The crypto crash was a shock and many lost huge amounts of money. But as shocking as it was, the one thing we can all do is learn from it. I am a firm believer that education is key to success and if we use this crash to make better-informed decisions next time we invest, we can look to be smarter next time around. 

I have always said that cryptos are going nowhere and even as I write this, BlackRock, the world's largest asset manager, with US$10 trillion in assets under management, has partnered with the world's biggest Crypto exchange, Coinbase. This news shows how the markets are beginning to recover and there are big things ahead.  

So, here’s what we can learn from the crash and the strategies we can implement for future investments. 

How the future of crypto and blockchain might pan out

There will come a period of sudden growth and revitalisation in the markets, and it is worth anticipating incentives such as ‘Bitcoin Halving’ may come into play. Bitcoin halving is the process of imposing synthetic price inflation in the cryptocurrency's network and cutting in half the rate at which new bitcoins are released into circulation. This makes the supply lower therefore the price to purchase is higher. 

There are many advantages of cryptocurrencies. For instance, Solana in comparison to Ethereum is faster and easier to utilise but as its bandwidth is overloaded with the number of transactions per second so it can be slower. In addition, investors and traders are taking their crypto investments off the market to the ‘wallets’ which are essential to buy, trade and sell cryptocurrencies. Each trader and investor’s wallet has its own number, code and password to validate and protect the transaction but taking crypto investments off the market can give a warped view of the overall volatility. 

Which crypto exchanges are experiencing catastrophe and why this may have been written in the stars?

Some crypto exchanges such as kucoin and Huobi have financial problems therefore it is safer to transfer the shares to the bigger, more credible crypto exchanges such as Kraken and Coinbase. This is really just common sense and I always advise any new traders to stick to the top ten coins as a starting point as they are more stable and less prone to fluctuations. 

What you should do if Bitcoin drops to $10k and why

This is not the end of the financial crisis since markets will constantly fluctuate. The dips are expected, and more are expected in the future. An investor can take advantage of this situation by selling the shares short-term. If bitcoin drops to 10K, I suggest that investors should cautiously monitor the market and buy (accumulate) more shares taking into account that there will be periods of growth in the future. 

Why being liquid is so vital to your success as a trader/investor

The liquidity allows investors to use the market opportunities, for instance buying or selling the ‘one-off items that are not expected to recur, and which therefore do not constitute part of a trend.  In the same regard, the crypto market being liquid enables investors to react quickly to the dips and peaks in the market. 

As I said before, this is not the end of crypto, it is only the beginning and I still believe there is a lot of money to be made for savvy investors. When the markets are low, huge opportunities appear to make good profits; buy low, sell high, that’s our motto. 

About the author: Renowned stock market and wealth educator, investor, and entrepreneur Marcus de Maria is the Founder and Chairman of Investment Mastery, one of the world’s leading investment and trading education companies. 

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When you are running a business, you will be doing many different things at once which can make you feel a bit distracted and draw your attention away from important things. For instance, you might start to put things off and before you know it, you have a lot to catch up on.

It can be especially easy to neglect your finances, and this can lead to further issues. To help you with this, we have put together some tips on how you can get on top of your finances.

Set Some Time Aside to Go Over Your Finances

One of the easiest ways that you can keep on top of your finances is by making sure that you set aside some time out of your day to go over them. It is important that you make the time to go over your business finances because this way you will know what payments need to be made and when. When you know what you need to pay, you will be able to look at your budget and make sure you have the funds to keep stable.

Stick to Payment Deadlines

The next way that you can get on top of your finances is by making sure that you stick to payment deadlines that need to be met. It is important that you do this in your business because if you miss dates you will have to pay more back in a lump sum, and be affected by even larger interest rates. If you can’t stick to payments when they are due, it can cause a lot of other problems as it can get in the way of business agreements and can lead to problematic debt.

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Consider an Investor

If you just can’t get in enough money to keep your finances stable, you still have other options to try. One of the other options that you can consider is getting in touch with an investor. Not only can an investor give you the funds that you need, but they can also give you advice and point you in the right direction when it comes to your business.

There are many different investors that you can consider getting in touch with such as Tej Kohli, Jeff Pulver or even your bank. Make sure you have a look so you can find the best option for your business.

