Entrepreneurship is the process of designing, launching and running a new business. It is the capacity and willingness to develop, organise and manage a business venture along with any of its risks in order to make a profit. Due to the high risks involved in launching a start-up, a significant proportion of start-up businesses have to close due to lack of funding, bad business decisions, an economic crisis or lack of market demand. The entrepreneur puts his or her career and financial security on the line and takes numerous risks in the name of an idea, spending time as well as capital on an uncertain venture. Entrepreneurs may not acknowledge that they have taken an enormous amount of risks because they do not perceive the level of uncertainty to be as high as other people do. Frank Knight classified three types of uncertainties, firstly there is risk, which is measurable statistically. Secondly, there is ambiguity, which is hard to measure statistically and the last one is true … [Read more...] about Funding for entrepreneurs with appropriate risk management
Credit risk analysis
Credit, liquidity risk hit local banks—RBM
A stress test by the Reserve Bank of Malawi (RBM) on the country’s nine commercial banks has found that they are vulnerable to credit, liquidity, interest rate and income risks. In its latest Financial Stability Report, the central bank said the pre-shock positions for capital and liquidity, though fairly adequate, poses supervisory concern. The results, which are based on an analysis on the macroeconomic and financial sector developments and risks for the period between January and June 2018, show that in the credit risk scenario, the industry revealed some resilience to minor sectoral shocks, with Tier One capital ratio—the ratio of a bank’s core equity capital to its total risk weighted assets—falling to 11.1 percent, but deteriorating to 9.1 and 6.3 percent after a moderate and major shock, respectively. RBM said this was below the regulatory benchmark and was due to high shocks applied to agriculture, manufacturing and wholesale sectors, which constituted … [Read more...] about Credit, liquidity risk hit local banks—RBM
Hancock Whitney Names Christopher Ziluca as Chief Credit Officer
Veteran executive leader to oversee bank’s credit administration /EIN News/ -- GULFPORT, Miss., Aug. 14, 2018 (GLOBE NEWSWIRE) -- Hancock Whitney (Nasdaq: HWC) has named Christopher S. Ziluca, a seasoned bank executive with 35 years of banking leadership and credit experience, as the company’s new Chief Credit Officer (CCO). Ziluca joins Hancock Whitney from Webster Bank, where he served as that bank’s CCO for the past eight years, leading a 55–member team of credit and risk professionals. He will lead Hancock Whitney’s Credit Administration bank-wide and report to Hancock Whitney President Joe Exnicios. “As the Hancock Whitney organization grows, we continuously look for opportunities to operate more effectively while keeping in mind the need to provide for long-term executive succession in the future,” said Hancock Whitney CEO John Hairston. “His years of experience and success provide us with tremendous confidence in his … [Read more...] about Hancock Whitney Names Christopher Ziluca as Chief Credit Officer
Ai4 Finance: Top Banks, Hedge Funds, Insurance and Credit Card Companies Convene to Discuss Artificial Intelligence
As attendance is by application-only, Ai4 Finance draws an executive crowd from the industry's leading organizations to explore the impact of AI on FSI. In just the past few years, companies both large and small have entered into a mad dash to infuse machine learning strategies into their work.”— Michael Weiss, CEO, Ai4BROOKLYN, NY, UNITED STATES, August 14, 2018 /EINPresswire.com/ -- Some fear that the terminators will enslave humankind, while others excitedly anticipate the coming techno-utopia that AI will usher in. Where ever you sit on the spectrum of AI belief, know that artificial intelligence is being used this very moment to create massive amounts of business value. In just the past few years, companies both large and small have entered into a mad dash to infuse machine learning strategies into their work. The ability of computers to draw insights from vast amounts of data that we humans can then act on is quickly defining the coming era of corporate growth. In … [Read more...] about Ai4 Finance: Top Banks, Hedge Funds, Insurance and Credit Card Companies Convene to Discuss Artificial Intelligence
Credit Suisse Analyst Strikes a Blow for the Sell Side
A hard-hitting research note wipes 10 percent off the market value of a 12 billion-euro ($13.9 billion) IT company, prompting a counterblast from management in the middle of the night. The dispute between Credit Suisse tech analyst Charles Brennan and Atos SE strikes a blow for equity research and raises questions the acquisitive company has yet to answer fully.On Tuesday, Credit Suisse published detailed research suggesting Atos’s revenue recognition policies were aggressive, and questioning whether free cash flow was as strong as stated. That in turn points to a lower valuation using free cash flow yield as the metric – 80 euros a share, compared with a close on Monday of 112 euros. The stock slid to as low as 98.70 euros.IT accounting is often a challenge since payments accrue over long-term contracts. But Credit Suisse's concern is easy to grasp. Atos, based in the suburbs of Paris, has made increasing use of so-called factoring to turn invoices into … [Read more...] about Credit Suisse Analyst Strikes a Blow for the Sell Side