COST SAVINGS IDEA #7: STOP DOUBLE INSURING EVERYTHING. (YES THERE IS A GOOD CHANCE THAT YOU ARE AND DON’T EVEN KNOW IT)

Originally posted on The Risk Management Guy:

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by Jeff Marshall

While the percentage of Charters who own their own building continues to grow, most lease their space. More to the point, they lease the buildings from the local school district. As the former risk manager of the School District of Philadelphia, I was vested with obtaining insurance for everything the in the district. At the same time, I was the person vested with monitoring the Charters to ensure that, pursuant to the charter agreement, the Charter Schools were maintaining their own property and casualty coverage.

The practical result was that the every building, every desk and every basketball would land up having double coverage. If a fire were to occur, you would not get two new buildings, desks or basketballs to replace the one lost. So why pay for the desk twice?
Regardless of whether you are in a large urban setting such as Philadelphia, New York…

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Exchange Traded Funds: Why You Should Never Buy a Mutual Fund Again

Originally posted on FinanceBlue Blog:


Many investors still don?t know about Exchange Traded Funds (or ETFs) and their advantages over traditional mutual funds. In this article, we?ll examine Exchange Traded Funds, their history, performance and advantages and why you should never buy a mutual fund again.
ETF 101
Exchange…
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Smart Cities — A $1.5 trillion market opportunity

Originally posted on Access HR:

Mahatma Gandhi once said, ?India is to be found not in its few cities, but in its 700,000 villages.? Though that may at one time have been true, it is no longer the case. With about 30 country dwellers moving lock, stock and barrel every minute from Indian villages to become city dwellers, not many villages will be left in India by end of this century.

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GE Capital agrees to largest-ever credit card discrimination settlement

Originally posted on Fortune:

General Electric’s retail credit card unit has reached a $225 million settlement to end a pair of federal probes into allegedly discriminatory lending practices.

GE Capital Retail Bank, now known as Synchrony Bank, settled an investigation by the U.S. Department of Justice by agreeing to pay $169 million in relief to roughly 108,000 Hispanic borrowers who were excluded from two of the company’s credit card debt-repayment programs. (The DOJ said the unit has already paid all but $37 million of that part of the settlement.) GE Capital will also pay $56 million to another 636,000 customers to settle Consumer Financial Protection Bureau allegations that the company deceived those consumers into paying for add-on credit card products they had not intended to purchase.

Together, the agreements add up to make this the largest-ever credit card discrimination settlement, according to the DOJ.

“The blatant discrimination that occurred here is unlawful and will not be…

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Fed Expected to Increase Interest Rate Amidst Economic Growth

mark tuminello economic growthA recent survey of economists has shown that there is a general confidence that the United States economy is on a solid, self-sustaining path. Many expect the Federal Reserve to raise interest rates as early as the third quarter of 2015. This information comes out as growth estimates are not being met and a disappointing first quarter of 2014, yet almost all economists of the 48 surveyed by Reuters thought the recovery to be durable as job growth continues to rise.

Millan Mulraine of TD Securities noted that the ‘successful transition to self-sustaining growth will remove one layer of uncertainty and provide the necessary condition for the Fed to consider raising rates.

Economists predict that the economy will grow over 2% this year, but not as high as 2.5%, a popular early prediction. 2015 could experience growth up to 3%. The lowering of this year’s predictions is a result of the poor performance in this first quarter, which was hampered by a particularly cold winter. We can expect a high rebound rate, but altogether the first half of 2014 will come to growth of just 1%.

The good fortune is modest, to say the least, but faith in recovery is good news nonetheless. Last month job growth finally recouped all the jobs lost during the recession, a major milestone in the recovery. The pace of job recovery is expected to continue by an average of nearly 250k per month. Unemployment, with this kind of growth, may fall below 6% by 2015.

More than the numbers, this survey marks a changing attitude, a perception shift from just a year or two ago. Consumers seem to be more ready to spend, personal donations to charitable organizations are up, and business is adding jobs and preparing for growth. This growth on all fronts really does need to continue in order to maintain economic growth.

A negative coming out of the survey is wage growth, which isn’t expected to improve much in the coming year.

