Dynamics of the stock market

18.11.10

Here is an interesting explanation of the dynamics of the stock market.Right click and chose "view image " for the complete picture.

Brenton Woods revisited

9.11.10

World Bank chief Zoellick has mooted the idea of a Gold standard.I n the late 40s, as per Brenton Woods agreement, the value of the US Dollar was pegged to 35 per ounce of gold and the $ became the world's reserve currency. Most countries pegged their exchange rates relative to the $.This arrangement went haywire post Vietnam war in the 70s.

The new arrangement envisaged by Zoellick involves a basket of currencies that includes the USD, Euro, Pound ,Yen and Yuan. One fervently hopes that in one's lifetime the INR will figure on this podium.

As much as the new order recognises a basket of currencies, in keeping with global realities, it would make similar sense to peg this against a basket of commodities: Gold, Oil, Silver, Copper, Lithium and probably Uranium.

Encourage your kids to blog

6.11.10

One of the dilemmas of parenting is how much exposure one should allow to one's kids. (I have a 15 yr old dot) .Following is an interesting article.

Rishabh Gupta is a successful blogger. His posts are nothing extraordinary. He usually writes about his daily routine, friends, family outings, the movies and TV shows he's watched, and sometimes , even homework. The days he does not make an entry, however, are disappointing to his avid readership—a modest 30 in number—which includes his doting grand parents, uncles and aunts, cousins, and family friends.

Rishabh is just 10 years old.

His parents Suneela and Rajesh take keen interest in their son's blog, constantly egging him on and providing him with feedback on the entries he has made. Besides, the comments left on the blog by the Guptas' family and friends encourage the fifth-standardstudent to write regularly.

And it's true. Children love the attention that comes from having an audience and the approval of adults and peers – and weblogs provide them with such a forum.

Weblogs, a tool to unleash creativity

"For kids, blogging represents a new way to not only write, but to create as well. With all the information and media available on the web today, a blog is the perfect way for young people, to research, vet, and create a living project instead of just a static book report," says Karl Meinhardt , an internet guru with over 20 years of experience in the field of information technology products and services.

Meinhardt, who maintains the resource EdSoMe.com (Educational Social Media), is a key figure in the Portland Project – a program that encourages school teachers in US' Portland Public School District to introduce social media into their classrooms and the learning process.

"The fact that blogs exist in a digital space means that kids can add to it indefinitely and learn more and more about what interests them. If we can use blogs as a way to help young people find their life's passion , then they are invaluable," Meinhardt says.

A tool for new literacy...

Blogging also helps kids in many obvious ways: It improves their capacity for observation; increases the child's communication with family and friends who might be living in other cities; teaches them how to use the internet appropriately, and even helps improve writing skills and spelling.

"In the past, students learned how to read and write using print and paper . Today, in the global digital world, they learn by using the computer and internet," says Dr Patricia Fioriello , a US-based educationist who publishes at Kidslearntoblog.com.

Dr Fioerello—whose e-book 'Teaching Literacy: Keeping Up with the Times' examines the relationship between technology and the way we teach children—also believes that blogging could help increase the confidence levels of shy students, letting them express themselves better with the help and assistance of the internet and technology. "When children blog their thoughts and ideas, they have the opportunity to interact with different cultures and countries within a matter of minutes. They also learn to write in an interactive way and to understand how and when to respond to comments," she says. Besides, blogging for a reciprocative audience inculcates a sense of discipline in kids from having to make a daily post, Meinhardt says. "Kids begin to understand that blogs are messages that need maintenance and care. They also help children obtain some rudimentary project management skills," he opines. And Rishabh is a case in point. Over time, Suneela says, he has been spending more time on his entries, constantly asking to check his spellings and for help in grammar. Recently, he posted a school essay to his blog for his grandparents to read. "He was proud of how he was graded in that essay, but what made him happier was the feedback he received from the family in the form of comments to that post," his mother says. "Also, in just two years, Rishabh is quite a proficient typist and is well-acquainted with the computer keyboard," Rajesh pitches in proudly.

Blogging for homework...

And increasingly, educationists closer to home are seeing the power of the medium. Santa Cruz-based Ramniranjan Podar High School, for example, allows its students in the 9th, 10th and 11th standard to submit their assignments in the form of blogs. "The response has been phenomenal ," says Principal Avnita Bir. "Students are so technology driven these days – and now, even our teachers have realised that assignments are being submitted very systematically and on time using the medium." Meera Isaacs, principal of Cathedral and John Connon School in Fort, concurs: Nowadays, kids use the internet extensively, they "would be more than happy to submit their homework online in the blog form," she says, while adding that the introduction of blogs in her school could be a distinct possibility. "Educators and parents must embrace the new technological way of learning if they want children to succeed," says Dr Fioriello. "And what better way than to start with blogging; it is a win-win situation for everyone."


