A Chioce Made Easy Essay -- essays research papers fc

A Choice Made Easy Choosing educational software for children is certainly not an easy task. Because so many options are available, it is easy to be overwhelmed by all the vividly colored packages, the intriguing characters, and fantastic claims of academic enhancements. How in the world does one actually choose? Fortunately, all is not lost. A software package is available, which truly encompasses those qualities, and does so without assaulting the purchaser’s pocketbook. My Personal Tutor by Microsoft, is a budget sensitive, educational enhancement package for childaren, with exciting graphics and an incredible academic framework. For this reason, a recent review of this program stated that â€Å"Microsoft has made a great contribution to children’s learning† (Dr. Toy). In fact, My Personal Tutor is the best choice of children’s educational software.   Ã‚  Ã‚  Ã‚  Ã‚  The activities in My Personal Tutor facilitate learning in vital academic disciplines. Because of the technological advancement of our society, today’s students require more strength in critical thinking, reading, and math skills than ever before. This three CD set is dedicated to enhancing skills in those areas. For example, in Turru’s Sea Quest, the student further develops thinking skills in order to advance through the game format. By solving unfinished sentences, analyzing and completing number or shape patterns, challenging memory with matching, and matching analog compared to digital time, the child assists Captain Scratch in setting free the endangered sea creatures. In another CD, Sam’s Hide & Seek, the child strengthens reading skills in a virtual museum, with six separate rooms where the child plays interactive word games or reads stories in order to help Sam find his friends. However, the word games are not simple mindless entertai nment. For instance, by solving incomplete sentences a story emerges. During this process, an amusing, vividly colored picture is painted depicting the story the child is creating. In another challenging exercise, the student reads stories and answers questions relating to the story content in order to gain points, thereby fostering comprehension. Finally, in a third CD, the child’s world becomes an incredible space station where the goal is to help a new friend, Spy, capture alien stowaways. In Spy’s Space Station, traditional math of the p... ...osoft is the best choice of children’s educational enhancement software. Works Cited Dr. Toy’s 100 Best Children’s Products for 1998. San Francisco, CA. 1999. Microsoft Kids Page. Redmond, WA. November 17, 1998. Outline Thesis: My Personal Tutor is the best choice of children’s educational software. I. The activities in My Personal Tutor facilitate learning in vital academic disciplines. A. In Turru’s Sea Quest, the student further develops thinking skills. B. In Sam’s Hide & Seek, the child strengthens reading skills. C. In Sky’s Space Station, traditional math is transformed into exciting activities. II. Through well-designed game objectives, My personal Tutor generates long term interest. A. All the activities are designed as a means to an end. B. The goals are met methodically through a sense of teamwork C. The interactive characters are encouraging throughout the challenge. III. Parents can feel confident that the purchase of this set is a cost- effective enhancement to the child’s education, as well as an excellent source of reinforcement for vital social skills. A. The price is only $14.95 after the rebate. B. My Personal Tutor is not limited to academics only.

The Lynas Fact Sheet

The Lynas Fact Sheet Note: This Fact Sheet is updated regularly. The last update was made on 2nd June 2011 Rare Earths 1. Despite their name, rare earth elements are relatively plentiful in the earth's crust 2. 3. but are more difficult to mine and extract than many other metals because of their chemical properties and geographical dispersion, making them relatively more expensive to extract. Rare earth metals are used in the manufacture of a wide variety of products including catalytic converters, wind turbines, hybrid car batteries, disk drives, mobile phones, and flat screen displays.Worldwide demand for rare earths is increasing rapidly and is expected to outstrip supply in the future. China currently produces about 97% of the world's supply. Rare Earths & Radioactivity 1. The extraction of rare earths raises a number of environmental and safety concerns 2. 3. 4. because the ore in which rare earths are found are often associated with minerals containing radioactive elements such as uranium and thorium. Health and safety issues that need to be addressed include radiation protection for workers, the public and the environment, the transportation of raw materials nd the management of waste. Human beings are exposed to very small levels of radioactivity in everyday life. Thorium, for example, is naturally present in soil, rocks, ground and surface water, plants and animals in very low concentrations. Ingestion of food and water containing this level of radioactivity does not pose any threat to human health. The radiation exposure limit set by AELB for the public is 1 mSv/year. The annual radiation exposure, in millisieverts (mSv)/year, in a number of daily human activities is as follows: i. Smoking a pack of cigarettes daily 0. 0 mSv ii. Medical or dental x-day 0. 39 mSv iii. Sleeping next to someone for 8 hours 0. 02 mSv iv. Watching television 2 hours daily 0. 01 mSv v. Using a computer terminal 0. 001 mSv (Source: United Nations Scientific Committee on the Effects of Atomic Radiation, 1982, 1993, 2000; United Nations Environment Protection Agency; US Department of Energy; Health Physics Society) The Lynas Project 1. Lynas Malaysia Sdn Bhd (Lynas) is a wholly-owned subsidiary of Lynas Corporation 2. Ltd of Australia . Its business is the production and sale of rare earths and related byproducts.Lynas plans to import rare earth ore from its Mount Weld mine in Western Australia, 3. 