When the Fed raises the benchmark interest rate in late 2015, economists think it will be a raise of half a percent, which would more than double current rates. The Fed has already scaled back the amount of bond purchases. All of this could be sped up or more aggressive depending on how numbers change month to month.

from Mark Tuminello http://ift.tt/1oGpBgo – latest post by Mark Tuminello

Starbucks to Fund College Education for Employees

mark tuminello starbucks collegeStarbucks has been making headlines after their announcement of their bold plan to pay for college education for their employees. The program is a partnership between Starbucks CEO Howard Schultz and the president of the online degree program Arizona State University Michael Crow. Both men came from underprivileged beginnings; Schultz was raised in the Bayview housing project in Brooklyn.

The program was born out of the fact that children raised in situations similar to them are much less likely to complete a four-year degree. The pair said as much during the presentation of the program recently at the New York Times Center.

The fact of the matter is that employees of Starbucks do not have a college education. It is reported that a full 50% of students drop out of college mostly because of the high costs of attending.

Here’s the plan: Starbucks employees who work 20 hours a week will be eligible for the Starbucks College Achievement plan, which offers full tuition for juniors and seniors to complete a bachelor’s degree through Arizona State University. 50% reimbursement is available for freshmen and sophomores.

The hopes for the plan are two-fold. The central mission is to make a dent in the growing situation of class-based education. Low-income students have less than a 10% chance of finishing college. The second mission is to shine a light on the situation, perhaps in the hopes that more programs like this could be initiated at some of the other major employers in the country.

The presentation was given to 170 employees of Starbucks, each picked by their managers as excellent employees who are in need of the program. Secretary of Education Arne Duncan was present to answer questions. He later thanked Schultz for fostering such a positive, employee-focused culture.

A 17-year old employee raised in Bushwick projects by a single mom was particularly moved by the announcement. She told the crowd that she ‘only committed to one man in [her] life, and that’s you.’ Schultz jumped out of his seat to give her a big hug.

Schultz later remarked that he doesn’t believe that the primary role of a for-profit business is to make money. To truly create value for shareholders, a business must create long-term value for people. The full tuition reimbursement joins a similar plan for part-time employees for health insurance, a program started in 1988.

While there are risks in providing these kinds of programs to employees – Schultz admitted he had no idea how many employees would take advantage of the program. Nobody expects this to damage the future of the coffee company.

from Mark Tuminello http://ift.tt/1vS6DDp – newest post from the blog of Mark Tuminello

Speed-Reading Apps Aren’t All They Claim

Mark Tuminello’s latest blog post -

It seems that some people out there are obsessed with reading as much as possible in the shortest amount of time. For people who read regularly, we know that reading is about so much more than the sheer quantity of information taken in. So much is published every day, there is simply no chance of reading even a significant portion of it.

A new slew of apps have been getting a lot of attention – apps that focus on speed-reading. Besides being a foolhardy attempt to take in more information in each reading session than necessary, apps like Fastr or Spritz are simply too good to be true.

These apps rearrange the reading interface, showing one word at a time instead of the entire piece. The creators claim this method eliminates the need for the eyes to move while reading, which can boost reading speeds to 400 – 1000 words per minute. They also claim that when reading like this, comprehension doesn’t suffer.

The journal Psychological Science has thankfully published a study taking this claim to task.

mark tuminello speed reading

Looking at the speedy succession of words above, you’ll probably find that 500 words per minute is do-able. The short sentence given is somewhat easy to follow. But what happens when you’re in the middle of Anna Karenina? Is this speed sustainable with real comprehension? What about appreciation?

In terms of comprehension, what is helpful for readers who truly want to take in information and process it, we need the ability to go back every once in a while and re-look at a word again. The study shows that most readers look back at words about 10% to 15% of the time. This is specifically for comprehension.

For the study, researchers selected 40 students who didn’t know what the test was all about. Their heads were restrained so that eye movement could be tracked, and they were told to read a series of sentences for comprehension. Some of the sentences were repeats, with one version being clearly written, the other being ambiguous. Additionally, some students had words they’d already read covered up by eye-tracking software – this made it impossible to go back and reread words.

Students who were not able to go back to look at words again understood less. This doesn’t directly address the efficacy of speed reading apps, but it does seem to suggest that 500 words per minute with no backtracking would harm comprehension. This is even more true when sentences are ambiguous.

from Mark Tuminello http://ift.tt/1qdySKc