Author: Scott Hodges

Get Your Food From….Amazon?

Posted on by Scott Hodges
In case Amazon weren’t already doing enough – never fear; they are about to do more. They are now opening restaurants in Seattle and NewYork. With plans to create a division called Amazon Restaurant, they are hoping to increase their meal delivery market foothold.
There are at least 15 job openings for a division called “Amazon Restaurants” based in Seattle and New York according to a Reuters search on LinkedIn and Amazon’s own mobs site. Amazon isn’t talking – but these postings seem to be talking for them.

Time will tell how Amazon plans to use this service and how they plan to develop their business in these areas. But something certainly appears to be in the works.

Mickey Mouse Soon Coming to Uniqlo

Posted on by Scott Hodges

Uniqlo clothing chain has announced that it plans to expand its collaboration with Walt Disney Co. to offer more products. They will also be opening a flagship store at the Florida Disney World’s shopping complex in the spring.

The Japanese apparel retailer already has T-shirts that feature Mickey and Minnie Mouse. They will now extend their Disney-themed lineup to offer items that range from the Ultra Light Down collection and flannel shirts to toys and more. They will also be using characters from movies like “Star Wars” and “Frozen.”

Creation of Three New American Monuments

Posted on by Scott Hodges

President Barack Obama created three new US national monuments in Texas, Nevada and California that span more than 400,000 hectares. He established the National Monument in California, the Waco Mammoth National Monument in Texas and the Basin and Range National Monument in Nevada.
During a White House ceremony for the monuments, Obama said that the national parks and monuments are “something that we pass on from generation to generation, preserving the incredible beauty of this nation, but also reminding us of the richness of its history.”

Former first lady Laura Bush said that the creation of these monuments, including the Waco Mammoth monument was “a special day for Texas.”

The creation of these monuments created hostility between the Democrats and the Republicans. As Rob Bishop of Utah said,

“This surreptitious land grab reveals that the Obama administration will stop at nothing to lock up more and more land, with the stroke of a pen. I condemn this shameful power move which makes states and citizens fearful that the federal government can invade at any time to seize more lands like bandits in the night.” 

Crescent Petroleum Growing Since 1971

Posted on by Scott Hodges
During the tumultuous years of the 1990s in the Middle East, and despite the best efforts of Saddam Hussein, Crescent Petroleum was still able to thrive and grow as a company. Founded in 1971, by the middle of the 1980s Crescent Petroleum was already a key player in the world of energy. By this time they were already active as technical operators in several countries, including Egypt, Yemen, Pakistan, Canada, Tunisia and Argentina.
Headquartered in United Arab Emirates, Crescent Petroleum today controls a family of 25 diversified companies, divided into two main divisions, Crescent Enterprises and Crescent Petroleum. As the oldest private oil and gas company in the MENA region, it is no surprise that over the years the Crescent Group diversified into many different industries spread throughout the international marketplace.

The Crescent Group staffs more than 7,000 employees who are dedicated to the success of the company. Currently they are still on the lookout for new opportunities to expand into new markets. Growth and expansion has not, however, prevented Crescent Petroleum from continuing to uphold best business practices while maintaining the highest levels of social responsibility.

Sweet Briar College Saved from the Chopping Block

Posted on by Scott Hodges

While single sex education has become a thing of the past for many, some are still clinging to these traditional ways. Sweet Briar College, a 114 year old private women’s school in Virginia, has found itself with dwindling enrollment. They were slated to close as a result of financial difficulties, but now they are going to remain open after a legal settlement.

While school officials have wanted to close it, alumnae and friends have been fighting to keep it open. The agreement still has to be approved by a Circuit Court in Amgerst County and a hearing before Judge Jamed Updike is set for Monday.

In March, college officials said that the college would close on August 25th. In 2014, 47 women’s colleges in the US and Canada closed, according to The Women’s College Coalition.  The agreement now requires the college’s backers to deliver $12 million in donations for the 2015-2016 operational year.

As Sarah Clement, chair of Saving Sweet Briar, said “Today’s settlement is an answer to the prayers of many and a powerful validation of fighting for what you believe in.”

JPMorgan Chase & Co. Says Goodbye to Voicemail

Posted on by Scott Hodges

The future has arrived and it’s certainly filled with technology. In an interesting move, JPMorgan Chase & Co. has eliminated voicemail for its thousands of employees. This will save them $10 a month per person, as Gordon Smith, the chief executive of the company’s consumer banking operations has said.