4. truck it to the port of Fremantle , send it by container ship to Kuantan, and process it at the Gebeng Industrial Estate in Pahang. At Gebeng, the Lynas plant will extract Rare Earths from the ore for export. Lynas says waste from the extraction process will be used to produce commercially applicable products or stored in safe and secure containers. Lynas says it chose to locate its plant at the Gebeng site because of: i. Its proximity to Kuantan port ii.The availability of gas, water and chemical supplies iii. The availability of skilled workers Manufactur ing License 1. On 22 January 2008, Lynas was granted a manufacturing licence to produce â€Å"rare 2. earth oxides and carbonates† at Gebeng Industrial Estate, Kuantan. The approval was granted subject to a number of conditions, in particular, the need to comply with the provisions of the: i. Atomic Energy Licensing Act 1984 ii. Environmental Quality Act 1974. Compliance Requirements 1. The Atomic Energy Licensing Act 1984 is administered by the Atomic Energy 2. 3. Licensing Board (AELB).Among other things, the AELB monitors and assesses the radiological impact of the Lynas project through all stages of construction and operation. This includes matters relating to radiation protection (occupational, public and environmental), safety, waste management, transportation, decommissioning and remediation. The Department of Environment (DOE) is the implementing agency for the Environmental Quality Act 1974. The Act governs issues related to the prevention, abatement and control of p ollution and enhancement of the environment (other than radioactive material and radioactive waste).The safety standards and good practice requirements enforced by the two regulatory bodies are similar to or equivalent to those recognised internationally. Compliance status 1. Lynas began planning and construction of its plant at Gebeng Industrial Estate, 2. Pahang soon after obtaining its manufacturing licence. In April 2011, the company announced that construction had reached the 40% stage and was on target for completion by September, 2011. The AELB confirms that Lynas has complied with all health and safety standards required of the company to date.A site licence and a construction licence have been issued accordingly. The next stage in the multi-tiered approval process requires Lynas to apply to the AELB for a pre-operating licence. To date, the company has not made a submission to the AELB for this purpose. Upon receiving a pre-operating licence, the company will then be requir ed to apply for and obtain an operating licence before it can commence full operations. 3. The Environmental Impact Assessment (EIA) Report on the project was approved by 4. 5. the Department of Environment on 15 February 2008.The Department confirms that Lynas has complied with all requirements of the EIA approval to date. The Radiological Impact Assessment (RIA) conducted by the Nuklear Malaysia affirms that operation of the proposed Lynas plant would not pose any radiological risk to workers and members of the public living in the areas surrounding the site beyond what is allowed by the regulatory authorities. Nuklear Malaysia also affirms that the projected radiation exposure levels in the Lynas plant for workers (average of 2 mSv/yr) and members of the public (0. 02 mSv/yr) are within the limits set by AELB. Decision to appoint Independent Panel of International Experts 1. On 22 April, 2011, however, following widespread public concern about the safety of 2. the project, the Go vernment announced a decision to appoint an independent panel of international experts to review all health and safety aspects of the project.Pending completion of this review, the Government also decided that: i. No pre-operating license will be issued to Lynas by AELB. ii. There will be no importation of raw materials for the plant from Australia. ii. A review will be undertaken to ensure that construction of the facility at the site fully complies with national and international safety standards. Independent Panel of International Experts 1. In late April 2011, the Government approached the International Atomic Energy 2. 3. Agency (IAEA) in Vienna , Austria , for assistance to appoint an expert team to: i. Review Lynas' compliance with relevant International Safety Standards and Good Practices, and ii. Provide an independent expert opinion on safety issues, in particular, those relating to radiation safety.The scope of the review included: i. Radiation protection (workplace, publ ic, environment) ii. Safety assessment iii. Waste Management iv. Transportation v. Decommissioning and environmental remediation On 13 May, 2011, the Government announced details of the IAEA-appointed panel. The panel consists of a leader and nine members: four from the IAEA, and five from IAEA member countries. All panel members are recognised experts in their respective 4. 5. 6. 7. disciplines and have knowledge of IAEA standards, in particular, those relating to rare earth processing.Details of individual members of the panel The expert panel began the on-site component of its work on 29 May 2011. During its six-day visit, the panel has scheduled to meet with government officials and representatives of Lynas, and receive representations from members of the public, including residents, community associations, non-governmental organisations and professional bodies. The panel is scheduled to complete its work and submit its report to the Government by 30 June 2011. The Government ha s announced that the report will be made public.