Make Sure You Keep This Article in Mind

There are many different ways for you to keep up with your finances and in this article, we discussed some of the different options that you can consider. As long as you are able to stay on top of your finances, you should be able to get your business operating at its full potential.

In an interview with CNBC's Becky Quick, Berkshire Hathaway's Chairman and CEO Warren Buffett says he would like to still be invested in Kraft Heinz five to ten years from now, though he thinks that 3G Captial misjudged how competition would evolve in the sector.

Although most are actively participating in the industry, others may not be mindful that they are directly involved. Below, Finance Monthly gets the lowdown on crypto investment from Adrian Thompson, Global VP of Marketing at Sapphire Technology.

More people are starting to understand the benefits cryptocurrency has with its ability to reduce the risk of fraud and offering scalability. Fraud is one of the main concerns when it comes to the financial space and because digital currencies are transferred through blockchain all transactions are recorded and therefore secure. Another advantage of cryptocurrency is that it is safer when transferring internationally. Carrying cash, credit or debit cards can be risky and with the use of cryptocurrencies, exchange and transaction fees can be reduced. This being said, these benefits may not be known by some people and in extreme cases, some are not even aware that they are directly involved in the crypto sector.

Being associated with the cryptocurrency industry doesn’t necessarily mean that you have to purchase cryptocurrencies, it could be that someone works on a mining farm or manufactures mining rigs. There are said to be 114 countries around the world that have mining farms, mostly located in cold countries, with China being the leader in mining. They are positioned in remote surroundings due to the high volume of electricity being generated and the heat they emit. These mining farms are directly linked with the cryptocurrency industry, working to solve problems and accepting transactions. They are thought to be the most secure and stable methods of operating blockchain. The mining farms provide hundreds of jobs and is a profession that requires a certain amount of expertise to ensure that the computers are running smoothly and prevent any hacking. Many employees are required to work long hours, night shifts and usually live on site. Whilst these employees might not be actively exchanging cryptocurrency, they are a significant part of the ecosystem that keeps the industry moving forward.

Manufacturing mining rigs is another way people are involved in the cryptocurrency industry. These manufacturers may not be following the market on a daily basis but are usually aware of what is required to mine coins and are experts when it comes to creating the rig in order to mine.

In the past, home computers were adequate to mine cryptocurrency. However, today specialised hardware is required and that is where these mining rigs come into play.

Built for both personal and commercial mining, these rigs are made up of graphics cards, a power supply, a processor, cabling, memory and a cooling fan. There is a fierce competition in the mining sector and producing the best is always a top priority. Additionally, the emergence of stronger and more powerful machines are ever evolving, meaning staying ahead of the competition is a must.

In addition to individuals unknowingly contributing to the growth of the sector, numerous different industries are associated with cryptocurrencies in some way or another and assisting with the development of the space. . For example, cryptocurrencies are founded on the basis of transforming the financial space and therefore it’s not surprising that this is the sector it is most established. Those that work within traditional finance are most likely aware of the trends in the crypto space leading to financial and banking services adopting cryptocurrencies and incorporating them within the sector.

The market for cryptocurrencies has increasingly grown in recent years and has created a financial evolution. These digital currencies are able to help erase unnecessarily high-interest rates and can cut out the middleman associated with traditional currencies, helping to save money.

Another sector that can benefit from cryptocurrencies and becoming increasingly involved in the space is real estate which holds similar benefits there are within the financial space, in terms of reducing costs. In real estate, bookkeeping costs can be kept to a minimum with cryptocurrencies and sellers are able to transfer large purchases easily and efficiently.

What was once a buzzword for crypto enthusiasts has now become a mainstream entity. Despite critics weighing in on the viability of cryptocurrency, it is without question one of the fastest-moving industries with developments and discoveries made on an almost daily basis. With cryptocurrency continuing to establish itself within various sectors, we will undoubtedly find more and more people who will become indirectly involved in this transformative and exciting industry.

What are the benefits of having a third-party portfolio manager to manage one’s accounts?

