What Is The Difference Between Investment Management and Stockbrokers?

The investment services industry can be daunting and ambiguous for individuals who seek a return on their capital. After working hard earning your wealth, it is important to understand the different services offered by professionals and what solutions fit you personally. One of the main questions we get asked here is:

“What is the difference between investment management and stockbrokers?”

Firstly, let’s discuss what stockbrokers are – we all have a much better, clearer, idea of what they do and who they represent. Stockbrokers are regulated firms that offer financial advice to their clients. A stockbroker buys and sells equities and other securities like bonds, CFDs, Futures and Options on behalf of their clients in return for a fee or commission. A brokerage / stockbroker will receive a fee on each transaction, whether the idea is profitable or not.

A brokerage can specialise in any investment niche they wish for example:

  • FTSE All-Share stocks,
  • AIM stocks,
  • European Stocks,
  • Asian Stocks,
  • US Stocks
  • Combinations of the above
  • Straight equities,
  • Straight derivative trading (CFDs, Futures & Options)

The main reason why investors choose stockbrokers over any other professional investment service is simply down to control. Due to the nature of a brokerage firm, they can only execute a trade after you instruct them to do so. This means it is impossible for a brokerage to keep buying and selling securities without you knowing – known as churning for commission. This doesn’t however prevent stockbrokers providing you with several new ideas a week and switching your positions to a new idea.

However, there are natural flaws with the brokerage industry is that because trading ideas can only be executed after being instructed to list a few flaws;-

  • you may miss out of good opportunities due to moves in the market,
  • you may get in a couple of days later because you were busy and not make any money after fees,
  • you may receive a call to close a position but unable to without your say so.

The above are examples that can happen when investing with brokerage firms, but this is due to the reliance of gaining authorisation from their clients. So if you are ultra busy or travel a lot then you could potentially miss out on opportunities to buy or sell.

What are investment managers?

Now we understand what stockbrokers / brokerage firms are about, let’s discuss what investment management services can do for individuals.

Investment management firms run differently to brokerages. The core aspect to these services is that the professional investment managers use their discretion to make investment decisions. As a client of an investment management firm you will go through a rigorous client on boarding process (just like a brokerage firm) to understand your investment goals, understanding of the services being used, risk profile, angering to the investment mandate and allowing the service to manage your equity portfolio. The sign up with the service may seem long winded but it’s in your best interest to ensure the service is suitable and appropriate for you. In reality, it’s not a long winded process at all. Once you agree to the services offered then you will only be updated on the on-going account data and portfolio reporting in a timely manner. This means no phone calls to disrupt your day-to-day activities and allows the professionals to focus on your portfolio.

Investment management firms usually have specific portfolios with a track record, into which you can invest your capital according to you appetite for risk. These portfolios will focus on specific securities, economies, risk and type of investing (income, capital growth or balanced). All of this would be discussed prior or during the application process.

Another method used by investment management firms is different strategies implemented by their portfolio managers. These strategies are systematic and go through thorough analysis before investment decisions are made.

The fees usually associated with investment management firms can vary from each firm. There are three common types of fees and are usually combined, fees can be;-

  • Assets Under Management Fee – This is where you pay a percentage of the portfolio per year to the firm, usually an annual fee. E.g) 1% AUM Fee on £1,000,000 is £10,000 per year.
  • Transaction Fee – This is a fee associated with each transaction made through your portfolio – similar to the brokerage firm’s commission.
  • Percentage of Profits Fee – This is where any closed profits generated over a set time will be charged to the firm. E.g) 10% PoP Fee – the firm generates you closed profit of £10,000 in one quarter – you will be charged £1,000.

The main benefits provided from investment management firms is that after the service understands your needs and tailors the service around you, it is their job to build a portfolio around you. It is also the job of the investment management firm to adhere to the investment mandate you agreed on, we’ll take about this later, so you understand of the time frame given what you should expect. Another bonus why high-net worth individuals choose investment management services is because they are not hassled by phone calls every other day with a new investment idea.