Requirements For Managing Banking Risks Example For Free - Free Essay Example

Sample details Pages: 14 Words: 4060 Downloads: 6 Date added: 2017/06/26 Category Finance Essay Type Research paper Did you like this example? Risks are inherent in banking business and they cannot be avoided. To absorb losses associated with these risks, the minimum amount of capital required to be kept by the bank should be assessed. Banking risks like credit risk, market risk and operational risk are taken into account while determining minimum capital requirement. Don’t waste time! Our writers will create an original "Requirements For Managing Banking Risks Example For Free" essay for you Create order Capital reduces the risk of failure by providing protection against unexpected losses. Capital requirement plays an important role in the supervision and regulation of banks. The Basel Committee on Banking Supervision is the committee which sets standards for calculating capital requirement. It proposes differentiated approaches to calculate capital for all the banking risks. In India, the capital ratios of banks observed were generally low and some banks were seriously undercapitalized. Reserve Bank of India adopted the Basel framework prescribing 9% of capital to risk weighted assets for all banks operating in India. TABLE OF CONTENTS Introduction Banking is one of the most regulated industries globally and the rules governing bank capital are one of the most important aspects of such regulation. There are 2 reasons why the banks should be regulated first, the risk of systemic crisis and second, the inability of depositors to monitor banks. So, bank failures are triggered by inability of banks to honour repayment commitments to their creditors on time. Capital reduces this risk of failure by providing protection against unexpected losses. Greater the banks capital funds, greater the amount of assets that can default before bank gets insolvent and lower the risk of bank. Apart from absorbing losses, capital can also serve other purpose of banks. When any bank has adequate capital, investors look upon it as a safe investment option and so bank has ready access to the financial market. Thus regulating the amount of capital that a bank should hold is focused at reducing the risk of banks taking undue risks or expanding beyon d their ability. There are various types of banking risks: Credit Risk: It refers to the consequences related to defaults or non-fulfillment of contracts. Market Risk: It refers to risks that result from changes in the money price and capital markets. Operational Risk: It refers to the risk of loss resulting from failed or inadequate internal people, processes and systems. The amount of capital which is considered necessary by banks to absorb the potential losses associated with banking risks credit, market, operational, and other risks is defined as Economic Capital. One aspect of bank regulation is to ensure that depositors who do not need to withdraw at present are given enough assurance that they will be paid in the future. This assurance can be provided in 3 ways adequate bank capital, deposit insurance and subordinated debt. Capital adequacy is essential for the long term stability of the banks. Banks need to assess carefully the internal and future requirements of capital on the basis of the risks taken during their operation. Basel Committee on Banking Supervision (BCBS) is the committee which began thinking in terms of setting capital standards for banks and published Basel Accords. It sets a framework on how depository institut ions and banks must calculate their capital. The Committee established a capital measurement system known as  Basel I in 1988. Under Basel I, banks were required to hold capital for credit and market risk. The 2 principal objectives of Basel I were To ensure adequate level of capital in international banking system and To no longer build volumes of business without adequate capital backing. When the BCBS Committee decided to revise the original Basel accord (Basel I) in 1998, it had hopes for an international standard for regulation of capital. The Committee claimed that the new accord would remove and cure the defects in the existing regulatory and notably improve the soundness and safety of the international banking system. In 2004, Basel I was replaced by Basel II. Under Basel II, banks were also required to compute capital charge for operational risk. Basel II consists of 3 pillars: Pillar 1: Minimum capital requirement The first pillar mainly deals with the maintenance of regulatory capital which is calculated for 3 major risk components that a bank faces credit risk,  market risk and  operational risk. Pillar 2: Supervisory review process The second pillar basically deals with the first pillars regulatory response, giving  regulators  improved tools over those which were available under Basel I. It mainly provides a framework to deal with the other risks any bank may face, like  reputational risk, systemic risk,  concentration risk,  pension risk,  strategic risk,  legal risk and  liquidity risk. Pillar 3: Market discipline The third pillar requires institutions to disclose details on capital, risk exposures, risk assessment processes and capital adequacy of institutions. Under USs Federal Bank regulatory agency definitions, to be adequately capitalized, a  bank must have a  Tier1 capital  ratio of greater than 4%, a combined Tier1 and  Tier2 capital  ratio of greater than 8% and a lev erage ratio of greater than 4%. According to Reserve Bank of India (RBI) norms for banks in India, banks must have common equity of 3.6%, Tier1 requirement of 6% and Total Capital  of 9  % of risk weighted assets. Risk based regulatory capital standard uses 2 levels of bank capital Tier1 and Tier2. Tier1 capital  is the core measure of financial strength of a bank from point of view of a regulator. It is composed of  core capital that consists of  common stock  and retained earnings  but may also include non-cumulative non-redeemable preferred stock. Tier2 capital is also known as supplementary capital. It includes a number of important constituents of capital base of a bank. Leverage ratio is any ratio which is used to calculate financial leverage of a bank so as to get an idea of the methods of financing  of bank or to measure banks ability to meet financial obligations. The Capital ratio  is the percentage of capital of a bank to its risk weighted  assets. Basel II requires the capital ratio to not to be lower than 8%. Basel III was developed in response to deficiencies revealed in late 2000s financial crisis. Under Basel III, banks will be required to hold common equity of 4.5% and Tier1 capital of risk-weighted assets of 6%. Basel III also introduces the additional buffers of capital 2.5% of mandatory capital conservation buffer 2.5% of discretionary countercyclical buffer capital during high credit growth period Basel III also introduces a minimum of 3% leverage ratio and 2 required liquidity ratios which are required by a bank to hold sufficient high quality liquid assets so as to cover its net cash flow over 30 days. Problem Statement Determination of total minimum capital requirement by banks to absorb losses