As Smith said, “We realize that hardly anyone uses voicemail anymore. We are all carrying something in our pockets that is going to get texts or email or a phone call. We started to cut those off.”

They are cutting the service for employees who don’t deal directly with customers. 

Managers can still keep voice mail for employees who need it.

JPMorgan is taking out 65% of its voicemail boxes and will save $3.2 million a year with this move.

Learn more about this change.

Grab Avon Makeup While You Can

Posted on by Scott Hodges

You might want to run out and buy your Avon makeup soon…and that’s because there is a chance that they are selling their North American business. Really.

The Wall Street Journal recently reported this news and sales surged by more than 15% in early afternoon trading.

Avon’s stock has fallen 45% over the last 12 months. North American revenue fell 12% in the fourth quarter of 2014 as compared to the same quarter last year. It fell 17% for the entire year compared to 2013.

The Journal reports that the company recently cancelled its analyst meeting that is scheduled for next month since executives would have to discuss their plans with investors while still formulating a plan.

Cracking Down on “.Sucks”

Posted on by Scott Hodges

Certainly, the internet is a vast world where both good and bad take place. Recently, a Canadian company has been using the new “.sucks” domain in order to extort large sums of money from celebrities and companies that obviously want to protect their brand.

The Internet Corporation for Assigned Names and Numbers, or ICANN has recently sent a letter to the US Federal Trade commission and to Canada’s Office of Consumer Affairs to explore if the actions of Vox Populi Registry Ltd are illegal. Close to six hundred domain names have been added to the internet world lately, expanding beyond the typical “.com” and “.org.” Apparently the “.sucks” was accepted as part of this collection by ICANN. However, such powerhouses as Microsoft, Verizon and eBay have recently been complaining about the newest addition.

So far, purchased names have included Youtube.sucks, Bing.sucks, Visa.sucks and Bankofamerica.sucks, among others. CEO of Vox Populi, John Berard, fought back when he explained that the domain name is meant to create a forum for companies to interact with their critiques. He called his company’s business “well within the lines of ICANN rules and the law.”

Time will tell whether Vox Populi’s business plans sucks, or is seen as a brilliant move in the internet world.

Tiffany & Co. Sales Fall

Posted on by Scott Hodges

In a surprising development to many, Tiffany & Co’s quarterly sales fell for the first time in five years. Their sales are expected to decline even more as the strong dollar keeps tourists away from the NY store and also reduces their sales overseas.

The Fifth Avenue store counts on tourists to make up approximately 40% of their sales. Sales outside of the US account for about 50% of their total revenue.

As CFO Ralph Nicoletti said, “Tourist purchases are expected to continue to be pressured in the Americas.” The company actually expects a 30% drop in sales this quarter.

Read more about Tiffany’s situation.

The Optimism Behind ETFs

Posted on by Scott Hodges
As the old adage goes, there’s a time and a place for everything.  And in the world of finance and investments it also rings true.  Indeed, this is especially the case for Exchange Traded Funds (ETFs) that have over the years not gotten the good rep they deserve. Furthermore, in a recent white paper entitled Are Concerns About Leveraged ETFs Overblown, the case was recently made that concerns are exaggerated and that in fact there are many benefits to leveraged ETFs such as capital flows which limit ETF rebalancing demand and thus “mitigate the potential for ETFs to amplify volatility.”
So what is the truth?  When looking into ETF risks versus gains, it is important to investigate each individual ETF to see which one will fit best in your portfolio.  There are so many different types available these days. For example, one niche ETF is the HealthShares Autoimmune-Inflammation ETF, that tracks an index of American and foreign publicly-traded companies involved in the clinical research and development of treatments for various diseases like arthritis, multiple sclerosis and psoriasis.
Those who prefer the ETFs that center around current investment trends should look at the variety of those based on alternative energy sources like wind or solar power.  Alternative energy sources are becoming more attractive as oil prices gradually increase from the 2008 lows.
When it comes to leveraged ETFs, while there are risks, there are also many potential rewards. Comprising around 2.5 percent of the $2.5 trillion ETF global market, these are fiscally engineered with “leverage” that come from debt and derivative and can supercharge returns of their underlying benchmarks.  In addition, the benefit of using leveraged ETFs is that they represent a self-diversified index or pool of stock, which means market risk can be reduced.

Vis-à-vis inverse ETFs one is able to easily benefit from falling asset prices.  And these ETFs are really good for day trading since many are based on the daily inverse price performance of an underlying index.  Hence for those looking for short-term trading opportunities, inverse ETFs are a good option.