Vocational money and computer money

By: Sendy Filemon, 31 October 2008

Question, what is the underlying, most basic premise of current global economy system?

Perpetual growth

What prove to this answer?  The pervasive application of interest rate to borrowed capital. An interest means that the borrower will somehow get more money in the future than what he had borrowed today. Without growth, it’s impossible to expect that the borrower would be able to do such a thing. We have been so used to growth, so expectant of growth, that we often forgot that without growth, interest is impossible.

Ok, since this is pervasive, everyone who borrows money needs to pay an interest, what is the implication of applying a perpetual growth assumption into an economic system?

As some people had mentioned: In an economy system based on perpetual growth – There’s only 3 paths: actual increase in production, inflation, or bankruptcy.

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Time for Change

We are 4 days to the US election and i have goosebumps everytime i heard about pools going favorable to the wrong direction, to McCain’s that is.

I have been keeping track of this election ever since it’s Obama vs Hillary, hoping that in the end, America will stop its collective stupidity and start choosing a smart president once in a while.

I have no idea why they choose for Bush the second time, i thought it’s all the drug, booze, and fat getting to their brains. But boy, if they choose McCain, they will erase any doubt about their collective stupidity.

Some of the blog readers in the US might wonder, why does an Indonesian rant so badly about the US election. Now, i live in Indonesia, a country with muslim majority, and i can tell you that that stupid Bush has zero idea about how much unneccessary heat, hatred, and fear that his narrow minded ideology had spawned in this country.

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Suku bunga deposito bank di Indonesia – 29 Oktober 2008

(This post has been updated on 18 November 2008, 5 more banks has been added, and a summary on which product gives Best return for different asset size is provided. Click this link to find the updated version, and another feature on Suku Bunga Deposito has been added, click this link to see the feature)

You have some extra cash to invest right now, and you like to consider your options. Stocks, it might be good time to buy now, since it’s in heavy discount, but you don’t like the risk. Bonds, looking at the potentially even-higher inflation rate for next year, the returns are too small.

How about good old time deposits? It’s guaranteed by the Indonesian government up to IDR 2 Billion (around USD 200.000), it gives a fixed rate of return. The only downside is, the return could be small.

So…what should we do? We need to shop around and see which bank provide the best rate of return for their time deposit.

and boy did i shop, i visit around 12 banks in the Puri Indah area of West Jakarta and ask for their time deposit interest rate. The trip provides some surprises.

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We have been talking about the wrong type of oil inventory

By Sendy Filemon, 25 October 2008

When one think about speculating on commodities, products with physical form, one thinks about hoarding.
Popular example in an Asian country would be, rice hoarding, speculators buys rice, hoard it in some warehouse, create supply gap in the market, prices starts increasing, consumer start to perceive the increase in price, consumers join hoarding rice, price gets even higher, then the original speculator release his stock. (For readers who don’t live on such country, please exchange “rice” with any other staple food in your country).

This is how the speculator makes his killing, creating false supply and demand gap, leveraging market sentiment to create a snowball effect, and reap the profit when the snowball gets big enough.
To execute this type of speculation effectively, the speculator would need large amount of capital and physical space.

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Quotes from the ultimate fun fearless female

Some quotes from Helen Gurley Brown

Why quote her? well, you may or may not like all her values, but she got balls for sure, more balls than most men i meet, so, salute.

the quotes:

  • “Beauty can’t amuse you, but brainwork — reading, writing, thinking — can.”
  • “People think chutzpah is in the genes. It isn’t…it’s in the needing and wanting and being willing to fall on your face. It isn’t fun…who wants all that rejection, but life is sweeter if you make yourself do uncomfortable things.” Continue reading

Will there be capital in Apac Oil and Gas? IFC stand to fill the void

by Sendy Filemon, 23 October 2008

Some say that the financial crisis is the worst crisis since 1930, I say, this is the best opportunity since 1930. Financial crisis happens, in such times, both big winners and losers will emerge at the end of the tunnel. And I believe, IFC stands to be a winner, here’s why

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Hedge your cashflow with a side business – part 1 – What do we need to start one

By Sendy – 21 October 2008

So, you have a job, that gives you a income stream, and regardless of your satisfaction with the amount of the income (most probably you’re not satisfied), it’s important to recognize a more damning fact, that it’s just one source of income.

Now, this represents a risk, if you only have this one source of income, and that source income goes down the drain, you’re entire source of income also goes down the drain. Leaving you with no option but to tap into your savings to maintain your lifestyle while you look for a new job. Baadddddd. This is a double whammy, not only your income move from positive to nil, your asset also move from dismal to even less.


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