associated with credit, market and operational risks and its impact on Indian Banking System. Purpose of Study Market values of bank assets are more volatile than those of the manufacturing firm. Bank assets bear the credit risk i.e. borrower defaults, market risk i.e. interest rate fluctuations, and operational risk i.e. failure of internal systems or people. Also, the bank needs liquidity so as to pay off its creditors with whom they have entered into contracts at various points in time. If banks have to increase capital relative to the risk of the assets they hold, the adequate capital required by banks to run the business to stay viable and survive should be determined. Significance of Study Risk is inherent in business of banking and banks cannot survive by avoiding risk. If banks have low risk assets, they can remain safe. However, in practice, banking assets are risky. Therefore, banks must increase capital relative to the risks of the assets that they hold. In the US mortgage crisis 2007-2009, it was evident that the banks were not holding enough capital to support the risky mortgage activities. Capital regulation for banks intends to discipline banks and to promote financial stability. Methodology Qualitative method is used to carry out this research as this method helps in gaining indepth information on Basel implementation and its impact from bank employees in form of questionnaires. This approach represents true picture and allows exploring the process effectively. The open ended nature of this project is another reason why this method is used for analysis. Literature Review Regulation of capital is required to reduce the risks faced by banks. These risks may be Credit risk, Operational risk or Market risk. So to absorb such risks the amount of capital necessary is to be maintained. This ensures long term stability of banks. Capital which needs to be maintained by banks to absorb unexpected loss and risks is regulated through Basel norms. Basel norms define the amount of capital to be set aside using various models. To improve the supervision of banks worldwide, Basel Committee on Banking Supervision (BCBS) constituting Central Bank Governors, was formed in 1974. This committee published a set of requirements on minimum capital to be maintained by banks mainly focussing on credit risk in 1988 known as Basel I. It was adopted by India in 1999. In 2004, a new set of guidelines were passed known as Basel II which were to be implemented by Indians banks from the year 2007. This deadline was extended later to 2008-09. Due to various issues faced by ba nks in this period, new guidelines known as Basel III were released in 2010. Basel III is to be implemented in India from 2013. This paper deals with: How much capital needs to be maintained by banks, how Basel norms help banks in maintaining capital adequacy and its effectiveness on workings of banks. This paper discusses various norms set for capital adequacy, its evolution and its impact on Indian banking system. That is, this paper discusses the impact of Basel II, need of Basel III and impact of proposed Basel III on Indian Banking system. This paper also suggests few modifications which are required to be made in the new accord (Basel III) on the basis of evaluation of its impact on banking industry. Basel I did not take into account the risk of mortgages. It considers every mortgage activity in the same category of risk and regardless of the creditworthiness of the borrowers. Basel II treated mortgage activities depending on the risk associated with the loan and required banks to establish models appropriate to estimate risk based capital that they need to hold so as to cover unexpected losses. The minimum capital requirement takes into account credit risk which can be determined by two approaches. First, mapping ratings of given by external credit rating agencies to capital requirements (Standardized Approach). Second, mapping banks internal ratings to default probabilities (Internal Rating Based Approach). The increased importance of trading activities at many banking companies has highlighted the exposure of bank to market risk that is risk of loss from undesirable movements in financial market prices. The capital requirement for market risk is based on the internal value-at-risk model of the bank. A value-at-risk model makes an estimate of the maximum amount that any bank can lose on the portfolio over a certain holding period with a known degree of statistical confidence. Under Basel I, there was no reference made to capital requirement associated to operational risk. There were 3 methods presented to calculate the operational risk capital charge Basic Indicator Approach, Standar dized Approach and Advanced Measurement Approach. It was investigated whether capital regulations have an effect on bank risk-taking and it was observed that Bank with high capital buffer position would adjust risk-taking and the capital adequacy ratio in the same direction and Bank with low capital buffer position would adjust the capital faster than the bank with high capital buffer. Capital Ratio is calculated to maintain the minimum requirement of greater than 8% of banks capital to risk-weighted assets. Multiplying the capital requirements for operational and market risk by 12.5 (which is the reciprocal of 8% i.e. the minimum capital ratio) and adding the result to the sum of risk weighted assets for credit risk to determine total risk-weighted assets. Capital (Credit Risk + Market Risk + Operational Risk) In India, RBI requires banks to maintain at the minimum 9% of capital to risk weighted assets ratio (CRAR). Banks in India follow Standardized approach for cre dit risk, Basic indicator approach for operational risk and Standardized approach for market risk. Basel I did not require banks to hold sufficient capital to support the mortgage lending activities. Basel II was intended to solve this problem. However, the Basel II models were very complex and costly to implement. Basel II capital varies across the model and segmentation schemes which provide banks with options to choose the approach which results in making them hold least required capital. Basel II was introduced because it was more risk sensitive. The introduction of Basel II norms required recapitalization of banks balance sheet. As a result, Capital Adequacy Ratio (CAR) in most Indian banks is above 12%. The Basel II Accord for bank capital regulation was designed to align regulatory capital to the risks which were underlying, by encouraging better systematic risk management practices, mainly in the area of credit risk. An overview of the objectives, main features and analytical foundations of the Accord was provided. The impact of the new bank regulation on the global banking system was analyzed through possible changes in bank behaviour. Also set of issues around analytics of risk such as correlations and portfolio aggregation, model validation, operational risk metrics and summary statistics of a banks risk profile were studied. Issues brought about by Pillar 2 i.e. supervisory review and Pillar 3 i.e. public disclosure were also studied. In the research done till now, the possible effects of Basel II rules on the pricing