Ron Medley: Whether using a third party or an in-house portfolio manager, a key benefit is having a relationship with the portfolio manager in order to have a communication channel that can provide feedback beyond just the price and the news headlines of the day. The ability to get a view into the investment decision-making process can help provide the necessary feedback to inoculate you from the emotion that only looking at price and headlines can generate. Once you have that feedback, you can achieve certainty of process and peace of mind, given the variety of possible outcomes from the market. As an example of our practice, we use volatility as a factor for investment selection. Our research has shown that the risk/reward of owning lower volatility portfolios has generated a couple percent more return for about the same risk as the market over the last couple decades. We construct portfolios that are dynamic in their ability to adapt when unexpected things happen in the market and we can also build custom variations of this approach, which are unique to each client. Generally, once clients learn about how we implement the investment process and experience owning a portfolio constructed and managed this way, emotional energy can be channeled toward much more productive areas.

Our research has shown that the risk/reward of owning lower volatility portfolios has generated a couple percent more return for about the same risk as the market over the last couple decades.

What mechanisms do you use when identifying risks and opportunities for MSAM’s clients?

Ron Medley: What’s most important here is the ‘What, Why and How’ for the client: What are your beliefs and your mission? ; Why are we doing this? ; How do we tap into the positive emotion that is driving you and help you step toward making your vision reality? We listen first. And then we work to understand how we can help provide clarity to help turn those emotions, concerns and goals into positive actions.

What sets your firm apart from other asset management companies?

Chris Pelley: There are almost one million investment advisers around the world. We all look about the same and most people aren’t entirely sure what we’re talking about or how to differentiate us. But we all have three deliverables as follows:

• Comprehensive financial planning – We pull together strategies and views tying life goals and expectations. We are also aligned with both tax and legal advice.
• Portfolio design – Working to develop custom asset allocation profile and investing the portfolio accordingly.
• Education – We encourage our clients to ‘invest their time before they invest their money’.

At MSAM, we add a special fourth dimension that is often the primary focus on enhancing our client relationships. We are very mindful about making useful ‘connections’ that can help our friends’ companies, careers, children and charities. We believe that the way people invest their time is even more important than the way they invest their money. We open doors that enhance the quality of their lives. They reciprocate for us too.

What are some of the challenges that investment advisers in the US have been facing over the past year in relation to changes in what customers expect in terms of products and services?

Ron Medley: We have an overabundance of investment products - there are as many funds as there are stocks they invest in, and this is not only because of the proliferation of funds and ETFs. There are also less companies going public. Although the value of the market as a whole has grown, the US market had almost twice as many public companies 20 years ago. More and more, it seems investment capital is chasing companies long before they are accessible in the public markets. Historically, over the last century, small companies offered a 3%+ return premium over large companies. But with less small companies being public, we have to find more ways to access quality small companies. Alternatives, as an asset class, have attracted a lot of investable assets and are projected to become 15% of the investable universe by 2025, a recent PwC study has shown. We’ve invested a lot of energy in developing ways to allocate to alternative asset classes, such as private equity for example, in order to continue to broaden our access to the investable universe for clients.

Alternatives, as an asset class, have attracted a lot of investable assets and are projected to become 15% of the investable universe by 2025,

What strategies do you implement to ensure that your clients’ goals and objectives are achieved?

Ron Medley: We’ve got a full toolbox to work with, but it’s all about the journey, not the destination. We follow a structured process that has certainty in its steps, use a variety of solutions, enabling and advocating client significance in purpose and making useful connections, and we work to focus client conversations in areas that will help them have the greatest impact. Through a culture of continual discovery, we make adjustments as necessary, given whatever changes life or markets bring.

Additionally, investing is not just about risk/return – it’s also about innovation, impact and purpose. When we have built a trusted relationship with a client, worked together to position a portfolio overall to take care of a client’s financial planning needs and move conversations toward fulfilling the client’s greatest purpose, I know we are on the right track. We are happy to play whatever small part we can in helping our clients change the world for the better, one trusted relationship at a time. And it all begins with a conversation.

What two or three things would you look for in an adviser if you were seeking one?

Ron Medley: Trust and a willingness to invest in the relationship to create it. I’d also want to know that they weren’t going to waste my time with a bunch of product features and benefits without a depth of expertise in the approach and the process. I’d also like to be in the hands of professionals who experience both the up and down sides of the market, and who prepare themselves for the uncertainties, instead of just reacting to whatever crosses their path.

