This financial company is a professional firm specialized in offering financial and commercial solutions for a host of corporates, industrial units, and MSMEs. Its founder and promotor, Mr. Rajneesh Aggarwal has over 2 decades of expertise in the field of Finance and Taxation. Based in New Delhi, its team of financial experts can be reached on +91-11-25524986 or +91-11-25534
ARK is one of the best companies in Delhi that provides best solution for the corporate finance related issues. It is a pioneer among various corporate services in Delhi.
ARK helps its clients in various areas such as Project Finance, project loan syndication, company law matters, and various other things. ARK is a known name in Delhi for providing assistance for arranging Project Loan Syndication Service under the following categories:
The successful operations of our company are the result of certain core values of our company that are followed in each and every stage of our work. Our values are based on transparent communication, dedication, Integrity and time bound delivery, etc.
Loan syndication is another successful financial service of our company as we help to provide large capital situations. Loan syndication is required in extremely large loan situations. Loan syndication case occurs when the amoun required by the borrower is so large that the single loan lender is not able to provide it and thus multiple lenders together provide the loan to borrower.
Infracstucture at ARK is streamlined in such a way that the operations are done within an optimizable level of process work. ARK has worked with several successful projects straight from the beginning to the commencement of the project. It consists of a team of experts from financial background who possess specialised knowlegde about Finance and Banking. The team consisting of Economists, C.A.s, and other financial consultants are fully experienced in dealing with various Loan and Finance related things.
We have several nationalized banks as our clients and we are on the panel of various banks for their professional services. ARK is a name in the financial sector mARKet because of its vast experience and hard earned reputation. The large clientele and its name as a complete business solution providing service is one of the reason that client feels relieved from the headache.
Among various other Corporate Finance Services in Delhi, ARK has established its niche due to its broad expertise and vast corporate strategies. ARK is looking forward to spread its arms further and venture into the international arena in the area of financial services. The aim of this company will however remain a complete solution of the financial needs of the client with an automatic growth of the venture.
Imagine the structure of your house: there’s a foundation, a frame, a roof and the siding. What would happen to your home if one of those major pieces was missing? Now imagine your financial situation as also being comprised of equally important parts. These parts can be more generally broken down into your assets and liabilities, your protection from risk, your investments, and your tax situation.
Together, these parts reinforce your financial foundation so that you can be more prepared to protect and preserve your wealth in tough economies and volatile market conditions. But, without one of these important parts, your financial foundation is less stable and could be exposed to challenges that may arise in the future. These vulnerabilities in your financial situation can wreak havoc on your long-term objectives, your family, and your lifestyle.
By taking into account your current financial situation including your assets and liabilities, your protection needs, your investments, and your tax situation, while exploring options on solidifying your financial core, you can protect yourself from setbacks along the way and pursue your future goals more confidently.
Let’s start with the basics – assets and liabilities
Your income is central to pursuing all your goals. Basic financial principles dictate that what you bring in must exceed what you send out. All the excess income should be applied toward your investment goals and simultaneously to build and emergency cash reserve, and pay down debt such as your mortgage and credit cards.
Build your cash reserve
You must have cash available when you need it for emergency situations. So when something unexpected happens such as a job loss, you can pay your day-to-day expenses without tapping into your assets that are set aside for your long-term financial goals. That’s why it is critical to have a systematic savings strategy to build an emergency cash fund of at least 6 months. This way you will be able to cover short- and long-term emergencies.
Your short-term reserve will cover frequent minor emergencies such as a leaky roof or car repairs. Your long-term cash reserve is for more significant changes such as a job loss or a disability. A short-term cash reserve typically consists of short-term liquid investments such as savings accounts, money market accounts, whereas a long-term reserve investments offer lower liquidity but higher rates of return such as certificates, Treasury notes, and CDs.
An added layer of protection may include establishing a home equity line of credit as part of your emergency fund. Keep in mind, it’s much easier to qualify for a home equity line when you are employed.
Without a sufficient cash reserve as a safety precaution, difficult financial times can lead to worse times especially if those times include you withdrawing cash from your long-term investments to get by, which can worsen not only your current tax situation but also your future standard of living.
