The sudden and abrupt closure of MF Global has caught many Singaporean investors by surprise. And many are in panic mood, with open positions that may turn to become big losses in their CFD trades. These are complex derivatives that used high leverages for big gains or big losses.
Investors with cash deposits with MF Global are also extremely worried as it was reported that the company actually used their client’s funds to make big bets in European sovereign debts. It seems that there is a high possibility that Singaporean investors’ money are also taken out to feed the company’s gambling in Europe.
The MAS has come out to assure the Singaporean investors that they are doing all they can to protect their interests and investments. Singaporean investors should not be unduly worried as we have the best and most stringent regulations in place to protect their investments here. Though the scoundrels are the same, the derivatives and products are the same, the modus operandi are the same, as those in New York and Europe, our stringent regulations are also in place to protect our investors.
Investors should relax and everything shall be fine.
11/03/2011
Singapore’s new normal
I think this trend has been going on for too long but is finally surfacing in the private sector as well. The private sector probably takes the cue, like monkey sees monkey do. So what is this new normal?
The ST has a big article on the outages faced by the telcos. And the blame is simply pointed to the unexpected demand in usage. This is the first new normal. Everything is unexpected, or probably there is no need to do any projection of demand and supply. If it is unexpected it is ok and no one is to be blamed for it.
I can see the logic in a once in 50 years flood in Orchard Road. But planning for commercial activities like providing and selling services without a care for unexpected demand is pretty new in first world management planning theory. Don’t remind me about the over supply of housing and the sudden under supply overnight. These could be due to unexpected drop in demand and subsequently unexpected high demand caused by unexpected influx of foreigners.
What is the next new normal? It’s easy. Cut down on the services or raise the charges. So it is not an issue of increasing the supply to meet the demand but charge more. Me thinks of ERPs and public housing solutions. Don’t worry about supply, it is good opportunity to charge more and make more profits. Every problem or complaint is a money making opportunity.
Next, it is ok to have such unexpected demands and high usage. Just live with it. It is normal. As long as the provider of services tells the customers when is the breakdown, when the services will resume and they are doing their best, it should be fine. ATMs will break down every now and then because of high usages. Just accept it.
I think the next great statement will be, ‘Outages or breakdowns of services are signs of progress.’ How’s that for another new normal? What if PUB or other essential services get their normal breakdowns every now and then?
Selamat akan datang is the typical new normal of this first world city. The people are lucky we have so many breakdowns and outages. It shows how vibrant this city has become. Singaporeans should be happy and live with the new normals, of having breakdowns and outages as part and parcel of first world city living. They should not be imposing fines on MRTs and the banks. These institutions are running at full capacities and what is a little breakdowns now and then?
Just compare with Bhutan, they don’t have these kind of breakdowns and outages to complain about. We are so lucky and so happy.
The ST has a big article on the outages faced by the telcos. And the blame is simply pointed to the unexpected demand in usage. This is the first new normal. Everything is unexpected, or probably there is no need to do any projection of demand and supply. If it is unexpected it is ok and no one is to be blamed for it.
I can see the logic in a once in 50 years flood in Orchard Road. But planning for commercial activities like providing and selling services without a care for unexpected demand is pretty new in first world management planning theory. Don’t remind me about the over supply of housing and the sudden under supply overnight. These could be due to unexpected drop in demand and subsequently unexpected high demand caused by unexpected influx of foreigners.
What is the next new normal? It’s easy. Cut down on the services or raise the charges. So it is not an issue of increasing the supply to meet the demand but charge more. Me thinks of ERPs and public housing solutions. Don’t worry about supply, it is good opportunity to charge more and make more profits. Every problem or complaint is a money making opportunity.
Next, it is ok to have such unexpected demands and high usage. Just live with it. It is normal. As long as the provider of services tells the customers when is the breakdown, when the services will resume and they are doing their best, it should be fine. ATMs will break down every now and then because of high usages. Just accept it.
I think the next great statement will be, ‘Outages or breakdowns of services are signs of progress.’ How’s that for another new normal? What if PUB or other essential services get their normal breakdowns every now and then?
Selamat akan datang is the typical new normal of this first world city. The people are lucky we have so many breakdowns and outages. It shows how vibrant this city has become. Singaporeans should be happy and live with the new normals, of having breakdowns and outages as part and parcel of first world city living. They should not be imposing fines on MRTs and the banks. These institutions are running at full capacities and what is a little breakdowns now and then?
Just compare with Bhutan, they don’t have these kind of breakdowns and outages to complain about. We are so lucky and so happy.
11/02/2011
Notable quote by Tan Chuan Jin
Discriminatory practices have no place in Singapore
- Minister of State for Manpower and National Development, Tan Chuan-Jin
- Minister of State for Manpower and National Development, Tan Chuan-Jin
Life under Gaddafi's rule
I am not sure how many of the statements below are true. This article has been circulating in the internet for a long time. If they are true, are the Libyans better off now? Also, are the Iraqis better off now?
Here are the claims of life under Gaddafi's rule.
1. There is no electricity bill in Libya; electricity is free for all its citizens.
2. There is no interest on loans, banks in Libya are state-owned and loans given to all its citizens at 0% interest by law.
3. Home considered a human right in Libya – Gaddafi vowed that his parents would not get a house until everyone in Libya had a home. Gaddafi’s father has died while him, his wife and his mother are still living in a tent.
4. All newlyweds in Libya receive $60,000 Dinar (US$50,000) by the government to buy their first apartment so to help start up the family.
5. Education and medical treatments are free in Libya. Before Gaddafi only 25% of Libyans are literate. Today the figure is 83%.