Finally, I’d like to know that we could learn from one another and make each other better. We’re only as good as the quality of the team we surround ourselves with.

Ron Medley has a passion for building custom investment portfolios - he works with advisers and clients to build, manage, protect and transfer wealth. As the President of Moloney Securities Asset Management (MSAM), Ron leads a team of over 50 independent advisers who provide wealth management services to clients primarily in the US, with some international exposure. Ron joined the Moloney Securities family of companies in 1999, after working for a mutual fund company and an insurance company in the 1990s

MSAM is a registered investment adviser, affiliated with Moloney Securities Company, Inc., a broker/dealer. Headquartered in St. Louis, MO, MSAM has a correspondent relationship with the Royal Bank of Canada (RBC) and has advisers across the US operating as MSAM or affiliated entities.

Chris Pelley, Managing Director of the Pelley Group, has been in the financial services industry for over 30 years and has a passion for helping investors make better decisions. He’s spent over 11 years working abroad for world-class financial institutions including Shearson Lehman Hutton where he specialised in retirement planning for corporate executives in NYC. In 1994, Chris founded Capital Investment Management Company (CIMCO), with the goal of offering clients independent investment advice. In 2014, he joined RBC Wealth Management and chose to affiliate with MSAM as an independent adviser in 2016.

For more information, please visit: https://www.msam.net/ and https://pelleygroup.com/

Investment portfolios are equivalent to financial badges of honor that investors wear with pride! Any investors should have a diverse and dynamic portfolio not only to show that you can handle almost every type of investments as an investor but to have a pretty wide net of investments that have different rates of profits and loss. In fact, since diversity is what you’re aiming for your investment portfolio, why not add bitcoins in the mix?

Understandably, the reception of bitcoins can be a hit or miss when it comes to public opinion—and in terms of investments, diversity can be a good goal for every investor to achieve. In this case, why should bitcoins be included in an investment portfolio for the sake of diversity?

Experts Trust Bitcoin

Bitcoin is one of the world’s most popular forms of cryptocurrencies. The currency, also known as ‘cryptocurrency’, has been a subject of trust and distrust among modern financial experts, including well-known economists from Yale, Aleh Tsyvinski and Yukun Liu. Their research shows that for those investing in bitcoins for their portfolios, it should have a holding of at least 6% for optimal construction on your portfolio.

Other bitcoin experts such as Wences Casares, Chamath Palihapitiya, and John McAfee also offered their own brands of expertise on the cryptocurrency, with all three of them, among others, predicting the rising value of bitcoin in the coming years. With that in mind, the trust that numerous experts have can be essential for your consideration in including bitcoins in your investment portfolio.

Bitcoin is a Viable Option for Investments

Countries like the Philippines, US, Venezuela, Turkey, Italy, India, South Africa, Nigeria, and Argentina are currently some of the many countries that have been undergoing major economic issues, with Venezuela being a massive casualty with an inflation rate of over 25,000%. Because of the various issues that are plaguing these countries, many of them are now looking at bitcoin as a reliable alternative for people to use for future transactions since their national money has virtually no value.

This is something to consider if you’re planning to invest in different companies from different countries, or rather if you’ve already invested in international companies. While it can be a good opportunity for investors to add to their portfolio nonetheless, one can never be too sure about the economic structure of such.

Bitcoins Have a Steady Rise in the Market

One thing that’s good about bitcoins is its steady rise in the market. As of September 2018, Bitcoin has been up 2.82% in a 24-hour period, marking its slow, yet steady rise in the cryptocurrency market.

This is a great thing to consider when you’re looking for diversitySet featured image in your investment portfolio as not only can this ensure (though not always) greater chances for profit for investors, this can also make a great addition to your investment portfolio as a whole.

Investing in Bitcoin is a Challenge

All in all, investing in Bitcoin can be a challenge to many investors. Every investor taking the leap must always be up-to-date with current affairs, trends, and news that can affect the crypto world, not to mention having to study up on cryptocurrency as a whole.

