16 Mar 2017

Disclosing your Salary to prospective Employer?

This is why you shouldn’t lie to a future employer about your salary


London’s single market access will end with Brexit

No need to run scared, as I have stated earlier, an analysis of all business lines shows that the EU umbrella is not really that important. Major firms are already present in key locations on the Continent. In the long run a dynamic London financial centre serving the world without cumbersome regulations will win over Paris and Frankfort any time! And what about 'giving access' to London to banks/asset managers in the (doomed?) Eurozone?
London’s single market access will end with Brexit

15 Mar 2017

Untested Robo-Advisers Are Becoming a Big Market Risk - Bloomberg View

Assets under Management by Robo-Advisers are not yet that large. But when they are in the hundred of billions it will create the mother of all panics. The programs behind them - in addition to 'sophisticated' quant funds - will all rush to the exit at the same time! Sprinkle a few billions of ETF into the mix and the fun can start! No amount or margin/collateral will be able to cope with the resulting price changes. As I often said in this blog - near instantaneous price moves of 20-25% have to be expected. Remember October 1987! It DID happen, and that was at a time when overall volumes and assets where quite a bit smaller.
Untested Robo-Advisers Are Becoming a Big Market Risk - Bloomberg View

No one voted for Exchange of Tax Information

Quite apart from the fact that there are simpler ways to increase tax revenues the international agreement violates basic rules of a proper democracy. The agreement is negotiated several steps removed from what ordinary citizens care about, or what they want. Anonymous bureaucrats deal over the head of citizens in backroom fashion. A withholding tax would have been simple to introduce and administer and the privacy of savers would have been preserved.
The hypocrisy surrounding this form of legislation is evident when just recently the Italian government announced that the Super rich would be offered tax-haven status in Italy. A billionaire would be able to pay just €100.000 (!!) per year in full settlement of his tax obligations! And an (in)famous Italian, Signore Draghi does his best to confiscate the incomes of hundreds of millions of hard-working and honest citizens in order to bail out his profligate fellow-citizens.