The difference…

The main difference between investment management and stockbroking firms is:

  • Investment Managers offers discretionary services; no regular phone calls about stock ideas.
  • Stockbrokers give you more control as you can personally filter out ideas you think won’t work.
  • Investment Managers offer an investment mandate; this is where the investment management service provides a document of what they are offering you in return of managing your portfolio. You will understand what exactly they are targeting over the year, based on what risk, and should they achieve it – then they have fulfilled their service. E.g) the mandate could state that the strategies used and based on 8% volatility (risk), they seek to achieve 14% capital return.
  • Stockbrokers do not offer an future agreements but look to deliver growth during the time you are with them. They are not bound by their performances like investment managers.
  • Investment management firms have a track record for all of the strategies and services used, stockbrokers do not.

Which to choose?

Both services provide professional approaches to investing in the stock markets. Stockbrokers are chosen over investment managers by people who like to be in control and receive financial advice. Stockbrokers generally do not have a systematic approach to the markets but use selective top-down approaches to select stocks.

Investment managers are chosen by investors who want an agreement on their performances over the year and understand the risk up-front. Usually more sophisticated investors that wish to take advantage of the track-record and gain an understanding of the systematic approach used by the investment management firm.

Feel free to learn more.

DISCLAIMER: The above is not considered financial advice or any endorsement to use any particular service. If you wish to use any of the services mentioned, please seek independent advice.

RISK WARNING: Spread betting, CFD, futures and options trading carries a high level of risk to your capital and can result in losses that exceed your initial deposit. They may not be suitable for everyone, so please ensure that you fully understand the risks involved. Past performance of a managed service is not a guide to future performance.

The Top Three Benefits of Changing Transmission Fluid

There has always been some debate on the pros and cons of changing your transmission fluid on a routine basis, per your vehicle owner’s manual recommendation. One of the many rumored suspicions is that doing so will open your car up to having dreaded transmission issues sooner. To debunk those conspiracy theories, let’s get into the meat of the topic and explore, together, why it absolutely makes sense to change it regularly; and how not doing so could actually cause your car to run sluggishly – potentially costing you precious pennies in the long run!

1) Heat is the enemy

The number one reason that manufacturers recommend you change your transmission fluid regularly is because it degrades as it continually heats up during driving. There are exhaustive studies about the precise temperatures in which its effectiveness actually wanes. Suffice it to say that most owner’s manuals duly recommend changing your fluid every 30,000 miles. There is one exception to this rule: newer vehicles using Dexron III ATF fluid can often go up to 100,000 miles before needing to be changed. As you drive, and the transmission heats up, the viscosity of your fluid changes; over time, this heat causes transmissions to burn up and this is the single-most cause of transmission repairs today – burned up transmissions.

2) Gunk and sludge

As your transmission continues to heat up and it continues to break down, your car’s transmission components begin to get bogged down with gunk and sludge. You don’t need to be a rocket scientist to know that gunk and sludge are going to clog up your transmission gears, causing unnatural wear and tear on your vehicle’s transmission. If you want your transmission to continue to operate smoothly, it is vital to keep it clean.

3) Leaky seals and putrid odors

No, I’m not talking about a horror flick here. A well-maintained machine is one whose owner regularly checks the transmission fluid levels – yes, using the dipstick! You should ideally check your transmission fluid level when your engine is warm and idling. Transmission fluid should be bright red and should smell sweet, not putrid or rancid. It shouldn’t be brown or black or even dark red. It should look like the tip of the spindle after Sleeping Beauty pricked her finger. If your transmission fluid level is low, or the color is not right, it’s time to change your transmission fluid and check (or have checked by the mechanic) all of the seals around the transmission for leaks.

If you want your transmission to last throughout the life of the car, it is imperative that you change your transmission fluid regularly, following your owner’s manual guidelines and a few common sense rules. In today’s world of disposable everything – neglecting your transmission can be a rude awakening to your wallet. The potential costs associated with ignoring the routine maintenance guidelines on your transmission could total thousands of dollars that would be better spent on a nice, warm vacation to a sunny spot this summer.

Top 10 Motorcycles Songs

1. Meatloaf – Bat out of Hell

Released in 1979, and again in 1993 it was written by Jim Steinman with lead vocals from Meatloaf. Steinman was insistent that the song should contain the sound of a motorbike engine being revved, and complained to producer Todd Rundgren in the final recording session when it was not added. Rather than use a recording of a real motorcycle, Rundgren himself played the section on guitar, leading straight into the solo without a break.

