Riffrag Business & Finance Report

JAKARTA – In the middle of the discourse of increased levels of inflation and interest rates are likely to occur in 2010, the property and gold can be a safe investment instruments from the effects of inflation.

This was revealed by the Head of Research and Chief Economist of ING Asia Commercial Banking Condon team teleconference with reporters at the office of ING Securities Indonesia, Stock Exchange Building, Jakarta, Tuesday (26/1/2010).

“Property and gold is considered as two investment instruments that can overcome the effects of inflation among investors in Indonesia,” he explained.

He explained if investors will continue to monitor inflation and domestic interest rates in 2010. The survey states that 50 percent of investors expect inflation will rise in the first quarter-2010.

At the same time, 53 percent of investors believe that interest rates in the country will meingkat the second quarter. Indonesian investors view an outline of this is consistent with the views of investors in other Asian countries (except Japan), where 59 percent of their estimate of inflation increased in the first quarter-2010.

“Investors are expected to carefully consider monetary policy to be tightened in 2010. Although Indonesia recorded lower inflation rates in 2009 due to weakening commodity prices, inflation will again rise in early 2010, and held at 5-7 per cent range during 2010. We expect interest rates will rise in the first half of 2010, “explained Tim.

LONDON – Gold Demand on third quarter fell 34 percent purchasing power triggered by the weakness in key markets Middle East and India. However, the price of gold in the last two weeks continue to soar.

World Gold Council (WGC) reported yesterday, the decline was caused by lack of jewelry shopping at WGC utama.Menurut markets, increased demand from July to September period occurred only in greater China,, China, Hong Kong, and Taiwan, by 10 percent or equivalent to 128 , 6 tons. While the types of diamond jewelry rose seven percent. “Outlook for gold investment with a positive overall level of demand would improve, supported by continued economic growth.

Uncertainty of currency exchange rates and inflation have been encouraging the diversification, “said Aram WGC chief executive in a statement yesterday Shishmanian. According to the investment research manager of WGC Rozanna Wozniak, although the quarterly period decreased demand for gold, speculation on the price of gold in the long term remains high. “For most of last year, the purchase was dependent physical. Now, buyers seem more oriented to the financial markets in which some people less visible in the derivatives market, futures, or transactions over-the-counter (OTC), “said Wozniak.

She added that the strengthening gold price recently because of the good news of central banks and the decline in U.S. dollar exchange rate. “That resulted in the potential of gold demand in the future,” he said. Announcements purchase 200 tons of gold by Central Bank of India is considered as a trigger soaring gold prices since the beginning of November was later lalu.Kondisi considered buying momentum that pushed prices to the highest level prices.

In addition, gold prices also pushed consumer menjauhnya of other metal commodities. Consumers and central banks prefer to buy gold as a diversification of the portfolio. Based on its territory, gold jewelry demand in India in the third-quarter 2009 fell 42 percent to 116.6 tonnes compared to only the previous quarter. However, that number edged up from the lowest level earlier this year. In the retail market, gold sales in India also fell 67 percent to only 26 tons in July-September period.

While in the Middle East, gold buying activity in the same quarter fell 34% to only 69 tons. The increase in demand in China is expected to reach double digits as the impact of their economic improvement in the middle of a crisis. “China market is set for some time, so consumers there is still much to collect the gold,” Wozniak said. Meanwhile, yesterday’s gold price could reach record highs in the level of USD1.150 per ounce.

However, in the afternoon trading back down to the level of USD144, 7 after a stronger U.S. dollar prices, fueled rising U.S. consumer prices and encourage inflation. From the beginning of 2009, the price of gold has increased about 30 percent. “Outlook for the future of gold is still strong. Although still will fluctuate, expected to be transparent USD1.120 per ons.Tidak be nothing to change except for a stronger U.S. economic data, making the U.S. central bank changes interest rates,” said Deputy General Manager of Broker Commodity Okato Shoji Co’s Kename Gokon.

Another analyst, director of ETF Securities New Zealand and Australia, Nigel Phelan, said that the rally in gold prices triggered by the announcement this month the International Monetary Fund (IMF) who sold the gold to the Central Bank of India as much as 200 tons. “A lot of markets participate after seeing the sale of gold to central banks, including China, Russia and lainnya.Mereka central bank gold reserves would increase as a diversification strategy to prevent the U.S. dollar volatility,” said Phelan.

“Gold is viewed as one of the main alternative to currencies other than holding. The price of gold has also been a key barometer of investor confidence in government policy,” he said.

JAKARTA – The price of gold  mall in Jakarta has increased to the highest level. This followed an increase in the price of gold world record new in the history of trade in gold.

A number of traders who had contacted Legal, off the price of gold varies. Like the shop Mas Suki Cikini, Jakarta, for gold calculated 24-carat Rp337.000 approximately Rp340.000 per gram, gold 23 carats approximately Rp300.000 per gram of gold and 22 carat approximately Rp220.000 to Rp250.000 per gram.

“Now the price depending on the model, especially now that prices mas is expensive. But standardnya for mas 75 percent Rp240.000 per gram,” said one merchant, when talking with the Legal, in Jakarta, Wednesday (18/11/2009).

The price of gold had several times experienced pergerakanyang fluctuations, this is already happening for several weeks. According to one shopkeeper Gold in Jakarta who was interviewed by the Legal Monday (16/11/2009) currently Gold white 22 carat are sold at Rp260.000 per gram and yellow gold 22 carat sold for Rp230.000 per gram.

