Pound will hold up against Dollar – Unless Scotland votes ‘yes’

Over the course of the past few months, it’s been readily apparent that volatility in the FX markets has become practically non-existent. Although brief swings have been seen due to tensions between Russian and Ukraine, as well as the United States and the Islamic militants in Iraq, prices have remained largely stable. Although some traders are predicting devastating fluctuations due to tensions within the UK regarding the possibility of an independent Scotland, others believe that the Pound will stay on solid ground. That is, of course, unless the UK is broken up by a majority “yes” in the upcoming vote.

The value of the Pound is largely created by the collaboration of the various political entities within the United Kingdom, including England, Scotland and Northern Ireland. If any one of these entities were to leave the UK, it seems likely that, at least over the short-term, the value of the Pound would take a hit. When asked to discuss this particular issue, Kit Juckes, a currency strategist with Societe Generale, said that, “The more divided the UK is, the weaker the pound will be…”Sterling’s correction to date has far more to do with the UK rate rethink than anything else, and there is very little political risk premium in the pricing – yet”

Other possible catalysts of price fluctuation could occur in the early months of 2015, when the Bank of England is planning on raising interest rates, the first move of its kind by any nation in recent years. That being said, it is expected that the Federal Reserve of the United States will follow up with a similar move shortly thereafter. The Federal Reserve has indicated that their strategy remains to implement a very slow, gradual increase of rates in order to ensure that the US economy, which is now developing on a much firmer footing, does not get sidetracked.

Regardless of what potential outcomes may occur, it seems likely that the rather lengthy slumber the FX markets have been in may come to an end shortly, which, for many traders, is welcome news.

How Big Should Bitcoin’s Role be in B2B Payments?

What exactly is the future of Bitcoin, and what role should this digital currency play in the B2B payments market, one of the most vital niches within the larger global infrastructure in existence today? These two questions are often asked by financial analysts and industry experts seeking some sort of invaluable insight into the future of the digital currency, not only for speculative purposes, but also in hopes of gaining some sort of traction when developing sustainable business platforms in what is arguably one of the most dynamic and volatile economic climates in recent history.

For some, Bitcoin’s precipitous rise in both value and public interest is a sign that this product (and the revolutionary system it represents) should be avoided at all costs. After all, Bitcoin has not only undermined the modern banking system as we know it, but it has also posed a credible challenge to the sovereign currencies of nations around the world.

These exact critiques are, for some, the very same reasons why they believe Bitcoin is poised to adopt an even larger role in the B2B payments market in the months and years to come. Due to the fact that Bitcoin is arguably much more secure than standard transactions, Bitcoin could trade back and forth on a B2B level without as high a risk of hacking and theft. Combined with the fact that Bitcoin transactions carry no additional charges, some are proclaiming that this method of payment is undeniably a cornerstone of the future 21st century business infrastructure that has slowly been evolving over the past decade.

Regardless of whether or not Bitcoin does indeed become a fixture in B2B payments, it stands to reason that an increasing number of businesses will begin to demand what Bitcoin provides – a no-hassle, expense-free service by which money can quickly find its way into the hands of those who need it the most, all without the threat of a security breach or online theft.

Is this the future of B2B transactions? It seems there are very few reasons why it shouldn’t be. With Bitcoin, however, success is measured not only in literal effectiveness but also public sentiment, a more elusive standard of measure that has proven itself to be a major catalyst for price increases and drops in recent history. If Bitcoin is, indeed, to become a fixture within B2B practices, it must first be embraced by the influencers and thought leaders who hold power over this particular enterprise.

Facebook Wants to Start Handling Your Money – Here’s Why

Gotten swept up into the social media craze in recent years? That’s understandable. After all, never before in the history of the human experience have individuals been able to explore so many elements of their daily lives simultaneously, ranging from pertinent world and local news to advertisements, product placements and social updates from friends and family.

That being said, Facebook is ready to take their immersive experience one step further by offering a convenient and powerful method for undertaking e-commerce transactions with many of the world’s larger retailers as well as between Facebook friends.

In many ways, this information should come as no surprise. After all, virtually every other major internet and tech platform has begun to release tools that individuals and business owners can use to quickly transfer money, pay invoices, etc. One of the more prominent technologies featured recently has been Bitcoin, the revolutionary crypto-currency that has quickly risen to become one of the most talked about and, simultaneously, controversial tech innovations in years.

