Penalties for Banks Receiving ECB Aid?

 

The LTRO, the European Central Bank’s long-term financing scheme was introduced in late 2011 as one of Mario Draghi’s first decisive policy initiatives as ECB president. The move was key to settling nervy market sentiment towards eurozone lenders. As a result, banks’ cost of funding in bond markets fell and lenders that had been frozen out of the market altogether subsequently found it easier to raise money.

But over the past year or so banks have increasingly complained about being awash with liquidity, unable to find commercially viable investment opportunities for the money they have raised from the LTRO and in the markets.  Penalties for Banks Using ECB LTRO

Draghi

Is Herbalife a Pyramid Scheme

Billionaire hedge-fund manager Bill Ackman  has reduced his equity short stake in Herbalife,  taking a loss even as he reiterated his allegation that the company is an illegal pyramid scheme.

In a letter to Pershing Square Capital Management LP’s investors, Ackman said he replaced a portion of his original short position, that was valued at about $1.5 billion, with long-term put options. The move lets Pershing still make money if the company fails “within a reasonable time frame” even as it reached an all-time high last month.   Herbalife Pyramid

Herbalife

Nobuyuki Idei Encourages Japanese Entrepreneurs

Japan ranks 114th among 185 countries for ease entrepreneurs have in starting businesses.

“We want to transform Japanese corporations and Japanese society, because after Sony and Honda, no big companies have been born except retailers,” said Idei.  “The concept of patient risk money doesn’t exist.”

Idei discusses everything from the difficulty Japanese entrepreneurs have in finding investors to Nikolai Kondratiev’s obscure theories on technology cycles. He also said he had no regrets about his much-criticized stewardship of one of Japan’s most iconic companies.  Former Head of Sony Helps Young Japanese Entrepreneurs

Idei

Normalization of Federal Reserve Policy?

  • The Fed is sending a message that the unwinding of its extraordinary accommodation will be done with great care and patience, and will take time – a long time.
  • In delaying a taper, not only did the Fed show markets it has little tolerance for any tightening of financial conditions, it also strengthened its forward guidance considerably.
  • The Fed’s decision to delay a taper will likely relieve some of the upward pressure on longer-term interest rates.  Report

 

Dollar

Status of Women Entrepreneurs Around the World

While each country has its own history and style of dealing with women entrepreneurs, some issues are universal: access to capital, open door policies, government support among them.  Julie R. Weeks, head of Womenable, works with American Express to prepare studies of the progress women have made.  Her work is indispensable for entrepreneurs.  Women Owned Businesses

Women Businesses

Entrepreneurs, Small Businesses and Health Insurance

As the battle is waged in Washington over Health Care in the US, a country which pays more money for health than any other country in the world, and life expectancy is lower than many less economically privileged countries, the status of small businesses and their obligations and responsibilities for their employees is tenuous.  What makes sense?  Small Business and Health Insurance

Health Care Costs

Billion Euros Of European Taxpayer’s Money Are Lost In The Congo

More than half of European Union projects aimed at bringing stability to the Democratic Republic of Congo have failed to deliver any results, spending watchdogs say. Auditors issued the scathing findings after assessing aid programmes which received £1.6billion funding from the EU between 2003 and 2011.
Report

Congo- Design Khalil BendibMore about Congo
W-T-W/ Countries/ Congo/
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