Pay down debt and borrow smart
In a society where credit is provided left and right to people, it’s common to have debt. If you have debt, you have to be smart about it. Managing debt is difficult especially when you are not meeting your day to day expenses. One way to manage your debt wisely is to pay down your high interest debt first and work your way down to lower interest balances.
Say you have a credit card balance with an interest rate of 17.99% and a car loan of 4.99%. It makes sense to put down more dollars for your credit card first because overtime you are paying more per dollar borrowed than you are for the car loan.
Now, say you have an opportunity to consolidate both of these debts in a home equity line of credit that offers a fixed rate of 4.99%. This may be a considerably better option because you can save on interest and negotiate a lower monthly payment, and perhaps reap tax advantages. And the extra money that is saved as a result of the consolidation, use it to pay down the new balance faster.
Also, another opportunity is to refinance your mortgage. Mortgage rates continue to be quite low hovering around 5%. Lowering your mortgage rate could reduce your payment and therefore free up some extra cash for you that you can contribute toward your other investing goals. Talk to your financial advisor about the best options to take in order to reduce your debt and increase dollars saved so that you can produce your longer-term objectives.
Make sure you are protected
Everyone needs insurance. No one likes to think of how an unexpected illness or disaster can wreak havoc on your financial situation. But an unexpected event can wipe out years of careful saving in a very short period of time. The fact is that most people have substantial gaps in their coverage, or don’t have protection at all.
Consider life insurance to protect your family from your eventual passing. This is why it’s important to have life insurance. If your loved ones depend on you for financial support, and that financial support is gone, they may not be able to survive financially. So first make sure you take advantage of life insurance options provided my your employer. Also, consider an individual policy, which is portable and will provide coverage no matter what job change you make or even if you are no longer employed.
Consider disability income insurance to protect your income. Imaging if you experience a sudden illness or injury that renders you unable to work. How would you meet your day-to-day expenses? Though it seems unlikely that you will experience a sudden disability, the fact is that more than 30% of Americans will become disabled at some point in their life. Take advantage of any disability coverage provided by your employer, which typically replaces 40%-60% of your base salary and an individual policy to close the gap. Plus, an individual disability income policy is portable so you can take it with you regardless of where you work.
Consider long-term care insurance to take care of your family and your assets. More than 70% of people over the age of 65 will need long-term care. So odds are you will need long-term care at some point in your life. Unfortunately, long-term care is expensive, whether it’s at a home, assisted-living facility, or in a nursing home. With a long-term care policy you can protect your lifetime of savings from being wiped out quickly because you have to pay for your long-term care services. So your family doesn’t have to suffer from financial burden.
Informed and active investing
Investing is key to any long-term success. The markets can go up and down, which can be frustrating. Staying on track and keeping your long-term goals in mind involves discipline, regular investing, diversification, and a knowledgeable strategist to guide you on structuring your portfolio.
Having a well-thought out investment strategy is critical, but equally important is monitoring that strategy and sticking to it for the long run. Markets that are in flux and causing mayhem may keep you away from sticking to the plan and compromise your long-term plan. Your Financial Advisor can help you maintain an objective focus on your portfolio.
Make investing a habit
Volatile markets tend to make investors nervous about the decisions they originally made in their portfolios causing to mess around with purchasing and selling at wrong times and thereby incur losses. These periods when your emotions overpower your investment composure make it really easy for you to get bumped off track. Keep in mind, your Financial Advisor devises strategies to take advantage of both long-term as well as short-term macroeconomic trends.
Dollar-cost averaging. This investment strategy involves allocating a set dollar amount toward the purchase of shares on a regular schedule such as weekly, monthly, quarterly, regardless of the market’s performance. This ensures that more shares are purchased when prices are low and fewer when prices are high. Over time, this may lower you average cost per share.
Managed accounts. Through this strategy, a knowledgeable and professional money manager oversees your portfolio, monitoring your investments and performance to make sure they are aligned with your investment objectives, time horizon, and risk tolerance. He also designs strategies to take advantage of various opportunities that may come about from market volatility in the long- and short-term. Having a professional money manager may take the emotion from your investment decisions.