Currently, there’s no concrete details on whether or not Facebook’s system will handle Bitcoin transactions, nor is there really any information at all! The news leak concerning this payment system was actually instigated by a computer techie at Stanford who discovered lines of existing code within the Facebook infrastructure that allowed for payments to be processed and undertaken via the messenger app.

This, really, is the only information that is actually available at this point. It stands to reason, however, that Facebook would be considering a platform such as this to unleash in the upcoming months, if only to remain competitive with the other tech giants who are operating in similar fashion.

A payment system would also ensure an even more regular supply of traffic to Facebook, which is only good news to investors and shareholders. It’s obvious to see, therefore, that any one of several reasons could be used as justification for implementing this new program. Because of this, it will be quite interesting to see exactly how this product rollout occurs and, more important, when. Timing is everything in the tech world, and numerous businesses have lost out to the competition simply by letting first mover advantage slip out of their fingers. If Facebook is serious about gaining respect and competing with the nation’s other tech giants, it’s definitely important for them to consider just how much time and money they are willing to invest in this particular enterprise.

Simplifying Foreign Money Exchange

Ask any traveler or international business professional what they dread most about venturing to a foreign destination, and it is quite likely that currency exchange will be at the top of their list. Not only does the process of currency exchange require a significant time investment, but it can also be quite expensive for those who are unable to secure competitive buy and sell rates during their transfers.

Like any business where transactions and commission fees go hand in hand, it pays to find a currency trader that you know and trust. Due to the fact that currency exchange rates fluctuate around the clock, it’s important for you to develop a relationship with a currency trader who is committed to finding you the best possible deals, even if those may affect his or her own profit margin on the trade.

If you’re looking to transfer a substantial volume of currency, securing the best possible rates becomes even more essential. Although fractional percentage difference in smaller transactions may be relatively insignificant, this can lead to substantial expenditure differences when the volume of money being transferred increases to higher levels.

A number of services are now becoming available that allow individuals to access the information they need to make responsible decisions regarding not only who they decide assist them with their currency transfers but when the best time to exchange may be. VINIT Solutions is one of several companies that have quickly distinguished themselves for their outstanding customer service and comprehensive transparency. Thanks to no hidden fees and a full-service platform which provides customers with up-to-the-second information on current exchange rates, it’s never been easier to make an informed, rewarding currency exchange that results in decreased financial loss from commissions or exchange rate fluctuations.

As the FX market continues to expand and diversify, it’s only natural that innovators and creative thinkers within the field begin to develop the next generation of tools and software that will help them ensure maximum possible gain for themselves and their clients. VINIT Solutions is definitely one of those companies. Contact them today to learn more about their available services.

Money Remittances to Developing Countries Will Grow ‘5 Percent’ This Year

In today’s volatile world climate, it should come as no surprise that analysts are predicting stronger than ever results from the international remittances market, largely due to the fact that a growing number of international migrants are being forced to leave their homes as a result of violent conflict and other issues. The current numbers are estimating a roughly $435 billion remittances total this year alone, which is nearly a five percent increase over last year’s levels.

One of the many reasons why remittances remain such an important factor in the world of international currency is the fact that this particular form of money transfer allows for expedient transfer of private cash inflows into developing nations. Studies have shown that, in 2013, remittances alone totaled well over three times the sum total of official development assistance.

It is also interesting to note that the relative cost of sending remittances to developing nations has dropped to roughly 7.9% of the total value transferred. That being said, the expenses associated with transferring money to Africa remain inordinately high. Although remittances may continue to expand and grow, the underlying factors contributing to this unprecedented growth are troubling in their own right. Experts now agree that forced migration levels are at their highest since the outbreak of the Second World War. In total, nearly 73 million individuals have been forced to leave their home country due to the outbreak of troubling conflicts.

There remains a silver lining to all of the aforementioned situations, however. A strong regional remittance platform in East Asia and the Pacific is directly helping to promote further economic stability in the area at large. It is also estimated that remittance levels will rebound in Latin America and the Caribbean in upcoming months.

While there is, obviously, no guarantee that the current global situation will remain as it stands today, it is likely that forced migrations and other shifts in global demographics will continue to create a dynamic remittances market that may prove to be advantageous for those whose business interests align with this specific phenomenon. It is likely that 2015 will be as, if not more, exciting to watch than the events of 2014.