Key Takeaway

When it comes to diversity of an investment portfolio, there are a lot of other things to consider. With these three factors in mind, getting to buy bitcoins, as well as buying tether and other forms of cryptocurrencies, for your investment portfolio can be a great opportunity nonetheless as you, as an investor, can get the chance to relish in the benefits that the cryptocurrency can provide, whether it be for diversification for your portfolio, other forms of investments, or for maximum profit on your end!

Investors in the Assetz Capital platform are yet to be convinced by cryptocurrencies, with just 16% seeing them as worthwhile investments.

The peer-to-peer lending platform canvassed the views of its investors in the Q1 Assetz Capital Investor Barometer. 43% believe the entire market is on the brink of collapse, while 40% feel cryptocurrencies are still too immature at present with significant risks attached. 14% feel it is a worthwhile investment but only in moderation, with just 2% thinking it is the future of investments.

This follows a period of volatile price swings in the cryptocurrency market, which in February saw the value of Bitcoin hitting lower than $7,000, compared to almost triple that amount in December 2017.

Another blow to the market came in February when a number of banks banned their customers from purchasing cryptocurrency with credit cards, and Bank of England Governor, Mark Carney, claiming that Bitcoin has failed as a currency.

Stuart Law, CEO at Assetz Capital said: “The rise in cryptocurrency over the past 12 months has been driven by consumers’ search for fairer returns on their investments. Traditional banking has failed to deliver in this sense over the last decade, so as technology makes alternative investments more accessible, it is obvious that investors would look elsewhere.

“However, there’s clearly still a great deal of uncertainty amongst smart investors when it comes to cryptocurrency – the market is still in its unpredictable infancy, so the risk and wild daily swings in value of cryptocurrencies is proving too much for many.”

(Source: www.assetzcapital.co.uk)

Creditsafe Group, the global business intelligence expert, has found that despite a significant investment from Lord Alan Sugar, past winners of the show still have a relatively low net worth and poor credit rating.

Over the last five years the winners net worth, credit score and credit limit have decreased on average by 73%, with credit scores falling from 87 to 64 and credit limits reduced from £46,000 to £2,000, according to Creditsafe data.

Analysing the figures on its database, Creditsafe discovered that none of the winning candidates in the last five years have doubled the £250,000 investment made by Lord Sugar, with the most recent winner Alana Spencer’s net economic position valued at just £7,538 with a £2,000 credit limit. In comparison, the 2012 winner, Richard Martin has a £325,789 net worth and a £46,000 credit limit.

In addition, businesses of past Apprentice winners appear to have prospered once the candidate had stepped aside. Alresford founded by Tom Pellereau (2011 winner), Aston Rowant in which Lee Mcqueen (2008 winner) was a director and London Contemporary Orchestra Limited where Simon Ambrose (2007 winner) was a director, saw a significant uplift in credit score and credit limit when the Apprentice winners stepped away. For example, Tom Pellereau resigned on 15/12/2011 from Alresford when the credit score was 43 and the credit limit was £500, the business now has a credit score of 80 and a credit limit of £1,000.

David Walters, Head of Content & Technology at Creditsafe UK & Ireland, said: “There is a misconception that once a candidate wins the Apprentice, they will have immediate success in business. We can see from the data that this isn’t always the case. While the past five winners are all profitable, there is no evidence to suggest the partnership with Lord Sugar provides any further financial security past the initial investment. It will be interesting to see who wins on Sunday night and how they perform in comparison to the previous winners over the next few years.”

The Apprentice is currently being aired on BBC and is in its thirteenth series. This week Lord Sugar, in a surprising turn of events, chose both finalists, Sarah Lynn and James White, as winners. A first in the TV show’s history.

*Average across all active businesses.

(Source: CreditSafe)

Interactive Investor, the online investment platform, has recently released its clients’ most traded investments, by number of trades, in September 2017.

Commenting on the results, Lee Wild, Head of Equity Strategy at Interactive Investor, said: “It was all about inflation, interest rates and tapering during September, so little wonder central banks dominated proceedings. US Federal Reserve chair Janet Yellen, who’ll begin slowly winding down the Fed’s $4.5 trillion balance sheet this month, prepped markets for a rate hike in December then another three in 2018.  Not to be left out, Bank of England governor Mark Carney turned hawk as inflation hit 2.9%, confirming that a first increase in UK borrowing costs for over a decade just got a whole lot closer.