2. The Doors – Riders on the storm

Taken from their 1971 album, LA woman this song reached number 22 spot on the UK singles chart. The song was inspired by Ghost Riders in the Sky: A Cowboy Legend.”

3. The Eagles – Life in the Fast Lane

This is the third single from the Album Hotel California which was written by Joe Walsh, Glenn Frey and Don Henley and reached number 11 in the Billboard Hot 100

4. Steppenwolf – Born to Be Wild

Born to be wild was Initially released in 1968 and was used on the soundtrack for the famous motorcycle movie Easy rider, staring Jack Nicholson and Peter Fonda riding Harley Davidson Hydraglide bikes from 1949, 1950 and 1952

5. Bruce Springsteen – Born to Run

Written in Long Branch, New Jersey in 1974 the song is a love letter to a girl called Wendy. Springsteen himself is a celebrated bike fan. He recently auctioned off his Harley Davidson at the NY Comedy Festival Event ‘Stand Up for Heroes: A Benefit for the Bob Woodruff Family Fund‘ for US$ 85,000.

6. Rush – Ghost Rider

This song is based on the motorcycle story Ghost Rider: Travels on the Healing Road. by Rush’s drummer and lyricist Neil Peart. Peart embarked on a 14 month 55,000 mile motorcycle journey across America after losing two of his family members.

7. Manic Street Preachers – Motorcycle Emptiness

This single by Welsh Rock band Manic Street preachers was inspired by a book by SE Hilton called Rumble Fish and is about biker gang culture. The lyrics have been interpreted by some as an attach consumer/capitalist lifestyle and how young people are expected to conform.

8. Shangri-Las – Leader of the Pack

This song became number one on the Billboard Hot 100 in November 1964 and is about a girl called Betty who is seeking her parent’s disapproval by dating Jimmy, the leader of a motorcycle gang. Her parents claim he is from the “the wrong side of town” and will be a bad influence on her.

9. Bob Seger – Roll Me Away

Roll Me Away was written in 1982 by Bob Seger on the album The Distance by Bob Seger and the Silver Bullet Band. Tit reached number 27 on the Billboard Hot 100 char

10. Prince- Purple Rain

The song Purple Rain, taken from the album of the same name reached number 2 in the America charts. The album was thought by many as among the best rock albums ever it was ranked by Rolling Stone Magazine as the second best album of the 1980s.

Choosing a Medical Transcription School

In addition to the medical transcription courses you can take at community colleges or trade schools, you can also complete a course online or have the course sent to your home to complete.

If you take an online course or are completing your course at home and are working at the time of taking your course, it can be very beneficial as you get to choose your own hours for studying and testing. If you are either not working or only working part time you can probably complete your course in less than 6 months. If you are working full time it will probably take you longer. It is up to you to choose the time frame you are comfortable with. There won’t be someone standing over you telling you to hurry up. You will set your own schedule and the amount of time you will be spending on your course.

When you are researching your school be sure you check out their support staff. This can be very important during your training. You want to be able to contact them and get a response quickly to your questions. A lot of the top schools have chat rooms and forums where you can communicate and interact with other students. This can be very helpful and can sometimes get you a lead to a job when you finish your schooling.

Your course should consist of not only textbook lessons but also in getting to transcribe actual doctor’s dictations. This is something you can really only learn by doing. One of the most important things you will need to learn is how to correctly interpret the doctor’s voice dictations. This will take practice. But the more that you practice the better prepared you will be to become a medical transcriptionist.

There are many medical procedures and fields that you will learn during your course. One of the most important is medical terminology. This is the basis for every medical term you will be typing. You will also be learning disease processes, some training in specialties such as gynecology, GI and GU, dermatology, chiropractic terms and procedures, physiology, and many others.

You need to have a broad knowledge of all different types of fields because you don’t know what your first position will be. Maybe working in a pediatrician’s office or a psychiatrist’s office. Working for a clinic is a good place to start and has a combination of many different diagnoses and treatments from a sore throat to a cut toe. It will be good experience to get you started on the right track.