6. Should Libyans want to take up farming career, they would receive farming land, a farming house, equipments, seeds and livestock to kick-start their farms – all for free.
7. If Libyans cannot find the education or medical facilities they need in Libya, the government funds them to go abroad for it – not only free but they get US$2,300/mth accommodation and car allowance.
8. In Libyan, if a Libyan buys a car, the government subsidized 50% of the price.
9. The price of petrol in Libya is $0.14 per liter.
10. Libya has no external debt and its reserves amount to $150 billion – now frozen globally.
11. If a Libyan is unable to get employment after graduation the state would pay the average salary of the profession as if he or she is employed until employment is found.
12. A portion of Libyan oil sale is, credited directly to the bank accounts of all Libyan citizens.
13. A mother who gave birth to a child receive US$5,000
14. 40 loaves of bread in Libya costs $ 0.15
15. 25% of Libyans have a university degree
16. Gaddafi carried out the world’s largest irrigation project, known as the Great Man-Made River project, to make water readily available throughout the desert country.
Here are the claims of life under Gaddafi's rule.
1. There is no electricity bill in Libya; electricity is free for all its citizens.
2. There is no interest on loans, banks in Libya are state-owned and loans given to all its citizens at 0% interest by law.
3. Home considered a human right in Libya – Gaddafi vowed that his parents would not get a house until everyone in Libya had a home. Gaddafi’s father has died while him, his wife and his mother are still living in a tent.
4. All newlyweds in Libya receive $60,000 Dinar (US$50,000) by the government to buy their first apartment so to help start up the family.
5. Education and medical treatments are free in Libya. Before Gaddafi only 25% of Libyans are literate. Today the figure is 83%.
6. Should Libyans want to take up farming career, they would receive farming land, a farming house, equipments, seeds and livestock to kick-start their farms – all for free.
7. If Libyans cannot find the education or medical facilities they need in Libya, the government funds them to go abroad for it – not only free but they get US$2,300/mth accommodation and car allowance.
8. In Libyan, if a Libyan buys a car, the government subsidized 50% of the price.
9. The price of petrol in Libya is $0.14 per liter.
10. Libya has no external debt and its reserves amount to $150 billion – now frozen globally.
11. If a Libyan is unable to get employment after graduation the state would pay the average salary of the profession as if he or she is employed until employment is found.
12. A portion of Libyan oil sale is, credited directly to the bank accounts of all Libyan citizens.
13. A mother who gave birth to a child receive US$5,000
14. 40 loaves of bread in Libya costs $ 0.15
15. 25% of Libyans have a university degree
16. Gaddafi carried out the world’s largest irrigation project, known as the Great Man-Made River project, to make water readily available throughout the desert country.
Money can buy anything
Money can literally buy anything, even happiness. But some will disagree. There are some kinds of happiness that cannot be bought by money. At the national level, states also think that with money they can buy anything. So Singapore is going to buy power with its money. Nobody can resist a willing customer with loads of money to want to buy power from them.
While we tend to get carried away with our greatness and the large coffers we have, let us remind ourselves that our money cannot buy everything. Maybe can, if we are going to pay all kinds or ridiculous price, like a few billions to get our football team to the World Cup. But no need to look that far. Our money cannot even buy cheap commodities like sand and water from our neighbouring countries. And these are abundant resources, while water will just run into the sea if not sold to us. No, some will not just sell you anything for money. Just because we have this mentality that we can sell everything away to anyone, even strategic resources, it does not work the other way.
We are buying gas from Indonesia. And recently there were calls to stop selling gas to us from the Indonesians. And with oil or energy becoming rarer, and more strategic, the possibility of countries refusing to sell to us or at a prohibitive price will be a matter of time. It will come, sooner or later, when the earth’s population hits 15b or when our population hits 10b and energy is vital to our continued growth. So will be water and gas.
As we grow bigger and consume more, we need more energy and more water. Our reservoirs will not be enough unless we convert Orchard Road into another reservoir. What all these mean is that we will get ourselves into a thick bind. We have just extricated ourselves from the water vice grip and free ourselves from being dependent on external water supply. Our growth strategy will bring us back to a more precarious situation, whereby we will be more dependent on water again, plus energy and gas. And we could end up being held ransom once more.
We may have the money, not counting that it can run out, but not everyone is going to sell strategic resources to us just for money. Can our money buy everything we want and we need?
While we tend to get carried away with our greatness and the large coffers we have, let us remind ourselves that our money cannot buy everything. Maybe can, if we are going to pay all kinds or ridiculous price, like a few billions to get our football team to the World Cup. But no need to look that far. Our money cannot even buy cheap commodities like sand and water from our neighbouring countries. And these are abundant resources, while water will just run into the sea if not sold to us. No, some will not just sell you anything for money. Just because we have this mentality that we can sell everything away to anyone, even strategic resources, it does not work the other way.
We are buying gas from Indonesia. And recently there were calls to stop selling gas to us from the Indonesians. And with oil or energy becoming rarer, and more strategic, the possibility of countries refusing to sell to us or at a prohibitive price will be a matter of time. It will come, sooner or later, when the earth’s population hits 15b or when our population hits 10b and energy is vital to our continued growth. So will be water and gas.
As we grow bigger and consume more, we need more energy and more water. Our reservoirs will not be enough unless we convert Orchard Road into another reservoir. What all these mean is that we will get ourselves into a thick bind. We have just extricated ourselves from the water vice grip and free ourselves from being dependent on external water supply. Our growth strategy will bring us back to a more precarious situation, whereby we will be more dependent on water again, plus energy and gas. And we could end up being held ransom once more.
We may have the money, not counting that it can run out, but not everyone is going to sell strategic resources to us just for money. Can our money buy everything we want and we need?
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