Banks Set Aside Billions of Pounds for Forex-Rigging Fines

If future preparations can serve as any indication of former crimes, Barclays recent fund allocations may provide enough proof for skeptics who have been convinced “from the beginning” that UK’s banks, as well as those in other countries around the world, have been engaging in illegal activities within the Forex markets. Currently, Barclays has allocated nearly £500m in order to ensure that any costs or fines incurred in the ongoing investigation regarding forex riggings are fully covered.

Barclays is no stranger to controversy. In 2012, the bank was fined approximately £290m for manipulating Libor, a scandal that pales in comparison to the penalties which may be sustained in upcoming months. Currently, the Financial Conduct Authority is attempting to reach a settlement with six major banking establishments regarding illegal activities in the Forex marketplace, a trading arena that involves over £3.5tn in transactions each and every day.

It is expected that the Financial Conduct Authority will release information regarding their regulatory actions next month. Experts agree that it is quite likely that the FCA will include an exhaustive collection of e-mails and e-chats, all of which point strongly to interest-rate fixing in forex markets among traders with Barclays.

Unfortunately, Barclays continues to soil its reputation with scandals such as this. Shares in Barclays continue to fall as an ever-increasing series of controversies continue to mount. In the third quarter of this year, Barclays’ profits have fallen by nearly £200m when compared to a year ago this time. Almost 8,000 jobs have also disappeared over the course of the last year. That being said, over the course of the past nine months, overall profits for Barclays have risen by approximately 5%.

Although Barclays is currently suffering heavily from some of the costliest scandals the bank has ever experienced, bank leaders have already stated that the bank will continue to pay its 1p quarterly dividend as promised. Whether or not the bank will be able to salvage its reputation after these issues, however, is another matter entirely. More information about this scandal will be available in the following weeks, following pending announcements from the Financial Conduct Authority and Barclays’ leadership.

Forex – Pound Sterling Near 1-Year Lows

Forex traders may be in for a somewhat bumpy ride in upcoming months, as the Pound Sterling has fallen to a near one-year low following news that the UK’s economic growth may be slowing. Recent government reports have shown that the UK’s service sector is expanding at the slowest rate seen in the last 17 months.

Although such news may initially appear to be somewhat grim, business optimism has not fallen as much as may be expected. In fact, the vast majority of firms in London’s financial sector continued hiring staff. These disappointing figures are also serving as a strong prediction that the Bank of England will, at least for the time being, keep interest rates at their current levels in an effort to promote economic stability. From the perspective of GDP, the UK experienced .7% growth in the third quarter of this year, while a .5% expansion is considered the likely outcome of fourth quarter activity.

The rise in the value of the US dollar is not only the byproduct of economic weakness in Europe. The now exclusively Republican-controlled House and Senate are considered to be a huge show of support for the US dollar. Government gridlock has, historically, contributed to currency weakness. Fortunately, the United States no longer has to suffer through the degree of turmoil that had embroiled their government over the last two years.

Investors are currently awaiting the outcome of a European Central Bank meeting that is occurring on the heels of a surprise stimulus move by the Japanese government. Many industry analysts are now predicting that the ECB will engage in a similar strategy, injecting much-needed funds into the Euro zone.

Related data points regarding the economic health of the Eurozone continue to be somewhat disappointing. Retail sales have dropped 1.3% on the monthly charts, which exceeded predictions for a .8% overall decline. Whether or not these factors will strongly influence the value of Pound Sterling remains to be seen. If the ECB were to intercede, it is likely that currency value fluctuations would follow suit. It will be interesting to observe exactly how these scenarios play out in the final month of 2014, and what expectations are established for the opening months of 2015.

Forex Trading for Beginners: Advice from the Experts

The world of foreign exchange holds a special appeal for many novice traders, due in large part to the fact that these markets function in a manner that is entirely unique within the finance industry at large. With less regulation than the traditional securities exchanges, near round-the-clock trading and the ability to acquire (and lose) large sums of money quickly due to leveraging, it should come as no surprise that foreign exchange attracts countless “newbies” on a daily base, many of whom are looking for a quick and effective way to make substantial profits in this dynamic marketplace.

Unfortunately, the world of foreign exchange trading is not an easy nut to crack. In fact, the Forex markets are widely considered to be some of the most sophisticated and, yes, confusing within the financial markets as a whole. There’s no reason to avoid jumping into these markets, however, as a slow, patient introduction to the in’s and outs of these markets may allow traders to adopt a more responsible approach to forex trading which helps to ensure that they won’t break the bank on their first outings.

