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New Graduates: Their Thoughts, The Expectations On Them And The Long In-between

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 After the completion  of their undergraduate programme, most new graduates heave sighs of relief that their days of ‘stress’ are over; that they are finally free to live and enjoy their time as they please.

Typically, most graduates regard studying as bondage and consider graduation as the beginning of freedom. As a result, the phase of life after the end of projects defense is dedicated to elaborate celebration of various forms and rites that are performed to ‘cleans’ self from what most graduates consider ‘university stress’.

The association of life in college (university)  with stress and the considering of graduation as marking the end of the so called stress, has  dangerous implications for individuals who think along that line. 

What Most Graduates Think

By holding that notion, these individuals make the mistake of entertaining the belief that

  • 1) After graduation, studying becomes a leisure and no more a necessity;
  • 2) Graduation marks the end of need for  intense /pressured preparation
  • 3) Examinations ends after graduation
  • 4) Making plans is an academic exercise
  • 5) Asking hard questions and seeking out helps on ‘how tos’, is a lecture room stuff
  • 6) Planning elaborate vacations and leisure visits are important ventures that can’t be made to wait.
  • 7) Noting important guides or jotting helpful advice down are non classy act that should  be avoided.
  • 8) After vacations and the rest of the leisure, there are available jobs that can be secured and commenced immediately, through the aid of friends, relations etc. Therefore, there’s no need for much self strain in this regard.
  • 9) Outward look, online image count for nothing (or does not matter). As long as one knows what one wants, everything will fall into shape.
  • 10) Professional success will suddenly be achieved.

Why the list goes on and can’t all be summarized here, they exactly are thinking patterns  that are least tolerated by the world’s increasing competitive professional arena, (especially for the majority of persons of which the circumstances of their  individual cases may not help to mitigate the ugly effects that may be occasioned by reckless professional unpreparedness). 

The Expectations

The reason for this is not far fetched. Competition has a way of bringing up many criteria and using same to influence who gets what. As such, the professional world is more favourable to:

  • 1) Individuals who, through their good records and actions, show that they have been prepared and are ready to create value or make valuable contributions or deliver value;
  • 2) Persons who, at the beginning of their career, can afford to commit more to learning and self improvement; working longer hours to grow capabilities and gain professional momentum;
  • 3) Individuals that deliberately commit to career planning and to seeking out advice from experienced professionals in their field of interest, etc, on relevant ‘how tos’ for career beginners;
  • 4) Persons whose physical and online image does not compromise their professional interest. But whose daily enthusiasm and actions/ deeds promote their career;
  • 5) Graduates who deliberately take up tasks that convey to professional observers that they ( the graduates)  are useful or have something important to offer. 

The Long In-between

In essence,  a new graduate may not border to learn  how to draft a professionally sound resume and the rest that go with it. But if a shabby CV and cover letter is submitted to an employer, it is highly likely that the job seeker will be regretted and screened out without further assessment. So, why some new grads may think examinations end with graduation, the reality in the professional arena is that assessments are routines.  In this case, individuals may not be given areas of concentration or time table to guide them in their preparation.

In another light, why it’s true that from time immemorial, people have always seek public attention as part of a plan to achieve useful career target. There seems to be a rising trend among young persons to be increasingly busy in seeking popularity for no other reason than the painful sake of just being known. That’s all.

This is totally unnecessary. No one should be proud that he or she is known but that popularity does not in any way put a dime in his or her account.

Hiring managers may be busy enough that they are not able  to tell new grads personally, to pay more attention to using their public presence (physical and online)  to showcase those talents/ skills that they posses that can lead to their being hired and paid. But the story of the proposed redesign of the logo of Innoson Motors Manufacturing (IVM) and many more others should be strong evidence that the job world clearly upholds  the practice of ‘by their fruits, we shall know’ those that are worth working with. Failing to promote professional well-being through public presence then, is a painful self disservice.

A graduate who has had difficulty getting a job and who claims to have been disappointed by friends and relatives in getting him or her a job needs to really review his or her general job hunt method. At a time in my professional journey, I realised that while it hurts to feel trusted allies are just unable to lend needed career assistance. In some cases, they are not to blame. They are overwhelmed by the nature of the demands placed on them. Think about it. What do you expect when you tell someone to get you a job, given that there are no immediate openings known to the person. As a result, there will be need for wide hunt for available openings. But the person is busy with his or her own job, other career demands and maybe family.  But you in contrast have a less busy engagements and would have more efficiently undertaking those rigorous task of getting job if properly guided. Should not the fair approach in this case be to seek out for advice and strategies to fast track getting the job. And let any hunting of job for you on their part be an additional help? In other words, how about making up a plan yourself and then consulting appropriate individuals to assist you with ideas and recommendations for executing the various aspects of your plan instead of wholly burdening a sufficiently busy person(s) with the onerous task of working out a solution to your needs from scratch to finish?