Annuities. When you purchase an annuity, you can systematically invest into it by making regular scheduled contributions. Each contribution is allocated to the subaccounts you have selected. Through an annuity you can get a guaranteed income stream for life. Annuities can take a lot of the worries such as unexpected market events, market performance, inflation issues, and future life events away from investing. An annuity can take these risks out of the equation by providing retirement income that may include guarantees based on the claims-paying ability of the company that issues the annuity.
The practice of timing the market to buy and sell individual securities based on the market’s ups and downs is difficult, but positioning your investments based on economic trends whether those trends are expected to unfold in the near term or long term may uncover opportunities. The strategy of putting your money to work in the market for the long term while managing it for the short term also is tried and true. Staying invested for the long-term will ensure that you won’t miss out the market’s good performing days as long as you carefully hedge against downside risk in the short-term.
To make sure you continue to invest on an ongoing basis, take advantage of systematic investing opportunities. Also consider the strategies below to complement your long-term investment plan:
Make sure to mix it up
Diversifying across multiple asset classes is the key ingredient to hedging against risk. A well-rounded portfolio containing a mix of investments such as different types of funds, securities, alternative assets, real estate and so on can help you reduce the risk that your portfolio will fluctuate widely in value. More importantly, when you diversify, you set yourself up for potential opportunities of many different types of securities rather than only a handful.
Diversification works together with asset allocation, or in other words how you strategically divide your investment dollars across the many asset classes such as stocks, bond, cash, or alternative assets. Within each asset class, you should have several investments that are aligned with your investment objectives and long-term goals. For instance, your equity portfolio might include individual stocks, mutual funds, and exchange-traded funds across different sectors and market capitalizations including domestic and international markets.
An investment plan for different stages of your life
There is no such thing as an investment plan for life that is static. Where you are in life affects how you can handle financial loss. Clearly, a major setback in your retirement funds is very different for someone who is 60 vs someone who is 24. So it only makes sense as your priorities, risk tolerance, and time horizons changes that your investment plant should change too. Your Financial Advisor can help you plan according to where you are in your life and what’s important to you at that point. By aligning your investment mix with your circumstances, your risk tolerance can be in the right comfort zone if you hit a rough patch.
Smart tax strategies
You should also consider positioning yourself for tax diversification in your investment portfolio to minimize your overall tax exposure. This especially important as the tax environment changes and rates increase for higher taxpayers.
Your portfolio can be structured to include a combination of investments such as taxable, tax-deferred, and tax-free to help you achieve the right balance of risk and opportunity.
Credit or Debit
cards are the particulars of plastic but of greater importance. Not only that
but also cards have finished the risk involved with cash handling. Earlier
there were many ricks including theft or misappropriation of cash. Now there is
no need of holding cash securely all the times and carrying cash anywhere you
go as just this card can help you a lot. Credit cards are also more beneficial
than debit cards as in credit cards there is no requirement of maintaining the
minimum cash balances. However, debit cards are safer than those of credit
cards are as credit cards if lost can be accessed by anyone if not blocked
while debit cards require a PIN number before doing any transaction. The Card
Fraud Management Techniques makes these cards even safer. Card
fraud management helps you to keep your card safe.
about the usage of these cards then you know todays world is the world of
internet. As almost every person, having a credit or debit card has once tried
shopping on the internet. Every person likes shopping, where he orders
something by viewing it and that product straightly comes to his home. This
type of shopping is only possible through internet. Online shopping includes so
much of the benefits and amazing offers that a person gets convinced at once.
Even in a shopping in a mall or shopping complex cards are now accepted.
steps to taken
But the problem
is with the security of your cards. Although there are many Card Fraud
Management Techniques but still, shopping online involves many types
of card frauds and can be dangerous as someone else can use your card for
shopping. There are many steps for card fraud Management that
are listed below:
mentioned techniques of card fraud management may help you a
lot in preventing your card.
