DUE DILIGENCE ON TROUBLED COMPANIES - A SIMPLE GUIDE BY NIK ZAFRI

 BASIC PRINCIPLES OF DUE DILIGENCE (ON TROUBLED COMPANIES)

Due diligence on a troubled company requires a particularly rigorous and comprehensive approach. It involves delving deeper into potential risks and liabilities than a typical due diligence process.  See the table below - please expand further. (Remember : It's not as easy as it looks)

hashtag#DueDiligence hashtag#Audit hashtag#RiskAssessment hashtag#RiskManagement 

MAKE SOME INCOME (By Nik Zafri)

The strategies employed to invest and increase income are often complex and multifaceted when it comes to "practical".

However, I found some common themes emerge all the time which I sum up as the core investment strategies.

1) Diversification

Spreading investments across various asset classes (stocks, bonds, real estate, commodities) to reduce risk is one good move.

2) Long Term Perspective

Always focus on building income over time rather than quick gains. In short, greed will make you lose, so be patient.

3) Leverage

When you borrow, increase them on potential returns - it's risky but once you strike, it's worth. You can also get ASB loan and let them invest or reinvest for you. In the long run, you might get handsome returns

4) Get a good advice

Although Warren Buffet might not agree with me, but if you can afford it especially when you have no experience, it's logical to employ financial advisors or wealth managers to handle investments.

5) Always pay tax but optimize them

Draw up a good strategies to minimize tax liabilities but never avoid from paying tax

There are quite a number of investment vehicles.

1) Stocks and Bonds

Investing in publicly traded companies and if you have heard of government debt, go for them.

2) Real Estate

Own properties for rental income or appreciation.(REIT)

3) Private Equity and Venture Capital

Investing in startups and private companies.

4) Hedge Funds

Pooled investment funds that use various strategies to generate returns.

Alternative Investments can be purchase of assets like art, collectibles, and commodities.

Additional Soft Income-Building Sources

1) Business Ownership - Creating and growing businesses.

2) Intellectual Property - Developing and protecting patents, copyrights, and trademarks.

3) Inheritance - if you come from a rich family.

4) Risk-Taking - Pursuing high-reward, high-risk ventures.

5) Networking - Building relationships with influential people.

Also, think the way successful people think.

You must have access to information for e.g. exclusive investment opportunities and market insights

You must adopt a risk tolerance attitude - allowing yourself to pursue higher-return investments.

Have a long term perspective (Time Horizon) - enabling yourself to weather market fluctuations.

Good luck, just sharing my perspective from my so-called research. No guarantee of success unless you really work hard and do not let failure stop you. Remember, investing involves risk, and past performance is not indicative of future results. Just conduct thorough research or consult experts before making investment decisions.

REFRESHER – BRANDING – WHAT IS IT REALLY – Overview by Nik Zafri

A look back into the branding trend.

Branding is the process of creating a unique identity and image for a :

a) product,

b) service,

c) company, or organization in the consumer's mind.

It involves the use of names, logos, slogans, designs, and other elements to distinguish a brand from its competitors and to establish a presence in the market. The goal of branding is to build recognition, trust, and loyalty among customers.

There are several types of branding, each serving a different purpose:

Industries that Use Branding

Branding is essential across various industries, including but not limited to:

Retail, Consumer Goods, Food and Beverage, Technology, Healthcare, Entertainment, Fashion, Automotive, Finance, Travel and Hospitality, Real Estate

Suppliers and Consultants for Branding

Branding suppliers and consultants are typically specialized agencies or individual experts who provide services to help companies develop and manage their brands.

These services might include:

• Brand Strategy Development
• Market Research 
• Logo and Identity Design
• Brand Messaging and Positioning
• Digital Marketing and Online Branding
• Packaging Design
• Public Relations
• Advertising Campaigns
• Social Media Management
• Content Creation

These agencies often have a global presence and work with large corporations, but there are also many boutique agencies and freelance consultants who specialize in branding for smaller businesses and specific niches.

SOPHISTICATED DATA PISHING AND HOW TO STOP IT - Nik Zafri

Excerpt from News :

A hacker was caught using mobile phones, GSM blaster, antenna transceiver and a laptop connected to the vehicle, which are believed to have been used by the suspect to send SMS messages to deceive phone users.

He was detained in a joint operation by the Malaysian Communications and Multimedia Commission and the police in Cheras, Kuala Lumpur, Bernama reported.

Well done Malaysian Communications and Multimedia Commission

There are more that all interested parties can do and not relying solely on authorities. Here is a summary - something I have been researching for quite some time. Hope it helps.

By combining these strategies, it is possible to significantly reduce the prevalence and impact of phishing SMS attacks. Coordination between technical, legal, and educational efforts is key to creating a comprehensive defense against these threats.

DUAL 5G NETWORK FOR DUMMIES

Excerpt :

The shift to a dual-network 5G model has begun after telco providers completed their stake purchase in Digital Nasional Berhad (DNB), communications minister Fahmi Fadzil said today.

This comes after DNB fulfilled the conditions precedent for the share subscription agreement entered into with major mobile network operators CelcomDigi, Maxis, U Mobile, and YTL Communications.