In short, nobody may tell college students or new grads they need to learn how to job hunt.  Certainly, some grads may not know how to unlock all their nature imbued channels, through which the world of career will see their value and seek their services.However, not learning how to and taking the initiative to apply steps that will bring opportunities, is a sad undoing for a  student or graduate.

This Week in Nigeria Capital Market (Dec. 9-13): Yields, Rates and Stock Picks

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Government, Banks, SMEs and/or Consumers… who is benefiting from the crashing rates?

As the CBN continues to tighten the lid on any incentive to invest in Nigerian Treasury Bills (NTB), banks are compelled to continue to open their taps for lending to consumers and SMEs. At the close T-Bills Primary Market Auction (PMA) on 11th December 2019, T-bills stop rates hit another new-year low. In fact, T-Bill rates have now declined by over 30% across all tenors in the last one month. At the current inflation rate of 11.61%, the real return on T-Bills is now zero.

A lower yield environment is positive for the government’s swelling debt service costs and presents a good opportunity for SMEs, Corporates to raise debt at much cheaper rates. At the other end, it creates a conundrum for Pension Fund Administrators (PFAs), fund managers, who are now stuck with negative real returns on new investment in T-Bills.

As if the low yields on T-Bills aren’t enough, CBN Director, Banking Supervision Department, Mr. Hassan Bello mentioned that The Central Bank of Nigeria will increase banks’ Loan to Deposit Ratio to 70% by 2020, he gave this hint during the week while speaking at the 2019 workshop for Finance Correspondents and Business Editors.

The Monetary Policy Committee (MPC) had noted in November an increase of N1.17 trillion in absolute gross credit between May and October, this was attributed to the adjusted LDR for deposit money banks. Manufacturing was the largest beneficiary, accounting for N460 billion of the increase. Consumer loans shared N360 billion from the total.

Despite these positive moves by the CBN, sadly, there is very little impact this can have in the long-run without commensurate fiscal efforts.In an economy stuck in a low growth cycle and susceptible to erratic and inconsistent government policies, we can only hope that the Government will handle its fiscal responsibilities with more urgency to reap the full rewards of a low-interest environment.

In plain language, imagine getting a loan from the Bank at 12%, then you spend 4 hours out of 10 productive hours in traffic daily, you can only power your factory 11 hours out of a possible 18 for fear of diesel cost, your raw materials spend 34 days at the port instead of 2 days, etc.

Beautiful monetary policies and lower interest rates without commensurate fiscal policies to fix infrastructures will always make a 12% interest rate feel like 27%. It’s the responsibility of fiscal policies to fix roads, power and ports.

Updates from the Stock Market: Greetings from Santa

December! Always a month to remember, the green trees laced with red and lightings, the merry mood and the memorable feelings that come with it…

Look closely at the images below, particularly the month of December, the red spots are supposed to give one a feeling of merry, except that in this case, it’s the gauge for daily performance of stocks in the equities market. Unlike the Santa feeling that comes with December, red in the equities market means the market is bleeding, losing money.

In fact, the first few days of this December are the worst of all the years under review (2012-2019). The gains (green) recorded so far were as a result of the fall in treasury bill yields after the 11th of December Auction. Typically, bearish treasury yields create bullish opportunities for the equities market, exactly what played out on 11th and 12th as seen below, sadly, headwinds in the economy wouldn’t let the equities market enjoy the excess funds flowing from the money market.

Falling ASI or stock prices cause panic in some investors, but fluctuations in the stock market represent business as usual for others. Investors who are comfortable with this reality know how to respond to falling prices and how to pick companies that are good buys when stock prices are on the downward trend.

What should you do when the stock market is in red?

Find a good company that is underpriced, buy and be patient. Most importantly, you must know your investment objective, risk appetite and investment horizon.

Here is a list of some underpriced stocks with potential for high dividend yields and capital gain. (Please note that the stock picks and the potentials presented are not guarantees, they are only recommendations. The equities market comes with its own risk, consider your risk appetite before investing)

Smile! There are still enough trading days left to make this December one to remember.

FOLLOW Me on LinkedIn

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It was very emotional: “Sir, you have refused my connection request on LinkedIn. Was it because I had only OND and did not attend a university?”. That was an email from a LinkedIn user this morning. It touched me since I have no answer to the problem: I have max’d my allowed direct connections on LinkedIn. In other words, I cannot accept any new connections even though you can send me requests! I have thousands of requests PENDING which would fade. 