“The obvious benefits of higher interest rates had the British pound up as much as 5% against the dollar and at a post-EU referendum high. Rate rises are typically good news for the banking sector, with lenders quicker to raise borrowing costs than they are to offer better deals to savers. It may not be great for consumers, but an improvement in bank margins should feed through to shareholders by way of bigger profits and dividends.

“It’s why investors’ favourite Lloyds Banking Group rallied 6% in September and remained the most popular blue-chip stock on the Interactive Investor platform last month. Vodafone blasted back into the Top Five. Apple’s launch of the iPhone 8 should get the tills ringing, and the fastest growing broadband operator in Europe offers an irresistible dividend yield of over 6%.

“As one would expect, there was plenty of excitement on AIM. Online fashion retailer Boohoo.com is a member of AIM’s exclusive ten-bagger club, but the shares are hardly cheap, so tweaking margin guidance lower in its half-year results gave traders a scare. So did joint-CEO Carol Kane’s decision to sell £10.7 million of Boohoo shares in the aftermath.

“However, a 25% plunge in the share price always looked harsh given aggressive growth forecasts. It’s why trading volume more than tripled in September and buyers outnumbered sellers two-to-one.

More spectacular, however, was the explosion in activity at Frontera Resources. There are 13.4 billion shares in issue worth less than a penny each, but the £100 million company is no tiddler. Frontera’s liquidity, typified by tight spreads, volatility and an intriguing story make it a firm favourite among small-cap investors. At the beginning of September, the shares were worth just 0.1125p, but before the month was out it was 0.782p, an increase of 595%.

“There’s real excitement around Frontera’s Ud-2 well in Georgia because it sits in the Mtsare Khevi gas complex, where experts estimate a potential recoverable resource of 5.8 trillion cubic feet of gas. Following a series of progress reports, the number of trades on the Interactive Investor platform swelled twelvefold in September versus the previous month.”

Rebecca O’Keeffe, Head of Investment at Interactive Investor, adds: “Yet again, the big active funds of Fundsmith Equity, Woodford Income and Lindsell Train Global occupy the top three spots, with our investors continuing to prefer active management in the current environment. With currencies driving markets and sector moves more pronounced, there is greater potential for active managers to add value.

“Although the top three are all active, passive funds remain relatively popular and Vanguard 100 muscled its way back into the Top Five, knocking out Jupiter India in the process. Vanguard have taken over as the preferred option for many clients, with 15 Vanguard funds in the Top 100 most bought funds year-to-date. The compound effect of lower fees is significant and over the long term this can add tens of thousands to your portfolio value, making low-cost tracker funds highly attractive for investors.”

(Source: Interactive Investor)

You’re hearing more and more news about bitcoin, the blockchain and cyrptocurrencies, but the big question floating around is whether bitcoin is the new gold, or just a fad. Richard Tall, Partner and Head of Financial Services at DWF, here provides Finance Monthly with an insight into the answers.

Economic history has delivered many assets, which, for seemingly little reason, deliver huge surges in value. Dutch tulips, the South Sea bubble, railway shares and the dot com boom are all examples of these surges, most of them driven by what the objective observer operating with 20/20 vision would categorise, using modern parlance, as "FOMO".

And with the advent of Bitcoin and other cryptocurrencies, many have claimed that the next "FOMO" driven asset surge is already taking place.

Cryptocurrencies arise from the solving of a complex series of arithmetical equations. Mankind has been solving arithmetical equations from the dawn of time, but with the exception of the development of an industrial or commercial purpose, has any intrinsic value been attributed to the simple solution of arithmetical problems? The value of any asset is a matter of perception of a variety of factors; why is gold any more valuable than iron, other than it looks nicer and there is less of it? While gold has been around longer, is it inherently more valuable than bitcoin simply on the basis that it has been around for longer and mined from the ground rather than a machine?