This is not really affect the number of people who want to buy gold, because it is common knowledge that gold is one of the investments of the most promising and sought by the Indonesian people. Until now there is no certainty the price of gold will rise or fall.

As quoted from the New York Mercantile Exchange (NYMEX), Wednesday (18/11/2009), price of gold continued to print a record high, although currently experiencing weakening of the price of USD1.136, 5 per ounce, or down 2.3 percent.

WHO said salary under Rp2 million, can not do business? Capital whatever, you can begin to embank pocket your pocket.

The answer, to start a small business, not only have pegged about funding. Because, God has bestowed every person with talent respectively. This is capital that actually, so use all the talents the best.

So said the financial adviser Aidil Akbar’s Madjid, in a discussion about financial planning, in Jakarta, recently.

As all know, the cost of living in big cities such as Jakarta was quite high. Salary approximately Rp2 million may only be able to survive such as for meals, and transportation daily. If the expenditure was not able to diketatkan because it was a mediocre, then the proper way to handle it is by increasing the amount of income.

Way, can begin by utilizing a hobby. If you had a hobby of photography, may be looking for additional work with a photographer at the studio or weddings. If you love to write, use all talent to write you with a correspondent or writer in various media.

“The key, no pride and do not be afraid to start doing business. Start a business that most small and do not be afraid to keep learning, “she said financial planner who began his career in the United States since the 1994’s.

Akbar was also told, she has some sideline like motorcycles motorcycles and sells soft drinks in some of the canteen. From the sale of soft drinks it, he mentions a turnover of Rp3 million per month.

“Although only sell drinks in five cafeteria I could produce Rp15 million a month,” he says.

If a financial consultant is not ashamed to do business soft drinks and motorcycles, why we should be ashamed?

For more details, akbar reveal some tips on managing finances or regular calls with the term financial check-up, among others:

1. Debt
By reducing consumer debt and the debt of non-productive. As much as possible the debt is only 30 percentage of primary income regularly.

But for the already married? Primary income is not a merger of the income couples. Prioritizing the husband’s income for the main income, because women tend to have conditions that cause had to stop working suddenly, such as pregnancy, delivery, and so on. But if the husband’s income is not enough, can be combined with the income my wife. And if there is remaining funds, excess funds remaining could be used as an investment.

2. Value of Property Clean (Net-Worth)
Net worth must be a positive. How to calculate, namely by reducing the amount of assets and liabilities. Assets are things we buy today if sold next few years is still very valuable, is still above 50 percent of the price of the original.

3. Flow Cash / Chronology of Funds (Cash Flow)
The flow of cash or funds must be positive. Calculated by reducing the income with expenses. If it’s negative, it should know the cause. If expenses are not be limited or stopped again, means that errors in revenue. So, try to find alternative extra income through working side. The key, no odor!

4. Emergency Fund
An emergency fund is a fund allocated individually to meet the needs of most emergency or forced.

It should be noted, an individual or a family is not allowed to invest long term before it has saved at least one to three months of saving an emergency fund.

For those who are still single and has no dependents, should at least have saved as much as three months salary. For those already married or have dependents two people, at least should have a reserve of six months salary. As for who has responsibility for more than two people must have a minimum of 12 months salary.

5. Insurance
Insurance also has major stakes, especially health insurance. If the work does not have insurance, it is recommended to buy insurance from other places. As we all know, health care is expensive. In addition to health insurance, it is also important to insure your assets. As for life insurance is not so necessary. For singles, the excess funds should be invested only. But anyone who has a family, life insurance is needed to support your child’s life and his wife later.

6. Investment
Investment funds advised separated according to the needs. For the short term (over 1 year), can beinvestasi through savings, deposits, and gold. For the medium term (one to five years), the investment could be gold.

While the long-term (less than five years), could be a way to open a business or invest in stocks, sukuk, mutual funds, and so on. Just information, investing in gold or precious metals can be applied to any term, whether short, medium, and long.

Investments in precious metals or gold-certified could be called the investment the most secure and easy. The reason, increase in value of gold could reach 15-20 percent per year, and inflation was quite stable.

For the stock to retire later Akbar explained, better start from the current budget a total income to specify as much as 30 percent to the cost of living, 30 percent to pay the mortgage or debt, and 30 percent for investment.

“The mindset (mind set) we are about money should be changed. Duit was an illusion, he will become evident when we write the numbers on paper, “he said Akbar with ease.

Gold fell in New York market as the U.S. dollar appreciation of the euro eroded the appeal of the precious metal as an alternative investment.

The dollar touched the highest position in the top 10 last week the European currency. Production of industrial sector in the U.S. for November rose more than economists estimated. Thus triggering speculation the Federal Reserve will raise interest rates next year.

Throughout this year, gold rose 27% menyuntuh record at U.S. $ 1227.50 per ounce on December 3 in the middle of the lower interest rates in the U.S. who dragged the U.S. dollar.

Gold futures for February delivery fell U.S. $ 0.80 to U.S. $ 1123 per ounce on the Comex New York Mercantile Exchange.

Chicago Board of Trade indicate the possibility of 38% for the Fed to raise rates at least 25 bps in June, up from 33% probalilitas months ago.

Fed keeps key interest rate at 0.25% since December last year. While interest rates are European Central Bank at 1%.