you should know that you can do so without jeopardizing your bank account. It’s also important that you’re able to make deposits and withdrawals without a lot of fees. The right business bank will work with you so that you can maximize your profits early on.

Small businesses today are far different than what they were in the past. A mom and pop shop used to be a brick and mortar store with an easily-defined address and actual location. Today, many businesses are run online. You could be running your business from locations all over the country, or all over the globe. You can’t always work with the bank down the street. You need a small business bank that will go with you everywhere you happen to be. Online banking, mobile banking, and more are essential for a business banking account. You don’t want to be tied down to one location, and with the right account you won’t be.

When you’re getting ready to open a new banking account for your business, it’s important to take the time to do your research. Look into a variety of banking opportunities to find the small business bank that’s right for you. When you look at other offers, you’re sure to notice where the best deal really lies. It’s important to understand what’s out there so you don’t get sucked into the first well-worded advertisement you see. Compare your options and look for a small business banking account that provides all the services, benefits, and convenience you need to make your company a success.