Had one been around for the first gold market, would market conditions have fluctuated more or less than the bitcoin market? In 2017 alone, Bitcoin has seen a rise in value of 700%. Its banning, along with other cryptocurrencies, by one of the world's most significant financial regulators, and a slamming by the CEO of one of the world's largest investment banks, have caused its price to swing significantly too, having touched both $5,000 and $3,000 in the three weeks prior to this article being written. Did gold do that?

Much news was generated by the entrepreneur and Baroness Michelle Mone being linked to a disposal of units in a residential development, where payment would be accepted in bitcoin. Cutting-edge, but had Mone accepted bitcoin at $5,000 per bitcoin two weeks ago, she would be sitting on a loss. As with all of these things, it is possible for parties to agree to trade any asset for any other asset, in ancient times this was simply a barter system, but it still exists in many forms today. The first gold market would have been a barter market, the premise being that gold looks nicer than a sheep, albeit you cannot eat gold. The market would have arisen because a hungry person met a person who fancied a nice necklace. By definition, a number of factors, such as the supply of sheep and the acceptability of bling in the ancient world would have affected the barter price. Gold too (and no doubt sheep) would have had its naysayers.

So what is the future for cryptocurrencies? Or, should the real question be, what is the future for distributable ledger technology? The latter has implications for trade and payment systems which humankind is only beginning to fathom. What we have to come to terms with, is whether the value lies in the instrument which is created when a cryptocurrency is born, or if it lies in the service which it facilitates or delivers. By definition, the value has to be in the service facilitated or delivered, as without those, as has been pointed out by Jamie Dimon, all there is is a currency invented "out of thin air."

So where now for cryptocurrencies? This depends on whether they remain as tools of speculation or the means of delivery for a service. The latter will flatten values, with the value being inherent in the service or the entity controlling the service. The former will maintain the status quo, but with huge volatility being driven by the most unpredictable variable of all; sentiment.

Below Lee Wild, Head of Equity Strategy at Interactive Investor, discusses dividend cheques and payouts to shareholders over the next month.

Over the next four weeks, some of the UK’s biggest companies will send dividend cheques to shareholders totalling a staggering £8.2 billion.  And the good news is that almost everyone invested in a pension will get something.

Whether directly, or indirectly through a fund or other collective investment, it’s almost certain most of us own a stake in Rio Tinto, Legal & General, SSE, Prudential, GlaxoSmithKline, Diageo, Barclays, Royal Dutch Shell (the largest company on the London Stock Exchange), and Lloyds Banking Group, the UK’s most widely-owned share.

This is a strong reminder that London is home to some of the world's best income stocks. These blue-chip dividends are not only among the most generous, but they are also affordable and sustainable, easily covered by profits and cash flow from operations.

There have been question marks around Royal Dutch Shell. It paid a total of $15 billion in dividends to shareholders in 2016, but the plunge in oil prices from over $100 a barrel to below $30 hit profits. However, the oil major has not cut its dividend since the Second World War, and chief executive Ben van Beurden had been borrowing to maintain that record.

But, after buying BG Group and completing over half its target for $30 billion of asset sales, Shell did generate enough cash over the past 12 months to cover both the dividend and reduce debt.

It’s also great to see Lloyds Banking Group and Rio Tinto back as serious income plays. Both have undergone major transformations following the financial crisis and collapse in commodity prices, and now yield 7% and 5% respectively.

After a six-year break during the financial crisis, Lloyds has successfully repaired its balance sheet and returned to the dividend list in 2015. It’s now expected to keep growing the dividend, and any increase in UK interest rates would be a significant boost to the lender’s profit margins.

Rio Tinto has staged an impressive recovery since the commodity sector crash finally ended 18 months ago, and streamlining the business has provided firepower to increase its latest interim dividend by 144% in dollar terms.

Barclays presents shareholders with a problem. As the only UK bank share in negative territory in 2017 so far, down over 14%, it’s the cheapest high street lender out there, trading at a discount to book value. Its restructuring is complete, too, but PPI and other conduct issues may continue to cap share price gains.

However, if City estimates are correct, the dividend will more than double in 2018 and give a forward yield of over 4%.

With interest rates at a record low, there are currently few asset classes that match equities for income generation potential. The global economy is ticking along nicely, company profits are improving and valuations do not appear stretched among this crop of blue-chips.