SETTING UP A BLOG FOR KIDS...

1. Before you choose a blog service for your child, make it a point to check for privacy tools that the various web sites allow you – this, especially if you want the entries to be readable only to a "controlled" circle of family and friends. Blogger.com, for example, gives you the option of listing the blog on its home page, or turning off the functionality for more privacy. Similarly, it also allows you to decide whether you want the blog to show up in Google Blog Search results or not. Other such simple services include Wordpress.org and www.tumblr.com.

Parents could also choose blog services offered by kids-only sites such as www.kidzworld.com. School teachers looking for similar tools for an entire class might want to consider Kidblog.org.

"Whatever type of service you select, make sure it is safe and appropriate for children," Dr Fioriello recommends. "What you want to look for is how the service addresses issues relating to ageappropriate activities. If the service involves social media, find out if it is a controlled environment where kids only interact with other kids their age on that particular site."

2. Once you set up a blog for your child, create ground rules with regards to what can be posted. Inform and educate your child about the ills of posting any personal information and photographs online that could possibly disclose identity or location.

Very importantly, make sure that the only way your child can be contacted through the blog is an e-mail address that you can monitor.

3. Supervise your child's blog posts. This does not necessarily have to be an intrusive process. Supervision could take the form daily discussions on what the day's post is going to be about. Also, it would be advisable that the computer your kid uses is in an open space that can be easily monitored. And yes, make it a point to regularly check the blog, and even post comments to your child's entries.

"It is important for parents to subscribe to their child's blog to provide some oversight in the blogging process," Meinhardt says. "In fact, parents should make their child's blog more of a group project than a solo project. In a group blog project, parents could act as the editor-in-chief or even better, act as the "customer" of the blog and respond to the content. It will also help the parent stay more visible in the process."

4. Setting up a blog is one thing, but getting your child to write and post is quite something else. Encourage discussions on topics that could be possible blog posts. This could include the books your child has read, and even movies and TV shows. Make it a point to show off your child's blog to friends and family when he or she is around, and invite relatives to visit it regularly. Also, if you have a digital scanner at hand, your child's artwork could make for an interesting post. A picture, after all, is worth a thousand words. "It's important for young people to learn how to embed media to illustrate and add meaning to their message. This is a critical skill for life as people respond to pictures more than printed words," Meinhardt says.

Corporate Subterfuge: Idea Cellular

6.11.10

Like all Indian owned companies, Idea too controls a number of subsidiaries-some of the underlying mathematics of these inferior siblings makes no sense on the face of it. Take for example its 100% subsidiary Aditya Birla Telecom, a privately held company. Idea's equity investment in this subsidiary totes up to Rs 16.3 bn which works out to a purchase price of Rs 1633 per share of Rs 10 each face value. This would appear to be an expensive piece of acquisition and, Idea gets not a dime as dividend from this deadwood sibling. But let that be. The paid up capital of this subsidiary is shown as Rs 119 m, though Idea's investment in this subsidiary as per its books works out to only Rs 100 m at face value. But let that also be. Idea has very 'craftily' merged only the telecom operations of the subsidiary with it. The subsidiary is now left holding some nuggets, or so it appears. The subsidiary has zilch revenues but it has investments to the tune of Rs 73 bn - being investments other than investment in subsidiary. What exactly are these goofy humungous investments, and why do they not yield any returns please? Eureka, it also appears that these investments have come for free! The sibling boasts equally hefty reserves of Rs 73 bn. The exact nature of these reserves is not known, and it did not get merged with the parent for reasons best known to the parent. Why do managements resort to such abysmal subterfuges?

Or take the example of another subsidiary Idea Cellular Towers Infrastructure. Idea has invested Rs 0.5 m in the equity of this sibling and then transferred assets worth Rs 16 bn to it. It appears that this subsidiary has got these assets for free from the parent as the only corresponding entry on the liability side of the balance sheet is a figure of Rs 15.7 bn, shown under reserves. This is truly fantastic by any yardstick. It recorded a negative profit of Rs 332 m on a turnover of Rs 1.6 bn for the latest accounting year. How it managed to repay a loan of Rs 710 m advanced to it by the parent in the face of these dismal results is not known. One wonders what the figures are like for its joint venture, Indus Towers, to which it has advanced dollops of credit.