Experts agree that one of the best tools for novice traders are the Forex simulators that can be found on virtually every major trading platform in existence today. Using these simulators, individuals can test out their specific trading strategies without having to place real money on the line. While these simulators can’t account for trading strategies fueled by fear, greed, superstition and any one of countless other human emotions, they do allow for smart practice and critical observations of how these markets function.

Due to the fact that these markets do behave in a rather volatile fashion, expert traders commonly advice novices to adhere closely to what is commonly coined the “golden trading rules”, which include discipline, patience and money management. As stated previously, the Forex markets often involve substantial leverage, which can prove to be disastrous for those who aren’t completely sure of what they are doing. There are countless stories of individuals who have gotten overly eager in their early days of trading and lost tremendous sums of money due to faulty trading strategies and an overly zealous approach to leverage.

More than anything, the most important tool for any novice trader who is serious about finding their way into the forex markets is extensive practice. The only way to understand the nuances of these markets is to observe how they react to varying international situations.

More People prefer new Money Transfer services than using Banks

Why is it that money transfer has become such a heated topic of discussion for so many? Given the fact that this service is so essential for many individuals living in working in places that are not their native homes, it would seem likely that money transfer and money exchange services would become an ubiquitous element of 21st century living. That being said, it seems quite interesting to observe the strong reactions that money transfer services seem to bring out in those that use them often.

If one were to venture a guess why these service are the target of much criticism and analysis by so many, it would likely be the fact that commission fees between various money transfers differ so widely. For example, many experts in the industry consider high street banks to slightly more expensive that privately owned organisations, while other authorities consider the aforementioned banking organisation to be the only legitimate service by which money transfer should occur.

Analysts are now shedding light on consumer sentiment in this particular arena, revealing insights which may prove to be surprising for many. According to the managing director of FXcompared, Daniel Webber, “This new data from FXcompared shows that since many consumers consider rates of exchange and transfer fees as important factors when transferring money, only a minority now trust in their banks for these services.”

While this doesn’t necessarily mean that banks should be condemned for crippling fees, it does provide us with the information we need to form one significant conclusion, that being individuals are now willing to explore various alternatives to major banking institutions when seeking out a foreign transfer service with whom they would like to engage in a transaction with. In the words of Webber, “A sophisticated, often younger, majority, now undertake their international money transfers with other non-bank providers.”

For those entrepreneurs who are savvy enough to latch onto new trends as they emerge, this information may prove to be inspiring indeed. After all, it seems the time is ripe for a low-cost, highly affordable money transfer service to emerge within this dynamic and exciting marketplace.

Latest Web Design Trends

When it comes to fast-paced, ever evolving industries, digital design remains one of the most dynamic. Given the fact that so many business now rely on digital platforms such as websites to propel their domestic and global presence, professional web design remains one of the most popular and cutting-edge fields in which savvy tech-minded creatives can make a name for themselves. For the casual business, however, staying abreast of the latest web design trends may prove to be challenging, if only for the fact that such an astonishing array of activity happens on a regular basis.

Central to the new era of web design is the concept of mobile optimization. Given the fact that Google has recently announced that websites which feature “mobile-friendly” designs will be given priority within search engine rankings, a number of business owners have begun to actively refresh their pre-existing platforms in order to ensure that they don’t receive unwanted penalties from the world’s largest search engine. So, what does a mobile-optimized website look like? Essentially, the design has been configured in such a way as to ensure that mobile users are not forced to scroll excessively or navigate small menus that thumbs could wreak havoc on due to their small pixel dimensions.

Yet another key trend in modern web design is cohesive branding. Unlike the earlier generations of web design, in which all styles, fonts and colour schemes were “fair game”, web developers have, at last, adopted the same values of standard graphic designers. Professional web platforms have begun to feature a unified, streamlined design scheme which ensures that visitors are left with a strong impression.

It is also quite interesting to note that web designers have begun to research and evaluate the design trends occurring throughout their industry vertical, exploring perceived strengths and weaknesses and using them to their advantage within their own particular platforms. Because of this, even a casual perusal of industry competitors will reveal similar design attributes that are slowly becoming synonymous with the particular type of business being explored.

Content has slowly emerged as the true “king” of web design. Although videos and images remain important tools of marketing professionals, studies continually show that intelligent, thoughtful content remains the primary vehicle through which business owners can propel their visibility forward and receive higher rates of organic search traffic. It will be interesting to observe how these trends evolve over the short term!

Category: Money Exchange Software