Finance Blog

Money is everywhere. Imagine if you could take all the paper currency in the world and put it in one place! Then there’s all the gold bullion, which would surely fill the major sports arenas, not to mention precious stones, of which there are tons! It is estimated there is more than $300 trillion spread around the world. Below are some of the locations where a lot of the world’s wealth is located.

London

 

The capital city of the UK, here you will find (if you are lucky) huge vaults full of gold, silver and platinum. All the trading venues have gold reserves in specially built vaults; this is necessary to cover the huge trades that are made. London is also home to some of the top jewellery collections, with the Crown Jewels being a good example. JP Morgan keeps 155 million ounces of silver to facilitate trading on metals futures, which is more than little! Diamonds are a girl’s best friend and De Beers have 40% of the world’s diamonds under lock and key somewhere in the bowels of the City of London.

Federal Reserve Bank, New York

There are said to be at least 550,000 bars of gold bullion deep inside their Manhattan vaults, which is an astounding collection of wealth. That is more than $200 billion in value; the mind boggles with what you could do with that! Some say the Fed Res have no gold, but we’ll never really know! If you are looking to acquire gold, you can also go to the Brisbane gold dealers at City Gold Bullion, for example. They are always ready to trade at spot prices. You can find dealers in your location through a quick online search.

Precious Stones

Of course, there are many tons of precious stones that have yet to be discovered; Myanmar is the capital for rubies, while Columbia has the majority of the world’s emeralds and South Africa has the most unmined diamonds. Sapphires are found in Madagascar, while the Argyle Mine in Australia is the location of the best pink diamonds.

Department Of Energy, Arlington, Texas

This is where the world’s plutonium is stored; worth an amazing $10,000 an ounce, this facility hosts 6,000 plutonium pits and the value is astronomical.

South Africa

This country tops the bill for both diamonds and platinum, essential in the manufacture of flat screen TVs and there is said to be a huge store of this precious metal. It is impossible to estimate how much platinum is still in the ground, while diamonds are also abundant.

Middle East

The various royal families on the continent obviously have vaults where they store their gold and while we’re on the subject of wealth, think of all the oil yet to be found in this region of the world. Many of the best jewellery collections are housed in Saudi Arabia and UAE, these items have been handed down through the generations, while some were stolen and others auctioned off in Paris, London or New York.

If you are looking to add to your investment portfolio, search online for a leading gold bullion dealer and take advantage of rising prices.

 

 

If you’re in debt to multiple lenders, opting for debt consolidation is a good way to regain control of your finances. In simple terms, debt consolidation is a loan to pay off credit cards and is a tactic often used by people who are struggling to keep on top of their repayments. Below, we’ve put together an easy guide to managing credit card debt and explain how debt consolidation may help you.

The benefits of debt consolidation

Taking a loan to pay off credit cards has two primary benefits:

• You assimilate your debt into one monthly payment, making it easier to manage.
• You might save money on your repayments, as the interest rate on your debt consolidation loan might be lower than the combined interest of your other forms of credit.

Why should you consolidate your debts?

Using a credit card is a form of revolving debt. It doesn’t need to be paid over a specific period, and it has no fixed term. In other words, it keeps rolling over until you pay it back. For most people, this means more interest payments and a longer period of time in debt. You can only avoid interest payments if you pay your credit card off in full each month, which isn’t a position that most people comfortably find themselves in. Taking out a loan to pay off credit cards allows you to bring an end to the recurring debt and focus on paying fixed monthly repayments to another lender.

How does debt consolidation work?

Thankfully, debt consolidation is easy to understand:

• You calculate how much you owe on your credit cards.
• When you have your total, use this as your target amount for the loan that you apply for. You will need to consider its interest rate compared to the interest you’re currently paying on your credit cards.
• When you’ve found a suitable loan, apply and receive the money. Then use it to pay off your credit cards.
• You’re then required to pay your debt consolidation loan each month.

Using a personal loan to consolidate debt

Perhaps the easiest option to consolidate debt is to take out a personal loan from a lender like Koyo Loans. This allows you to receive an agreed sum of money that you will need to pay back over a pre-arranged period of time. If you’ve done your research, you should be able to find a personal loan that has a lower rate of interest than you’re currently paying on your credit cards. Often, personal loans are unsecured and are relatively easy to apply for. Applying for a personal loan will also simplify your debt repayments and make your life that little bit easier each month. Alternatively, you could apply for a balance transfer card, but you need to make sure you understand the fees before applying.

Should you pay debt off quickly?

There’s no doubt about it – the quicker you pay off your debts, the less interest you will pay. For instance, if you borrow £1,000 at 10% with a loan term of 3 years. You’ll pay the initial £1,000 plus £300 in interest payments. However, if you borrow £1,000 at a rate of 8% over five years, you will end up paying £400 back. So, don’t get caught out when calculating the rate of interest on your loans, and always try and pay your debts off as quickly as possible. At the very least, you will need to meet the minimum monthly repayments, but it’s best to pay slightly more if you can to keep on top of the amount of money that you owe.