of bank loans have also been analyzed. Basel II failed to live up to the expectations and so the reasons of its failure were studied. The failure of Basel II was the result of regulatory capture. The rules of international capital regulation were transformed by a small group of international banks to maximize the profits. The financial distress in 2007 raised so many doubts about the adequacy of regulations. So an acade mic discussion on Basel II took place on technical issues concerning the Pillar 1 methodology for calculating capital requirements and its implications. Only a range of resources, actors, and institutions which shape the decision making outcomes in the Basel Committee were understood. Basel II was aimed to address few weaknesses of Basel I framework of capital adequacy for banks. Basel II incorporated more detailed calibration (credit risk) and required pricing of other forms of risks. Regulators allow large banks to use risk assessment (with sophisticated risk management systems) based on their own models to determine the min. amount of capital which they are required to hold as buffer against unexpected losses (by the regulators), under Basel II framework. However, 2007-2008 crisis challenged the usefulness of few important elements in Basel II accord. Recapitalization of banks reveal that internal risk models of few banks performed very poorly and also greatly under estimat ed risk exposure which forced banks for reassessment and repricing of credit risk. This, to some extent, reflects the difficulties for low probability but large events of accounting. Problems with Basel II: Problem with Pillar 1: No concentration Penalty No country specific risk Unclear and inconsistent definition of capital Problem with Pillar 2 and Pillar 3: Supervisors cannot be forward looking Inefficient markets A more basic problem with Basel II is that it creates bad incentives to miscalculate credit risk. As banks are allowed their own models to use to assess risk and also to determine the amount of regulatory capital but they might have been tempted about their risk exposure, to be over optimistic in order to minimise required regulatory capital and maximise return on equity (ROE). Basel III: New norms aim to improve quality and quantity of capital. The major components of capital are retained earnings and common equity. Also, deferred tax assets, investments in financial institutions and mortgage servicing rights should constitute less than or equal to 15% of common equity. Figure: Regulatory Capital Adequacy Levels New norms focus on financial stability of the whole system rather than an individual bank. Basel III Reform Proposal: To raise consistency, transparency and quality of capital base Improvement in the definition of capital Enhance risk coverage by capturing on balance sheet and off balance sheet risks Introduction of leverage ratio Forward looking provisioning Holding buffers of capital Figure: Macrofinancial Stability Framework Basel III requires banks to have core capital percentage higher than other means. Core capital includes equity and reserves. This involves raising Tier 1 capital to 9.5% from 6% currently. This means increasing equity requirement to 8% from 4%. Figure: Basel III Reform Programme Implementation Figure: Basel III Capital Ratio Methodology This section of the research covers the methods used for collection of data and its analysis. The analysis is done on the basis of literature review. Both primary and secondary data are used for proper analysis. Research Design Research design lays a foundation to conduct the research project. This research explores the literature review on Basel norms and the impact on Indian banking system. Primary research questions were answered on the basis of the information collected from banks employees. Information was also collected from BIS website and other journals. Procedures The procedure carried out involves defining the problem, forming an approach, designing the research, collecting data, analysing the data and representing the analysis in the form of a report. The research method chosen for the project is Qualitative as explained earlier. Primary Data: It is collected in the form of questionnaire relating to advantages and disadvantages of implementing Basel II and the impact of implementing Basel III. Secondary Data: It is collected from journal articles and other publications relating to Basel norms. Participants Information is collected from banks employees covering few public, private and foreign banks (in total 30) in India. The employees were clearly and fully informed about the research before collecting answers from them. Instrumentation Questionnaire was used to collect information relevant to the research. A set of questions were prepared and asked from various banks employees. This questionnaire was based on the literature review and other secondary data collected on Basel norms and their impact. It consisted of all closed ended questions. For reliability and validity purposes, the questionnaire was pilot tested so as to check if any rephrasing needs to be done. Analysis and Findings The analysis is done on the basis of information obtained from banks employees in the form of questionnaire. The results are reviewed each question at a time and a conclusion is given on the basis of findings. What is the main objective of Basel Accord? According to private banks, it will make the banks compete globally. According to foreign banks and nationalized banks, it will bring stability and soundness in banking system. And according to most other bank respondents, it will reduce bank failures by maintaining capital adequacy ratio. With introduction of Basel II, did Indian Banking system improve? Definitely introduction of Basel II improved Indian banking system. It provided the banks with a competitive edge and stakeholders with better pricing of services. What is Capital Adequacy Requirement in Basel III? 50% employees, majorly from private and foreign banks, said 8%. 30% banks maintain 9%. Others didnt know about that. Do you think new Basel Accord will help improve the banking system? 75% said yes but they also thought that it will be a tough job to maintain the requirement. Few said that Basel II was better. Few didnt know what impact Basel III will have on banking system. Do you think increase in capital reserve is required to manage banking risks as per Basel norms? Increase in capital has its own advantages and disadvantages. So 90% said that increase is required whereas 10% said that other ways can be used to manage bank risks. Whether new Basel accord requires new skills? Since Basel III is similar to Basel II, it does not require new people. So all respondents said that if required they can train their existing staff. What will be the impact of Basel III on Indian banks? Majority replied stability of system. While two of the respondents mentioned that it might lead to further problems and maybe another crisis. Summary, Conclusion and Recommendations Summary From the above analysis, it can be said that Indian banks are on their way to adopt Basel III. We can note various viewpoints of various banks. Few banks feel that Basel II was successful in managing banking