There are so
many companies or organizations which deal with the payments made by the cards
like debit cards, credit cards etc. there is need of good card fraud
management of the companies. As these companies assist the persons or
users with the acceptance of the payment cards. This ability to assist the
persons by accepting the cards for the payment can be essential to the business
survival of the company. Along with the ability for the acceptance of cards,
there are so many things which have to be kept in mind while selecting the
company during payments. These include the frauds of the cards, as this is the
main thing for the appearance of the criminals in order to the desire of fraud
numerous things that have to be kept in mind by the users so that the users
cannot be a part of the victim. So there is effective and secure card
fraud management in order to stop the crimes against card frauds. As
there are so many companies which deals with the good card fraud management
How the card
fraud may be detected
When the user
is doing an online transaction for the payments of his bills, shoppings and for
the other things, if he is suspicious or having any doubt at any point of time
while doing a transaction, the user can call to the issuer of the card. The
code used for making the call to the issuer of the card is ten. This code helps
in alerting the processor that the person is having the concern regarding the
transactions which held during the purchase. This card checks the problem
without being notified by the card holder. The verification is done by some
specialized person at the respective bank. This verification includes the
questions that the person has to be answered. The answer may be either yes or
no. The questions are in the form of a series. Based on the verification, it
will give the instructions on how to proceed or go with the transaction during
the purchase. This type of effective and good card fraud management helps
in reducing the card frauds.
card fraud management
methods for the card fraud management are described below:
the address is one of the simplest and easy method which can be used by the
users by avoiding the accepting of the cards which are stolen. The billing
address, the postal zip code is also included, should be captured or gathered
during the online transactions. The billing address will be checked at the
terminal of POS. If the verification is successful, then the transaction will
be done otherwise declined.
threshold is one of the other methods for the effective and good card
fraud management. This service of the threshold management allows the
merchant or company to accomplish some parameters which are pre-defined for the
acceptance of the transactions. If there is an activity done by the suspected
fraud, it can be detected by the merchant or company. The transaction will not
proceed further. So this is also an important tool for the management of the
methods for the card fraud management are E-commerce and
Advanced Fraud Protection Service which assists with the effective security of
the card frauds.
In steps the Stock Market, promising higher returns than stodgy old bonds, and money market accounts; hence, the stock market became the destination of choice for retirement savings and Wall Street responded by increasing the offerings to retail consumers through Mutual Funds. Before the year 2000 it was not uncommon to hear that the S&P returned 16% over the previous 10 years. Looking at the returns of one of the best known indexed mutual funds, the Vanguard 500, returns since its 1976 inception are 11.75%, impressive until you look at the 1 year return, -2.41%, the 5 year return, 11.89% and the 10 year return 5.06%. These are average returns not real returns. As an example lets look at the growth of 1 dollar in the mythical High Fly Fund. High Fly posts a 50% gain in one year and your dollar grows to $1.50. The next year it posts a 25% loss, now your investment is worth $1.125. The average return for High Fly reported by the mutual company is 12.5%, but that is not your actual return. Your actual return or compound annual growth rate (CAGR) is in the neighborhood of 6% per year worse if you factor in inflation.
Is 6% acceptable given the risk that investors take on by investing in the stock market? David F. Swenson, CIO of the Yale Endowment explains investor risk in his book, Unconventional Success, when he states: Because equity owners get paid after corporations satisfy all other claimants, equity ownership represents a residual interest. As such stockholders occupy a riskier position than, say, corporate lenders who enjoy a superior position in a companys capital structure. He goes on to say the 5.0 percentage point difference between stock and bond returns represents the historical risk premium, defined as the return to equity holders for accepting risk above the level inherent in bond investments. Mr. Swensons comments and calculations of the risk premium were based on a compound annual return of 10.4% in the stock market compared with 5% bond yields. 10.4%-5% equals a risk premium of 5.4%. Unfortunately I have yet to find a calculation of CAGR (compound annual growth rate) that matches Mr. Swensons. I found many examples of average returns that match the 10.4% average growth rate but not the CAGR. The reason that this is important is that all other savings vehicles are quoted by the CAGR. Your savings accounts, bonds and money market account are all quoted by the CAGR or its equivalent, the annual percentage yield (APY). In order to determine where to allocate your funds, you must compare apples to apples not apples to oranges. As you might guess the CAGR for the stock market is lower.