A lot of the medical transcription schools have started giving some training in different types of medical transcription software and types of transcription equipment. With the internet playing such a large role in medical transcription today, you will need to familiarize yourself with different applications and transmission formats. You will need to have a compatible system with the health care providers you will be working for.

Do a thorough research of the many medical transcription school programs that are out there now. Find the one that suits your needs for convenience and financially. Some programs have a payment system for monthly payments, some require half down and monthly payments, and some require the entire fee up front.

What is CNC?

CNC is the acronym of Computer Numeric Control and it is often associated with plasma cutting as in CNC plasma cutting. A plasma cutting unit that is controlled by CNC is controlled by a computer. There are two basic classes of controls, industrial PC-based control systems and hobbyist/artisan PC-based control systems. The industrial CNC systems, such as the ones produced by Hypertherm or Burny, are robust enough to stand up the harsh production environments. They have a touch screen that can be housed inside of a heat shield for additional protection. The industrial CNCs are very costly, but they come highly recommended for any application because they are not vulnerable to typical PC problems meaning they have very little down time. Due to the high cost you will not often find industrial scale CNCs in a hobbyist’s garage. The artisan and the hobbyist plasma cutter use standard PC-based controls with I/O cards for controlling the plasma systems and the drives. Since these are regular PCs they are prone to an array of computer problems, but none that cannot be fixed.

If you want to use a CNC for your plasma cutting there are some things you will need. You will need a table for the cutting to take place on. On each side of the table you must have a rail that the drives can use to move the plasma systems; we will call this the x-axis. A bridge or gantry must span the table and each end must rest on the rails. The plasma system must be attached to a rail on the bridge which will allow it to move back and forth; the y-axis. Industrial strength set ups us fabricated steel for the construction of the table, rails and bridge. On the other hand, extruded aluminum is used for the hobbyist and artisan CNC plasma cutter set ups. The difference is that the steel is more robust and will withstand constant use whereas the aluminum can only withstand occasional use. If building one of these machines sounds a little scary to you, there are lots of kits that you can buy or you have the option of buying ready built CNC plasma cutters.

If you cruise the web you will be able to find many videos showing CNC plasma cutters in action. It is not the easiest topic in the world to explain and I suggest you check out some videos if you have not seen a CNC plasma cutter before.

AIDS – What Really is AIDS and How Can it Be Prevented?

AIDS is a disease of the immune system which is caused by HIV which is otherwise known as “human immunodeficiency virus” a diagnosis of HIV can be devastating news for anyone. The condition is prolonged and takes time to weaken the immune system leaving sufferers of the illness susceptible to other illnesses such as the common cold, which due to the weakened immune system of AIDS sufferers can be deadly. An individual suffering from AIDS or HIV is also more susceptible to tumors meaning routine checkups are needed after a diagnosis, leading to a life of hospital appointments.

HIV can be transmitted through full on contact of the mucus membrane, such as mouths, lips and genitals and can also be transmitted through full on contact with an infected bodily fluid. These fluids can be blood, semen, vaginal fluid and breast milk meaning that HIV and AIDS can be passed through to a child throughout pregnancy and throughout breast feeding. The contact of these fluids can happen throughout different activities including anal, vaginal or oral sex, a blood transfusion or the exchange of infected needles, which would commonly be more associated with drug use.

AIDS symptoms often lie dormant until the disease is in its more advanced stages meaning that a diagnosis of AIDS can be even more devastating when the time left is short. Sufferers from AIDS have an increased risk of developing cervical cancer in female sufferers and cancers of the immune system such as Lymphoma. AIDS in its more advanced stage with come with symptoms such as fevers, sweats, swollen glands and weakness. Weight loss is also a common symptom of an AIDS sufferer. AIDS sufferers are also more susceptible to pneumonia as well due to the weakened immune system. AIDS is truly a life wrecking illness for everybody involved.

Since there is no cure for AIDS, the best way to decrease the spread of it and stop others contracting it is with prevention methods. Some of these methods include safe sex, being responsible and using a condom. Sexual relations are one of the main causes of AIDS transmission and a condom could save lives. It is proven that unprotected sex is responsible for the AIDS pandemic all over the world. A male or female condom would suffice.