Accepting anyone in my network does not cause me anything and I do not check profile or status before I accept. To move forward, the only option available is to FOLLOW me. If you click FOLLOW, if we are not connected already, you will read my feeds. Do it now as I want you to be reading me! (lol).

Of course, I have my email there if you have something you want to pass across since FOLLOW does not allow that.

But know one thing: your education or status has no relationship on this. I am a village boy; I grew up knowing that many can rise.  OND is a huge accomplishment and you are already rising.

FOLLOW Here

Simply, The Best Companies in Nigeria Have Not Been Founded!

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Simply, the best companies in Nigeria have not been established. If anyone tells you that all the opportunities are gone, respectfully ignore him or her. If Nigeria is operating at its optimal productivity level, its GDP should be $3 trillion (well above the current  $500 billion). If you do the math, it means Nigeria needs 6X multiples to attain equilibrium. About 90% of the companies in Nigeria today are not wired for that type of leverageable growth. Yes, even if they try, the anchored elements upon which they are built cannot enable them to experience  that redesign.

Only new species will provide that growth under new tenets, driven by new business models, energized on new policies. Hope you get the point why our insurance sector has less than 2% penetration, electricity companies deliver darkness to more customers than light, potable clean water nonexistent, using 65% of workers to produce hunger when others use 5% to produce excess food, [add your list], and banks serving less than 35 million unique customers in a nation of about 200 million citizens.

People, the best companies for Nigeria have not been founded. Yes, they have not. It is safe to blame customers. But I take you back to the 1990s when new generation banks came, and brought many citizens to believe in banking services. We need that type of redesign in insurance, water services, electricity, education, healthcare, and more. The companies that would make such happen are scarce today!

The biggest opportunity in the next ten years in Nigeria would be expanding sizes of industrial sectors, not just winning market share. By that I mean expanding the sizes of sectors like insurance, agriculture, etc, through leverageable elements, not just winning market share out of yoyo players in an industry. 

Are you better commanding 10% market share in a $100 billion sector than 20% in a $10 billion one? I will vote for the first option: only new thinking will make such redesigns happen. I explain in this video.

A Cryptocurrency to Invest in in 2020

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Bitcoin pops into mind when you think of a stable cryptocurrency to invest in in 2020. Bitcoin has proven to be a decentralized electronic currency with stability in both the short and long-term. You can buy items in local shops, get paid in bitcoins and use it to shop online. Expatriates in foreign countries can send bitcoins home to help their families; regardless of where they work around the world. There has been no single, corporation, government or nation that has been able to control Bitcoin since its inception. This applies to other cryptocurrencies as well. However, Bitcoin is unique and it is the currency to invest in in 2020 due to the following reasons

Bitcoin Properties

Bitcoin being the first successful digital currency has core properties including being immutable, decentralized, censorship-resistant, scarce and open-source. These properties have made it stand out from the others as ideal money for people all over the world for a long time. Besides, Bitcoin is more than a system to store and transfer value from one person to another. Although, you can buy some items which have Bitcoin addresses stored on them, the durability of the currency makes it worth being used over the worldwide web as money now and in the future.

Bitcoin Network

Any currency can maintain its value by the virtue that it is in limited supply. The Bitcoin network has a rule that binds the network users as a whole (NakitCoins experts) with a high degree of security. The rule determines the quantity of bitcoin produced and allowed in circulation at any one time. Almost all of the users on the network would have to agree to change the rule. This is almost impossible, given they would have to agree to change the network policy and standards. This makes Bitcoin scarce and therefore of the highest value. This currency is also divisible up to decimal places. Therefore, used on a worldwide scale you can transact in fractions of bitcoin. If the value increases at any given time, it will mean casual daily spending would be in bits and milli bits which are the decimals. You can do your daily groceries with as little as 50 milli bits. This makes Bitcoin the right cryptocurrency for the 2020 and the future due to its viability.

Bitcoin Versatility

The ability for this currency to be stored on your computer, electronic gadget or bitcoin specific hardware wallet is also a plus to the currency. As compared to carrying a wallet full of cash or even gold, it’s much lighter and thus frictionless and weightless. This means you can easily move around with it. This has made it possible to move huge amounts of value across the world almost at no cost. This has made bitcoin quite efficient and promising for future investments and transactions.

Conclusion

Bitcoin provides an avenue for business people or any other person to carry out business transactions or run their daily affairs in a relaxed and flexible environment. For the future, Bitcoin has alleviated the risks associated with many currencies due to its stability, and statistical data that has shown a promising future. Bitcoin remains the cryptocurrency to invest in in 2020 going forward.