In the absence of any market event that significantly shifts the dial, it’s likely investors will continue to benefit as companies return those profits to shareholders.

*Excludes Rio Tinto Limited

With the ups and downs of global uncertainty in today’s markets finding a buyer can prove difficult. Here Finance Monthly hears from Lord Leigh of Hurley of Cavendish Corporate Finance LLP on his five key tips to ensuring a business gives itself the best chance of attracting an overseas buyer.

The UK continues to be one of the most attractive markets for foreign direct investment (FDI) and inbound M&A activity. According to Ernst & Young’s 2017 ‘European Attractiveness Survey’, the UK was named the second most attractive market for FDI while Lloyds Banking Group’s June Investor Sentiment Index revealed that UK investor sentiment remains at near record levels, with overall sentiment up 3.87% compared to the same period last year.

Both these indicators are positive signals for potential overseas buyers of British companies and a fall in Sterling has also helped to make UK businesses more attractive, though the continued robustness of the UK economy and the performance of the corporate sector also underpin healthy M&A activity. Mergermarket reports that in H1 2017, the UK was responsible for 22% of all European M&A inbound activity, with UK activity totalling £46.6bn and Europe totalling $211.1bn.

Despite this encouraging backdrop, uncertainty, largely surrounding the outcome of Brexit, still persists, so it’s important for British businesses to take all the steps they can to ensure they are as attractive as possible to foreign buyers, who typically pay a premium compared to domestic buyers when acquiring a UK company.

1. Understand your buyer

The more aware you are of the foreign buyers’ motive for purchasing your business, the more value you will able to demonstrate to the prospect. There are typically four reasons an overseas buyer would be interested in a UK business: it provides access to the British market, or an entryway into European and international markets, it has attractive tech and intellectual property potential, or the business is able to merge with one of the foreign buyers’ existing businesses to generate cost savings and efficiencies. Identifying a buyers’ intention before engaging in the deal process will significantly increase your chances of selling and achieving maximum value for your company.

2. Develop a post-Brexit strategy

Although the UK is currently well positioned for FDI, the EY 2017 Attractiveness Survey reveals that a number of respondents think that, in the medium-term, the UK’s attractiveness as an FDI location will deteriorate, with 31% of respondent investor’s worldwide saying they expect this to be the case in the coming three years, although 32% say they expect it to improve. One can assume that this is potentially due to the uncertainty around Brexit and the UK’s access to the European single market.

To counter this scepticism, it is important for businesses to develop a post-Brexit strategy. For companies who do not export outside Britain, they will need to demonstrate that they have the capabilities to survive and grow solely in the UK market. Companies that do export outside of the UK will need to show that they can continue to easily sell their goods in the EU and have potential international markets they can access if selling in the EU becomes more problematic.  A good example is the recent sale of smoked salmon producer John Ross Junior, a company with a Royal Warrant, which we advised. The company proved its international capabilities by highlighting the 30 countries they supply and the opportunity for future growth in other regions, which were key factors in the decision of publicly listed Estonian company, PR Foods, to buy the business.

3. Foster key relationships

Foreign buyers want to see a highly connected UK business, and having strong networks is key for sealing contracts and fostering growth. Prospective buyers want to be reassured that the company does not have particular reliance on any one customer and should they purchase the business, there will be high retention rate among customers, employees and suppliers.

4. Update your books

The extent of the due diligence that the buyer will undertake depends on the sector, the buyer’s existing knowledge of the target company and the laws of that country. English law states ‘caveat emptor’ or ‘buyer beware’, meaning that the buyer alone is responsible for checking the quality and suitability of the company before a final sale is made. Having updated financial statements and a strong finance team to help respond to the likely multiple queries a potential buyer will have, should ensure a smooth and speedy process when engaging with a prospective buyer.

5. Appoint an advisor with specialist expertise

Selecting the right advisor for a sales process is key, especially when an overseas buyer is involved. Compared to domestic M&A, foreign deals demand an understanding of cultural differences, state versus domestic laws, and regulatory approval processes. Engaging an advisor with specialist expertise in your sector, the mid-size market and that has a global reach to find potential acquirers will optimise the sales process and ensure that the deal executed will be the best outcome for your business.