Source : MSN News

hashtag#Dual5GNetwork

GLOBAL FORUM ON ISLAMIC ECONOMICS AND FINANCE

Officiated by YAB Dato’ Seri Anwar bin Ibrahim, The Prime Minister of Malaysia - who also deliver a speech on Global Islamic Economy: A Reform Agenda for Shared Prosperity

Would like to thank the organizer Bank Negara Malaysia in collaboration with the Securities Commission Malaysia, Labuan Financial Services Authority, the IILM - International Islamic Liquidity Management Corporation, the Islamic Development Bank (IsDB), the Islamic Financial Services Board (IFSB) and the The World Bank Group - for having us who are representing the grassroots, community and small people hoping to get some briefing from us after the event.

(Personal Note : also would like to thank many colleagues who have been great supporters to me as well)

Themed ‘Shaping a Resilient Global Islamic Economy Through Values-based Reforms’, #GFIEF gathers policymakers, business leaders, and financial service providers from all around the world to engage in discussion and collaborate to build a future where Islamic economics and finance can play a pivotal role in fostering shared prosperity and equity.

Encountered distinguished figures such as Datuk Abdul Rasheed Ghaffour, the Governor of Bank Negara Malaysia, who delivered the keynote remark, alongside esteemed individuals like Tan Sri Nor Mohamed bin Yakcop, Tan Sri DS Wahid Omar, and senior corporate leader Tan Sri Dato' Azman Mokhtar and many others. Also in attendance were Yang Mulia Ungku Tan Sri Dr. Zeti Akhtar binti Ungku Abdul Aziz (Dinner), YBM Senator DS Utama Tengku Zafrul Aziz, Dato' Seri Dr. Awang Adek Hussin, and numerous others. Among the honored guests was Her Excellency Sri Mulyani Indrawati, the Minister of Finance from #Indonesia.

It was a remarkable opportunity to engage with eminent Islamic scholars and guest speakers, delving into comprehensive discussions and analyses of various aspects of Islamic Economics and Finance. Among others are Dame Susan Rice and Dr. Giath Sabsigh. Also met Tan Sri Andrew Sheng and many others.

Attending the exhibition was always a highlight for us, offering valuable connections with diverse banking and financial institutions.

(Interestingly, I met the son of my esteemed cousin, who is employed in the field - well it runs in the family - can't mention names due to privacy)

Malaysia can now proudly proclaim as the leader in Islamic Economy and Finance, (apart from Halal products/Islamic Banking) Most important to us is the emphasis placed by everyone on addressing the crucial issue of bridging the gap between the affluent and the underprivileged.

Key themes that resonated with me included Maqasid Shariah, Sukuk, Equity, Inclusivity, Advancements in Islamic versus Conventional Economics and Finance, Bursa Malaysia and emerging Shariah-compliant exchanges, Zakat and Waqf, Islamic Financial Standards, Guidelines, Policies, White Papers, Utilization of AI, and Islamic Payment Gateways, among others.

PREDICTING THE STOCK MARKET? HERE'S SOME TIPS (NIK ZAFRI)

Predicting the stock market with absolute certainty is an elusive goal because it's influenced by numerous unpredictable factors such as economic indicators, geopolitical events, investor sentiment, and even natural disasters. However, many analysts and researchers attempt to forecast stock market movements using various methods and tools.

I believe statistical models such as linear regression, ARIMA, GARCH are some of the most popular ones in analyzing historical price data and identify patterns or trends. There are few other typical analyses such as

(a) quantitative (maths (Black-Scholes) + statistics = pricing or Var for loses),

(b) fundamentals (company's financial health, quality, trends, and macroeconomic = intrinsic value and predict future stock prices),

(c) technical - past market data, primarily price and volume = identify patterns and trends = predict future price movements. Tools : moving averages, chart patterns, and technical indicators such as RSI and MACD and,

(d) sentiment - alternative news from social media, news, anything of public sentiment to gauge investor mood and predict market movements. NLP should be useful to extract insights from textual data.

And now here comes Artificial Intelligence (my gen used to call it machine learning - we don't have sophisticated tools like AI then) - the principles are much the same except the approach is far more advanced. Algorithms such as neural network, SVM, random forests (data mining) and make predictions. AI can handle non-linear relationships and capture complex patterns better than traditional statistical methods (although I may disagree with that :-) )

KNOWLEDGE MANAGEMENT HAS REACHED A NEW HEIGHTS - NIK ZAFRI

The evolution of Knowledge Management requires adapting knowledge to fit the present landscape. Big data and data mining might soon yield to the capabilities of Artificial Intelligence, Quantum Computers, and even blockchain. However, it's crucial not to undermine the core principles of KM; otherwise, we risk losing our sense of direction.

THOUGHT FOR THE DAY - INTELLIGENCE CAN SOMETIMES BE AN ANNOYANCE

Popularity alone doesn't guarantee respect; it must be earned. It's not always about skill or intelligence but about one's character. I know several renowned individuals who aren't actively seeking fame but are consistently praised for their admirable qualities.

Conversely, many bright minds face rejection, likely due to tendencies toward arrogance. The key lies in balancing intelligence with humility—a blend that embodies true wisdom.