Daily Intent

Taking a business meeting out to the streets Wednesday led me to meet a creative entrepreneur capitalizing on the economic downturn.  As my business associate and I discussed our ideas to make greatness out of a budding program, we couldn’t help but stop and speak to an artist that had newly occupied a large, vacant space on State Street.

In any other economy the building owner would have scoffed at the idea of allowing an artist free reign over the large space;  the artist may have never had the finances to score such a prime location; however, building owners are feeling the pains as their retailers struggle.  They need these spaces filled for fear a couple empty spaces leads to a few more, snowballing into the entire block losing its appeal.

The artist saw the opportunity, and we Santa Barbarans benefit.  Beautiful art on interactive display.  Empty spaces filled with color.

Where within your business are there opportunities to align yourself with organizations willing to make deals?

They may have been a behemoth to you before, but now are willing to give you a shot.  Now is the time to ask.

Nate Robinson, all 5 foot 9 of him escalated over the 6′11″ Dwight Howard to become larger than life.  Jump the business ladder to prepare yourself for future successes.
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Many have been asking me about what the governments stimulus plan means with regard to their personal mortgage.

Here is a clean, quick article on the main details. The positives, it will help an estimated 9 million families.  The negatives, there are many with jumbo loans that could use the help that will not receive it.  Conforming loan holders are currently the only ones under this plan.

Coming to a bank near you:
 http://money.cnn.com/2009/02/18/real_estate/Obama_foreclosure_plan/index.htm
 
Buzzword: Long Jelly Roll
“An option strategy that aims to profit from a time value spread through the sale and purchase of two call and two put options, each with different expiration dates.

A jelly roll is created by entering into two separate positions simultaneously. One position involves buying a put and selling a call with the same strike price and expiration. The second position involves selling a put and buying a call. The strike prices of the put and call in the second position are identical but different from the previous position, and the duration of the second position is longer than the previous position. This position creates a synthetic near-term short position and long-term long position that work to capitalize upon the time differential between futures prices.”  -Investopedia

I didn’t understand it either, though appreciated the term.  My finance gurus, please explain.

  Six Points to Ponder:

   1. Obama spoke to a crowd in Mesa, AZ.  Speaks to mortgage crisis.  Market fears nationalization of banks, bank stocks plummet.
   2. All Markets are down on the week.  The Dow at 7389, 6 yr low.  S&P 500 at 769. Nasdaq at 1437.  Oil at $38.
   3. CPI Index:  Year over year prices flat.  Lowest price increase on a yearly basis since 1955.
   4. Let the lawsuits continue.  UBS under fire.  Ken Lewis subpoenaed.
   5. Clinton goes out on her first tour:  speaks to North Korea.
   6. Live Strong Lance Armstrong is back on his bike in California promoting cancer research and the sport of cycling.  Amgen Tour arrives in Solvang today.

Positives:

    * Clarity of mortgage services coming soon allows homeowners to make appropriate decisions.  Rates will be market rates, which is excellent news since such loans would be inherently higher due to their risk grade.
    * The prices of goods sold are staying flat, and have actually declined in the last quarter, aiding those suffering from the economic downturn.  Gas prices remained low.
    * Positive focuses on endurance sports leads to more active individuals in our society.  Lance is great for the sport and inspires many.
    * Clinton’s past learnings of her husband’s great foreign policy may lead to amicable relations with some of the world’s most unstable rulers.

Negatives:

    * Jumbo loans not receiving aid makes things tougher for the coastal communities.  The man power required to facilitate all of these loan modifications makes it difficult to imagine 9 million people will receive help soon enough.
    * Lawsuits continue to put a negative light on the financial sector.  Madoff’s relatives have even made the news.  The list will continue to grow.
    * Retirement accounts dwindle.  Retirement reality elongates.

Services: Confidential Environment
Nothing leaves my office.  Whether you are a millionaire or struggling with your finances, you can walk into my office or call me with questions, knowing it won’t be passed along.
Local:

Amgen Tour of California
Where: Solvang
When: Today.  12pm.  www.amgentourofcalifornia.com
Cost: Free
Why: Good energy.  Great weather.  Lance Armstrong.  Get out of Santa Barbara for the day.

Live and Be Well,

Jeff Bochsler