risks and there is no need for Basel III but others feel that Basel III implementation would be more helpful in managing bank risks. They also feel that implementing Basel III is a big challenge but at the same time they realize that to compete with other banks, to expand globally and to meet international standards, implementation of Basel III is very much required. Thus Basel III should be implemented by Indian banks as fast as possible. There are various Impacts of implementing Basel III on Indian Banking System as per the opinion of the employees, which are: Positive Impacts: It could strengthen the credit and capital profile of Indian banks. It will enhance capitalization. It will improve risk adjusted capital ratios of banks. It will solve solvency issue s. Negative Impacts: It poses significant dilution risk. It might moderate return on equity of banks i.e. by 1% for private sector banks and by 2% to 3% for PSU banks and so make it difficult to retain investor. It will make hard for banks to grow. Figure: Impact of Deductions from Capital Conclusion Though Basel II was a bold step towards managing bank risks, it took a long time to put it all together and as we can see it is still not completely implemented. Now, Basel III is much more of a job in rush. Basel IIIs effective implementation will lead to strong, stable and sound Indian bank. It would lead to efficient management of capital and will improve banks profitability. Basel III mitigates the risky behaviour of banks and changes banks approach towards risk management. Around 15 PSBs (as of December 31, 2011) have core Tier I capital less than 8% and 8 of them have less than 7%. So when banks with low Tier I increase their capital (to 9%), their ROE could drop. Large bank could compensate the decrease in ROE by raising lending yields and small banks might also try the same. However, few banks (with core capital less than 7%) might have to bear the loss in ROE. Private Banks are already well capitalised so implementing Basel III might not significantly impact their ea rnings. In fact, Private banks competitive position might improve when PSBs increase their lending yields. Limiting the upside potential for private banks could be limited by the higher minimum core capital requirement. PSBs would require government support as they will fall short of capital adequacy requirement. Basel III is a new layer over Basel II and therefore inherits few problems of Basel II. Basel III is very good for reducing foreseeable risks but not for unforeseeable risks. Challenges that might be face on implementing Basel III: Functional Challenges Functional specification of new regulatory requirements (e.g. stress testing, limit system, risk quantification) Functional integration of new regulatory requirements into existing capital and risk management Technical Challenges Technical implementation of new regulatory requirements Data availability and quality Technical integration into existing risk management systems (e.g. interfaces) Orga nizational Challenges Coordination of different units as well as within the group Responsibilities within implementation and beyond Availability of resources Recommendations Basel III is required to be implemented in India for betterment but Basel III does not take into consideration few aspects and so improvements in the norm are required. Following are some of the problems with Basel norm which are required to be improved upon: Difference in regulatory risk weights assigned by different banks due to difference in methods used by these banks to assess risk weights. Risk weights are assigned on the basis of riskiness of securities in the past and so same weights are assigned to such securities for the future. Basel does not make adjustment for institute specific diversification and concentration. Basel III would encourage banks to find low risk weight asset with return. This would mean that banks would increase their lending to sovereign. And since sovereign default is possible, this might lead to next crisis. Bankruptcy laws should be focussed in detail. Basel III also does not deal with another regulatory problem that is banks try t o minimize their capital costs by shifting buckets of risk using Credit Default Swaps (CDS). No concentration penalty fixed.

The Nigerian Stock Market and Its Impact on the Economy

CHAPTER ONE OVERVIEW Nigeria, like many other African countries, was created from a multi-ethnic, socially and culturally diverse people, situated between the Equator and the tropic of cancer, its climate and vegetation can afford the growth of many tropical commodities such as cocoa, groundnuts, palm produce and rubber. Starting from a low technological base after political independence in 1960, the country embarked on the arduous task of building a state with one identity by integrating the different ethnicities and transforming the barter economy into financial exchange economy. The country provided infrastructure and social amenities for a very young population. Over the years, policies were pursued in order to achieve the goal of a†¦show more content†¦Fakiyesi, O.M. in his paper also said that the poor in Nigeria have limited access to savings and credit facilities, good roads, pipe borne water, innovative technology and low output markets. They are predominantly in subsistence agricult ure and in petty trading, utilising traditional input. This is why the role of the capital market as agent of growth and development is very important, thus this role has been subject of concern and has drawn comments from different fora. It is under this background this study was proposed, to further clarify the symbiotic relationship between the capital market and economic development. STATEMENT OF THE PROBLEM Economic advancement and allocation of the aggregate investment in an economy for production of goods and services are too prominent factors in our national development. The importance of capital market can be ascertained from the increasing emphasis and recognition accorded to investment as veritable instruments of development by policy makers in Nigeria and the world over. Capital mobilisation and allocation are very essential if the regular features of poor infrastructural facilities (i.e. bad roads/poor road networks, lack of electricity, water, indecent accommodation, inadequate educational institutions, lack of health centres and poorShow MoreRelatedCurrent Issues On Capital Market Essay724 Words   |  3 PagesCURRENT ISSUES ON CAPITAL MARKET The Capital market all over the globe experienced crisis which started in United States of America in 2007 following the collapse of subprime mortgage. The bankruptcy of Lehman Brothers in September 2008, which led to the collapse of the US capital market that later trickled to other part of the world with large organization asking for bailout and also economies requesting for same from other economies or regional unions. The Nigerian Capital market was not exempted inRead MoreImpact of Industrial Development on Nigeria Stock Market1457 Words   |  6 PagesImpact of Industrial development on Nigeria stock market. 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Differences and Similarities in the Arguments for...