People working in the health care industry also can do their bit in stopping the transmission of AIDS and HIV by following precautions and using the appropriate safety equipment to keep the illness from spreading. Also, it has now been said that mothers who are suffering from HIV or AIDS should avoid breast feeding their child as to prevent the child from contracting the illness as well. This is what any reasonable parent would do for their child if they knew it could save their life.

Overall, AIDS is a life wrecking disease and it is nothing to be ashamed of. Yet the prevention of it is so simple that people don’t need to be dying every day from this disease. AIDS doesn’t only affect one person; it spreads like a fire and can affect thousands. So think, and use precautions so you don’t become a sufferer too.

How to Cure Ringworm?

Ringworm is a very contagious skin fungal infection. It can affect all individuals and even animals. During the infection stage of the ringworm, they produce fungal spores that can be transmitted to others. When you become exposed to fungal spores, you are at high risk to develop ringworm. But ringworms are treatable, and ringworm cures are very helpful to remove and kill fungal spores.

It is very essential to kill the fungi, and prevent the spread of ringworms to your body and to other people or animals. Here are some tips that will help you:

– Perform environmental disinfection regularly. It is important to maintain a clean environment because fungal spores can be present anywhere, especially to places where the infected person has been exposed to. Bleach is common in every household, and is very effective in disinfecting the environment. You just need to make a 1:10 bleach and water solution, and use it in decontamination of floors and surfaces. This will effectively kill the fungal spores, and prevent its transmission.

– Use a vacuum with HEPA filters. High Efficiency Particulate Absorbing or Arrestance (HEPA) filter removes at least 99.97% of airborne particles such as dust and fungi. It is very useful in cleaning carpets and upholstered furniture to remove fungal spores.

– Isolate infected pets. It is very important to separate your infected pet from other animals. You should not touch or come in contact with the infected pet because you can contract the fungal spores that cause ringworm. Consult your pet’s veterinarian so that you can determine what type of treatment will help your pet resolve its ringworm.

– Do not share personal articles. Sharing is a good act but if you have ringworms, it is a big no to share your personal items to others. Your things are contaminated with fungal spores. You should keep them and disinfect them using bleach.

– Keep a clean body. Fungi flourish in dirty areas. Proper personal hygiene should be observed to prevent the spread of ringworm on your skin. It is also important to perform regular hand washing after treating your ringworm, and after touching or treating your infected pet because you can obtain fungi spores from it.

– Maintain a sweat-free body and wear comfortable clothing. Fungi thrive in hot and moist areas of your body such as armpits, groins, and areas which have folds especially to obese individuals. You should keep yourself dry and avoid wearing tight clothes.

– Use a natural ringworm remedy. Natural ringworm remedies are found to be effective against ringworm, and they are absolutely safe to use. They are medicinal herbs that use leaves or extracted oil to cure ringworm such as turmeric (Curcuma longa), coconut oil (Cocos nucifera), mustard seeds (Brassica nigra),cassia leaves (Cassia fistula), holy basil leaves (Ocimum sanctum), butea seeds (Butea monosperma), and papaya seeds (Carica papaya). They are applied directly over the ringworm patch. Carrot (Daucus carota) and spinach juice (Spinacea oleracea) are also helpful in treating ringworm because they contain large amount of beta-carotene, which are very good for skin care.

– Apply topical creams. Topical creams are effective for ringworms that have mild symptoms. They are over-the-counter medications that help to relieve ringworm symptoms and kill fungi that cause ringworms. Topical treatment should be used for 2 to 4 weeks to effectively eradicate the fungi. Topical medications include Miconazole (Micatin, Desenex, Daktarin, Monistat-Derm, and Decocort), Clotrimazole (Mycelex and Lotrimin), and Terbinafine (Lamisil AT, Lamisil, and Lamisil Dermgel).

– Administer anti-fungal pills. Anti-fungal pills are systemic treatment for severe cases of ringworm. It is recommended to consult your physician so that you will be advised on the proper dosage and length of treatment using oral anti-fungal medications. Anti-fungal pills include Griseofulvin (Gris-PEG, Grifulvin V, Fulvicin P/G, and Griseofulicin), Itraconazole (Sporanox and Sporanox PulsePak), Terbinafine (Lamisil), and Fluconazole (Diflucan).