Courtesy: Equitymaster.com

Economics Gyaan

6.11.10

Debt. This four letter word is indeed sending shivers down the spine of economies across the world. And why wouldn't it? If used beyond reasonable proportions, debt has the capacity to seriously impair economic growth for years to come. And this is exactly what happened with most of the developed world. They took an overdose of it and are now suffering from its after effects. It seems India has also tried to take a lesson or two from this entire episode of excess leverage.

As per a leading daily, the Government is serious about a debt reduction strategy that would seek to improve upon the target already in place. If were to talk about numbers, then the Government is planning to lower the level of debt liabilities as a percentage of GDP to 43% by FY15. This is about 2% lower than the target already in place. If the target is indeed achieved, then it would ensure that interest rates stay lower, which in turn will boost both consumption as well as investment demand and ensure that economic growth comes in higher than normal. What more, this could also mean higher stock markets.

Courtesy: equitymaster.com

Wish List for Zee Saregama

6.11.10

One of the few programs I look forward to watching on TV is talent search Saregama. Over the years it has morphed from Sonu Nigam's hosting ( nothing has come close to it till now: not Udit Narayan, not Abhaas Joshi and definitely not Shaan ). The heart of the matter is talent and it is amazing how year after year, this amazing country of ours throws up such a rich repertoire.

We at home do not particularly care for Bishak Jyoti's tapori antics till he suddenly zapped us with his ghazal last week. Khurram's khafi was another discovery. It is indeed sad that he got eliminated within a week of his stellar performance. I sincerely hope Khurram and Ali Sher are not victims of parochialism. A couple of seasons back, Amanat Ali deserved more to win than the ultimate winner ( Oink something ), but that is the way the cookie crumbles.

The other day I chanced to listen to Mukesh's sajanwaa bairee ho gaye hamaar. These are lyrics meant to be sung by a female. For want of a soulful female voice, mebbe Mukesh was made to sing this song. I am looking forward to hear this in Sniti Mishra's voice. We hope this pint sized wonder really goes places!

Abhilaasha has already arrived. She should now move up from VOI/Zee Marathi/Zee Saregama before she picks up the realty show ''aunty" tag. Sugandhaa has done very well to be taken seriously as a singer and scrubbed away her comedienne persona. But one wishes she does not overdo the gareeb gai bit on stage.

Kamaal Khan is studio material and should give Sukhwinder ( shrillness personified ) a real run for his money. Ranjit Rajwaada should let be by the judges. As much as you cannot expect Mehdi saab to sing rap, this guy should not get ragged under the guise of versatility. Ditto with Sniti. We love her for what she is, and the way she is. Too much of mentoring, and we run the risk of another genreless Sunidhi Chavan.

Deepavali

5.11.2010

HAPPY DEEPAVALI Deepavali is a festival where people from all age groups participate. They give expression to their happiness by lighting earthen 'diyas' (lamps), decorating the houses, bursting firecrackers and inviting near and dear ones to their households for partaking in a sumptuous feast. The lighting of lamps is a way of paying obeisance to god for attainment of health, wealth, knowledge, peace, valor and fame. It is one time in the whole year that children volunteer to leave their beds long before the day begins. In fact, the traditional oil bath at 3 a.m, is the only chore that stands between them and the pre-dawn adventures. They emerge, scrubbed clean to get into their festive attire, and light up little oil lamps, candles and scented sticks(agarbathis), the wherewithal for setting alight crackers and sparklers. On Diwali night, little clay lamps are lit in Hindus homes, but now a days colored electric lamps are also used. What is the significance of lighting a lamp? There is a logical answer to this question. It is through the light that the beauty of this world is revealed or experienced. Most civilizations of the world recognize the importance of light as a gift of God. It has always been a symbol of whatever is positive in our world of experience. To Hindus, darkness represents ignorance, and light is a metaphor for knowledge. Therefore, lighting a lamp symbolizes the destruction, through knowledge, of all negative forces- wickedness, violence, lust, anger, envy, greed, bigotry, fear, injustice, oppression and suffering, etc. Competition is stiff, and even the little girl in silk frocks and their finery are watching out for the best sparklers and flowerpots, the rockets and Vishnuchakras, which light-up the night sky like a thousand stars. Grown-ups are the soul of generosity. Festive bonhomie abounds. Courtesy: Jay Mistry