Lorena Burgess RHE 309S October 28th, 2011 Differences and Similarities in the Arguments for Legalizing Marijuana The legalization of marijuana has become a mainstream issue that the nation has become highly concerned about in recent years. Lately more and more conservative opposers have begun to change their minds, realizing the benefits of marijuana. Debate followers go as far as saying that it is no longer a question of if marijuana will be legalized, but when. The shift in viewpoints is due to the increasing awareness of some of the positive effects legalizing marijuana could have on the country. Pro-legalization advocates argue that the benefits of legalizing marijuana greatly outnumber the benefits of keeping it illegal.†¦show more content†¦They know their audience is anti-legalization, so they want to make sure that the readers know, before they choose a stance, they’ve been lied to. This makes the authors seem like more trustworthy and rational choice. By using the Constitution to back up their arguments, there is no real way to justify anti-legalization. Assumptions will be made that you’re anti-Constitution, and in turn, anti-American. Another similarity between Cartwright’s stance and other arguments for marijuana legalization is the huge emphasis on the effects it will have on the economy. In the article â€Å"Up In Smoke,† Kelley Beaucar Vlahos describes the economic benefits of legalization, while giving real number estimates of how much revenue could be brought in or saved. She writes, â€Å"Proponents of Prop 19 claimed taxes on legalized cannabis could bring upwards of $1.4 billion into beleaguered state coffers† (Vlahos 18). Cartwright does this in his article as well, stating that â€Å"In America, we spend nearly $8 billion trying to enforce the laws prohibiting the use and possesson of marijuana† (Cartwright 86). Cartwright further supports this argument by providing more proof of the waste of taxpayers’ dollars, stating that â€Å"in Texas, 97 percent of all marijuana arrests are for simple possession--an ounce or less--at a cost to taxpayers of $480 million a year† (86). Cartwright chooses to provide the reader with these statistics for deliberate reasons: it provides aShow MoreRelatedShould Hemp Be Legalize The Planting Of Hemp?1503 Words   |  7 Pagesmentally. He states, â€Å"Flower buds of marijuana plants typically contain 5% to 25% of THC by dry weight, Levine said. By contrast, the hemp harvested to make foods and other products has buds with 0.3% THC content†¦ with sufficiently low THC levels that they produce no psychoactive effect in humans, manufacturers say. ‘No one s getting high on this stuff’†¦Ã¢â‚¬ (Carey). Carey’s argument is based on the idea that people tend to believe hemp is same as the addictive drug—marijuana. Statistically, this quote clearlyRead MoreShould Marijuana Be Legal?1820 Words   |  8 Pagesuse is checked in screening processes by many employers and forbidden among our youth since children and young adults are more vulnerable to misuse. With the legalization of marijuana all parents should be concerned as what was once an illegal drug is now easily accessible to youth of all ages. The chances of exposure to marijuana and all its strains among teens is almost certain and it is up to parents to protect their children from a newfound threat. A major debate revolves around the medical aspectRead MoreMODR 17608087 Words   |  33 Pagesfacts and spin them to your advantage not in a way that accurately reflects the truth. Or to spin them reversely to oppose your opponent. To raise emotions, prejudice, and ignorance in poorer and less-educated. Lecture 3: In order to have an argument we need two related claims. One claim supports the other. The supporter claim is premise. The supported is the conclusion. The process is inference. A claim is a statement that can be true or false. - Questions are not claims. Unless they’re

The Two Best Job Searching Methods Free Essays

There is no doubt that people who want to have a good life dream of a good job. Although it may seem us easy to find a job, people have to struggle so much for having a good job because of great competition about accept top position even average positions. There are various ways to find a job such as internet, direct application, newspapers, using connections or friends, networking. We will write a custom essay sample on The Two Best Job Searching Methods or any similar topic only for you Order Now In my opinion internet and networking are the two most of effective ways a finding a job. Internet is a constitution that is infinitely useful and serviceable when it used effective and correctly. Internet is a wide network what spans the world. It contains a lot of recruitment agencies, cooperation websites, association sites, newsletters and freelance job options and in the present day access to internet very easily. This also provides an opportunity to become an impressive job searching. Based on The Conference Board report , newspapers and online ads are used by 70% of all job seekers for recruitment (2006)p1. It was established a lot of websites in order to bring together job searchers with employers such as secretcv. com, kariyer. net, yenibiris. com, monster. com. All over the world engagement agencies are accepted by companies and employers. Nowadays, most of company advertise only this websites, and choose their workers by means of who appealed this websites with their CV. Especially large companies are not permit direct application for many positions. Another effective job searching method is networking. Communication and relations compose the basis of the network because many jobs are never advertised. Networking also comprises not only business networking websites but also friendships, exhibitions, shows, seminars, training. Firstly, let’s consider business networking websites such as linekedin. com, bni. com. Their aim is create a platform where professionals from all kinds of different industries can meet up, find jobs, new assignments, cooperation partners, experts and generate business ideas. With more people getting online now, business networking sites are attracting a great deal of attention for their role in bolstering professional relationships and facilitating new connections. Secondly, some companies organize seminars thus they explain about their business and accept graduated or students who suitable in order to their business. In this way more and more people are employed. According to Goodman, networking is the leader of job searching because it is on the success of 50% regarded in generally (2009)p2. I believe that networking is a giant world in its own right. How to cite The Two Best Job Searching Methods, Essay examples

Patent Protection of Software and Hardware

Question: Discuss about thePatent Protection of Software and Hardware. Answer: Introduction Patent refers to the form of protection that is granted to an individual or a group with the exclusive rights for a particular product or a commodity on the making, selling or using the same. Any activity that is executed on the product without the consent of the patent owner may result in legal penalties and punishments. Computer software and hardware are the categories that are exposed to a number of risks and threats and a major portion of the same are associated with patent infringements. The report covers the necessity of patent protection on these categories of products along with jurisdiction and a few examples of law suits as well. Patent Protection of Software and Hardware Patent protection is a form of legal protection that is provided to the product owner and provides them with the exclusive rights in the using, selling, copying and making of the product (McNamara, 2016). There are a number of steps that are involved in the process of patenting software or hardware. The patent rules and guidelines are different in different countries. However, the series of steps that are described below are followed in every country for availing patent protection on the software and hardware products. Patent Eligibility: It must be ascertain the software or hardware for which the patent needs to be filed is original in all forms. The idea, built, components and all the associated details regarding the product must be original and not copies from anywhere. A prior art search must be done from the