A quick look at the CAGR calculator for the stock market on moneychimp.com shows the average return from January 1, 1975 to December 31, 2007 to be 9.71%. You only realized that return if you were invested in the market the entire time. What if you began investing in 1980? The numbers look about the same. If you started in 1985 your returns look a little better. By 1990 the CAGR drops to 8.21%. If you started in 1995 your CAGR jumps to 9.32%. If you began investing in 2000 your CAGR drops to minus 0.06%! If you eliminate the results of the past 7 years from the S&P performance and track performance from January 1, 1975 to December 31, 1999 the CAGR was 13.03%. When the stock market is good it is great, when it is bad, it is pretty darn miserable. For the record, there has been only one 9 year period from January 1, 1950 to December 31, 2007 in which the average return for the S&P was 16.14% and the CAGR was 15.32%: the period from January 1, 1990 thru December 31, 1999.
It should be clear from these numbers that your returns are dependent not only on how long you are invested in the markets but when you started investing. In fact the stodgy old bond investor has outperformed the stock investor over the past 7 years.
The 1990s investor will have a very different view of market performance than the 2000s investor.
Mr. Swensons book is a must read for anyone investing in mutual funds, he makes a compelling case, explaining why actively managed mutual funds are generally a money losing proposition for investors and why a balanced portfolio based on six solid asset classes constitutes the winning combination for investors.
How can I call the stock market the second biggest financial scam of the twentieth century if I am quoting numbers that are on the face of it pretty good? For four reasons:
1) because the true CAGR going back to 1950 is much lower 7.47%. It will take the average American worker 25 years and one month saving $10,000 per year to accumulate one million dollars in wealth as long as the market achieves CAGR of 9.71% and in 29 years 2 months if forced to accept the longer term returns of the market. These numbers leave very little margin for error for the average American worker. Retirement projections for the most part are based on returns that have existed at only one point in the stock markets history since 1950;
2) because the same laws that facilitate the transfer of individual investor money into the stock market also mandate its withdrawal at a specific time which is tantamount to what all financial pundits have called a money losing strategy, Market Timing. In other words the laws governing tax-deferred savings mandate that withdrawals begin at age 70 and a half at the latest forcing retirees to time the market to determine their exit;
3) the time horizon for capturing meaningful gains from the market is long indeed, at least 30 years. To quote Mr. Swenson, Returns of bonds and cash may exceed returns of stocks for years on end. For example from the market peak in October 1929, it took stock investors fully twenty-one years and three months to match returns generated by bond investors.
Charles Farrell, an adviser with Denvers Northstar Investment Advisors, used data from Morningstars Ibbotson and Associates to analyze 52 rolling 30-year periods, starting with 1926 to 1955 and ending with 1977 to 2006 But heres whats interesting: The Majority of your wealth would almost always have come in the last 10 years. Mr. Farrell calculates that, on average, you would have notched 8% of your final wealth after the first decade and 32% after the second. In other words, 68% of the total sum accumulated was amassed in the last 10 years. (Wall Street Journal, Jonathan Clements November 21, 2007);
4) because current marketing strategies by financial pundits, gurus and Wall Street treat stock market investing as a money in, money out proposition obscuring the true risks of investing and the true time horizon needed to accumulate wealth. In other words, the money needed for retirement must be invested for an extended period of time, roughly 30 years. It cannot be borrowed against. It cannot be used to buy a home, car, pay for college or a childs wedding.
It can only be used for retirement 30 years hence. Any other needs must be paid for from an additional source other than retirement savings. Most people lack the financial education to understand this and blindly chase market returns hoping for a big score.
Fortunately there is a simple solution, but like most simple solutions this one requires work and financial education. I will introduce this simple solution in part 3 of this series.
Disclaimer: This is a thought-provoking article that draws upon real world examples, articles, books and websites that are readily available to the public. This article is not intended to offer investment advice. Any actions that you take in the market place should be the result of your own financial education and consultation with a licensed professional. Financial calculations were accomplished using the savings goal calculator found at Bankrate.com unless otherwise indicated.