Debt consolidation and your credit score

In the short term, taking out a debt consolidation loan might have a negative impact on your credit score. However, in the long term, it will improve it. Also, remember that credit scores aren’t the only metric used by lenders. Many utilise Open Banking to get a much clearer picture of a borrower’s financial situation before approving or rejecting a loan application. Regardless, you need to make sure you pay your debt consolidation loan off in a timely manner to ensure it doesn’t negatively impact your credit score.

Negotiating credit card debt independently

You should only really think about negotiating your credit card debt when you’re in danger of missing your repayments. You should seek independent advice before doing this, as you don’t want to harm your long term prospects of accessing credit. You might be able to negotiate a temporary reduction in repayments but make sure you fully understand the long term impact of doing so.

Next steps

Hopefully, you can now see that getting a loan to pay off credit cards can be a useful step for many people. If you feel like a personal loan will help you improve your debt management, get in touch with a lender like Koyo Loans and start your loan application today.

 

 

We always rely on lawyers when in need of legal advice, or career counsellors while thinking about which line of academics to pursue. However, when it comes to financial advice, a lot of people simply rely on advice from their friends, colleagues, or even look for answers on the internet. While this can be useful, it is essential to understand that there are professional financial planners that are in the best position to take care of an individual’s financial matters.

Now, a lot of people are worried about the fact that consulting a financial planner could prove to be expensive. This is one of the most common rumours out there which is just not true. Not everyone might necessarily need to consult a financial planner. However, those who invest in mutual funds and have portfolios that are not fulfilling their goals can greatly benefit by consulting one and getting proper guidance. Financial planning is all about using limited financial resources in order to realise one’s financial goals successfully.

Read on to learn more about how a financial planner can help in achieving one’s financial goals:

Is consulting a financial planner worth it?

Hiring a professional who has expertise in handling financial matters can be a much more economical option as compared to acting on an inexperienced individual’s advice. There will be many people who are well-intentioned, giving all sorts of financial advice. However, this does not necessarily mean that it is the right advice for the individual in question. A lot of people rely on influencers online that publish content with financial advice. However, it is important to understand that each individual’s financial state differs from the other, and not everyone would benefit from the same advice. Consulting a financial advisor and paying their fees instead can be a great decision as they learn about your individual financial goals and base their suggestions while keeping those goals in mind.

Is it possible to plan finances without hiring a professional?

Of course, an individual can always choose to plan their finances by themselves. However, it is also essential to keep in mind that financial planning is not everyone’s cup of tea. This does not mean that the individual does not have the right mindset for money management, just a lack of time on their hands. Managing investments, seeing that they are aligned with financial goals, reviewing the performance of their investments, etc. can take up a lot of time. In such cases, simply relying on a financial planner can prove to be a lot easier. They would know which types of mutual funds to invest in based on the individual’s goals, which can take a big weight off the investor’s shoulders.

A good financial advisor can help in creating a clear plan and guide individuals with their investments that can help them achieve their financial goals. This will also help an individual to stay in control and maintain a balance between their income and expenses.

When you’re in debt, it can feel like a mountain that you’re never going to be able to reach the top of. But once you do reach the summit, you’ll be amazed at just how light you feel and how much more money you have to retain control of over the course of a month. However, to get to this point, you’ve got to have a plan in place for repayment of your debts.

To help you in doing this, here are three ways to better manage your debt repayments.

Get An Accurate Report Of All Your Debts

In order to really start making progress on paying off your debt, you first have to know where you owe money and exactly how much money you owe. Without this information, you can’t create an accurate and complete plan for how you’ll go about paying off this debt.

When making this calculation, make sure you calculate not only the total amount of money that you owe right now, but also how much you’re paying in interest and what your monthly payments are. This way, you can know how much you’re responsible for right now, how much more you’ll be responsible for when paying all of the interest on your revolving balances, and the total amount you’ll be paying to get completely out of debt.

Pick A Debt Strategy The Will Work For You

Depending on how much debt you have and how you feel about your debt, you’ll want to pick a debt repayment strategy that will work for you.

There are quite a few different strategies you can choose from for repaying your debt. One option is to get rid of the smallest amount of debt first and then add those payments to the next smallest debt until all your debt is gone, often called the debt snowball. You can also try paying off the debt with the largest interest rate first so that you don’t have to pay more interest than is necessary, which is called the debt avalanche. Or, if you have too many different debts to effectively manage on your own, you can also consolidate your debt payments and just pay everything at once each month.

Don’t Allow Yourself To Create More Debt

When you’re working hard on paying off your debt as quickly as possible, the one thing that can majorly set you back is if you continue to add to your debt. Knowing this, you should make it part of your debt repayment plan to not create any more debt at this time. Put your credit cards away and stop using them until your debt and spending is back under control.