owners end and a series of verifications and validations are done by the patent body to mark the patent being filed as eligible. The description of the product along with an abstract covering the product brief must also be submitted to the patent body once the patent being filed is found to be eligible. The description must include the product category, product name, list of owners, purpose of the product and the major features that the product will perform. The abstract must cover the reason which is present behind the application of the patent for the product (Quinn, 2016). An application must then be submitted to the patent body which is usually regulated by the federal government and a filing fee is also charged from the applicant. The application would require the basic details of the applicant along with the design of the product, product description and abstract. The oath would also be required by the applicant that will be the product inventor to confirm the authenticity and originality of the product that may be either software or hardware. It will also provide the patent body to investigate and seek the inventor for further information. A considerable time period will then be required to approve and confirm the patent that has been filed. The applicant may make the queries or inquiries regarding the final date and the status of the patent that will be informed to the same in a timely manner (Carnes, 2016). Jurisdiction Patent Protection for Software and Hardware There are a number of laws and legal policies that have been defined against the patent protection on the product categories specific to the software and hardware. The prime requirements that United States look for in the software or hardware to be patented are the novelty, utility and the non-obviousness and it must be filed in a period of 12 months starting with the invention of the same. European Union requirements for the patent protection of software and hardware is a mirror to the ones listed for United States and asks for industrial applicability, novelty and inventive step behind the for the same. The invention must be of technical nature in order to be eligible for patents. There have been many revisions done on the patent policy towards software and hardware in Japan. The term that is required for requesting examination is three years in Japan and would mark a product to be eligible for patent if it is crated with the ability of being industrially applicable. The patent policy in China is not very restricted and looks for novelty in the products that are sent for the patent application. Comparison Chart A comparison chart is shown above to understand the patent policies and jurisdiction that exists in different countries regarding the patent protection of software and hardware. United States is the only exception that follows a first-to-invent system whereas all the others believe in the first to file patent policy. The process of application also varies from country to country and the level of restriction also differs. United States is the least restrictive when it comes to the patent protection of software and business methods followed by Japan and then European Union. China does not consider business methods to be patentable (Chaleck et al., 2016). Example of Law Suits There have been a number of cases of patent infringement on the product categories as software and hardware that have been filed in the past. One of the examples of such a law suit is the patent trial that continued between the two IT giants as Apple and Samsung. The case started when Apple had filed a suit against Samsung in April, 2011 and accused its rival organization of copying some of the essential features and application that were invented by it which resulted in the decrease of the market shares occupied by iPhones and iPads. List of Patents that were filed by Apple and Samsung was accused of the infringement of the same List of Patents that were filed by Samsung and Apple was accused of the infringement of the same Quick Links Universal Search Background Syncing Slide to Unlock Automatic Word Correction Camera and folder organization Video Transmission There were a number of demands from both sides in terms of compensation and penalties on the infringement of the patents. As per the final verdict, quick links and automatic word correction were the patents that were found to be infringed by all the Samsung devices whereas none of it was convicted of the infringement of universal search and background syncing. The slide to unlock was found to be infringed in some of the devices and was absent from the others. Apple was found to have infringed the camera and folder organization patent is all of its devices whereas a few of them had the feature of video transmission as well. Both the companies were found to be guilty of the accusations that were imposed and were ordered to compensate for the losses that occurred as a result. Samsung was asked to pay $119.6 million to Apple and Apple had to pay $158,400 to Samsung. There was also involvement of Google in the case as Samsung has reported these features to be a part of Android operating system implemented in its devices which was created by Google. However, that did not change the verdict that was given by the jury. Need of Patent Protection for Software and Hardware Technology has expanded itself over all the sectors that are present and a major transformation has been done in the field of computer software and hardware. There are a number of cases of patent infringement that are seen in this sector and it is necessary to protect the patented assets from the infringement cases. The primary reason behind the patent protection for software and hardware is the restriction that it puts on the illegal usage of these products without the consent from the patent owner. There are numerous cases wherein a replica of a web application or a web site is created and the makers of such applications attract the traffic of the original application towards them. These activities are also done with the objective of fraud or theft by the means of impersonation. Patent protection aids in the prevention of such activities and in case the criminals are detected and convicted, then considerable legal penalties and punishments are also imposed on them. It provides the owners with the rights to prevent their creation from being copied or used illegally (Tysver, 2016). Conclusion Patent protection for software and hardware is a significant step towards the protection of novelty and originality associated with every invention of both of these product categories. The rules and laws that guard the patent processes must be very applicable and strict to make sure that the cases of infringement are reduced and the profits for the original inventor of the products are not impacted negatively in any manner. There are laws that are created by countries that vary from one country to the other and must be followed by the users as well as the product creators to prevent the violation and illegal usage of the same. References Carnes, D. (2016). How to File a Software Patent. [online] Info.legalzoom.com. Available at: https://info.legalzoom.com/file-software-patent-20377.html [Accessed 27 Sep. 2016]. Chaleck, J., Gupta, A., Kong, D., Li, J. and Lin, J. (2016). Applicability of Patent Protection to Software Inventions. [online] Available at: https://courses.cs.washington.edu/courses/csep590/04au/clearedprojects/Chalecki.pdf [Accessed 27 Sep. 2016]. McNamara, B. (2016). Patent and Copyright Protection for Computer Hardware and Software. [online] Foley.com. Available at: https://www.foley.com/patent-and-copyright-protection-for-computer-hardware-and-software/ [Accessed 27 Sep. 2016]. Quinn, G. (2016). A Guide to Patenting Software: Getting Started. [online] Ipwatchdog.com. Available at: https://www.ipwatchdog.com/2013/02/16/a-guide-to-patenting-software-getting-started/id=35629/ [Accessed 27 Sep. 2016]. Tibken, S. (2014). Apple v. Samsung patent trial recap: How it all turned out (FAQ). [online] CNET. Available at: https://www.cnet.com/au/news/apple-v-samsung-patent-trial-recap-how-it-all-turned-out-faq/ [Accessed 27 Sep. 2016]. Tysver, D. (2016). Why Protect Software Through Patents (BitLaw). [online] Bitlaw.com. Available at: https://www.bitlaw.com/software-patent/why-patent.html [Accessed 27 Sep. 2016].