If you’re having a hard time managing the repayment of your debts, consider using the tips mentioned above to help you overcome this.

 

Mutual funds have successfully become one of the most popular investment options among investors due to the several mutual funds benefits enjoyed by investors such as hassle-free and convenient mode of investment, professional management, tax benefits, liquidity, etc. But are they devoid of risk? Well, no investment option is entirely risk-free. Just like different types of investments, mutual funds are also exposed to certain risks. However, there are certain ways in which you can decrease the exposure of risk of your mutual fund investments. In this article, we will understand how you can reduce mutual fund risk of your investment portfolio.

5 mantras to reduce mutual fund risk

If you are looking to reduce the risk exposure of your investment portfolio, here are 5 mantras that can help you achieve the same:

1. Diversification of investment portfolio
   Diversification of investment portfolio is the key to reducing risk exposure of an investment while investing in mutual funds. As mutual funds invest in different types of securities such as fixed income instruments, equities and equity-related securities, money market instruments, gold, etc. they help to diversify an investor’s portfolio, making them one of the most sough-after investment options among retail investors.
2. Avoid overlapping of mutual fund schemes
   There might be times while choosing the right mutual fund schemes for your portfolio, there is an overlap of sectors or themes, even though the mutual fund investments are channeled through varying AMCs (asset management company). This results in concentration of a particular type of asset class or theme or sector which could result in opportunity cost of the portfolio in other themes or asset classes or sectors or categories that could have added value to the investment portfolio.
3. Periodic monitoring and reviewing of mutual fund investments
   It is important that an investor periodically and regularly monitors and review their investment portfolio to keep a track of the performance of their investment portfolio and their progress towards achieving a specific investment goal. This will also help an investor to identify any under performing assets, if any and take necessary steps that will benefit their portfolio.
4. Taking the services of a financial advisor
   With different types of mutual funds available at the click of a button to an investor, it is easy to get overwhelmed. Investing in the markets require a certain knowledge and time about the financial markets. Not every investor might have the time or expertise required to make the right investment decisions for their portfolio. This is when financial advisors come into picture. A financial advisor has adequate experience and knowledge to make the right investment decisions on behalf of an investor.
5. Investing in mutual funds through SIPs

Systematic Investment Plan, commonly referred to as SIP is an investment tool that allows investors to invest in mutual funds in a systematic and disciplined manner. Several investors make the mistake of assuming SIP as an investment product; however, it is merely an investment tool. SIP investments allow investors to benefit from the concept of rupee cost averaging and the power of compounding. What’s more, with the help of SIP investments, an investor does not need to time the markets, an investment concept which is often frowned upon by mutual fund experts.

Thanks to advancement in technology, you can now invest in mutual funds online from anywhere in the world. So, what are you waiting for? Invest today to enjoy benefits of mutual funds tomorrow. Happy investing!

 

A credit card can be a great way to save money as a family. While you might assume that a family should stay away from credit cards, as they can definitely lead to debt if you’re not careful, there are also many ways to use a credit card effectively for better savings. You just need to know how to make the best of them. When you’re thinking about signing up for a credit card, here are four things that you need to do to make sure you’re choosing the right one.

1. Consider the Yearly Fee

One of the first things you’ll likely think about when you’re choosing a credit card is the yearly fee. Remember, while no-fee credit cards are definitely a good option, they may not be the best for your family. Some families may benefit from a credit card with a moderate yearly fee, as the benefits you receive from these cards may actually give you more bang for your buck.

2. Make Sure You Can Get the Sign-On Bonus

If a card you’re interested in has a sign-on bonus, you need to be sure that you can qualify for that bonus. The BoA Premium Rewards card, for example, has a pretty significant bonus, with 50,000 bonus points, equivalent to a $500 value, that you can redeem for a number of rewards. To qualify, you need to make at least $3,000 in purchases within the first three months. Make sure you can hit that number to get the most out of your card.

3. Utilize All Statement Credits When Available

Statement credits can effectively nullify your annual fee. Some credit cards offer statement credits to help you cover certain purchases, and those credits can be as much as your card’s yearly fee. If your credit card has any statement credits available, make sure you use all of them. It’s the best way to make sure you’re getting the most out of your yearly fee.

4. Maximize Your Rewards Earnings

It’s important that you do whatever is necessary to maximize the number of rewards points you’re earning with your card. Check to see what categories provide the most rewards for the specific credit card you’re interested in signing up for. If you strategically use different credit cards for different purchases, you may be able to get more rewards points than if you were to just use the same credit card on all your purchases.

Conclusion

Families often end up needing a variety of credit card benefits, which is why a credit card can be such a useful tool for a family. However, if you’re interested in getting a credit card, you need to make sure that you’re getting the right card for your family’s specific needs. These four things are all important things to make sure you’ve thought about before you sign up for a credit card. With the information from these things, you’ll be able to get more with every credit card purchase.