Second Issue of January 2012 of Dreams & Money

25 JANUARY 2012

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FORTNIGHTLYPAGES Dream Issue8 1 17

Investing For Success in 2012

Confused about different types of RRSPs and wondering what to choose?

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INSIDE

STORY TIME

GTA Real EstateMarket Watch

Your Home Dreams Fulfiller

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Market Review

Top 10 Stress Management Tips For Leaders

he Bank of Canada (BoC) left its overnight rate unchanged at T

1.00% in Jan 2012. This is a record 11th straight time since September 2010. The BoC’s latest report said that “several significant upside and down risks are present” and that “the outlook for the global economy has deteriorated and uncertainty has increased”.

The bank has warned that the international economic outlook has deteriorated in recent months, in large part because of the continuing European sovereign debt crisis. The bank estimates that the ongoing European fiscal woes have so far cost Canada $10 billion in lost output.

As a result, the central bank's fore-casts for economic growth in Canada in 2012 and 2013 have been scaled back. That means the bank's ultra-low interest-rate policy is unlikely to change anytime soon. The Bank of Canada's gloomy assessment was echoed by the World Bank, which cut its own global economic growth estimates sharply. The World Bank says risk of a worldwide recession is considered equal to or greater than that of 2008.

Federal Finance Minister Jim Flaherty announced recently that Ottawa is fully prepared to intervene and stiffen mortgage requirements yet again if continued low interest rates produce a housing bubble.

Toronto's housing market is also unaffordable, but better than Vancouver.

The poll covered 325 metropolitan ccording to the Eighth Annual markets around the world and measured Demographia International Athem using something called the Housing Affordability Survey, Canada “median multiple,” which is the median ranked third, behind the United States house price divided by gross annual and Ireland.median household income.However, Vancouver is the world’s

The markets surveyed were second-least affordable major city to Australia, Canada, China buy a house, according to the survey.

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>>CONT. PG.2

Vancouver Is Not Affordable; Is Better Than :Toronto Vancouver

Housing Survey

Consumer prices rose 2.3% in the 12 months to December, following a 2.9% increase in November. The 0.6 percent-age point difference was led by a slower increase in gasoline prices as well as declines for the purchase of passenger vehicles. A slower year-over-year increase for food was also a factor.

“The upcoming federal budget was 10.6 per cent in 2011, and a sky-

should be focused on investing in job high 19.7 per cent for young workers,

creation, not expanding spending cuts,” far above where we were at in 2008. TD

says Andrew Jackson, Chief Economist; Economics forecasts that the unemploy-

National Director, Canadian Labour ment rate will rise to 7.7 per cent by the

Congress.end of this year.

In the last three months of 2011, the Canada’s public finances are in good

national unemployment rate rose from shape. Canada has one of the lowest net

7.1 per cent to 7.5 per cent as our public debt levels of the advanced

economy lost 63,000 full-time jobs.industrial countries (34 per cent of GDP

The “real” unemployment rate – compared to an average of 63 per cent, which includes discouraged job seekers as of 2011), and government borrowing and involuntarily part-time workers – costs are at an all-time record low.

Canada’s Economic Recovery

Your car may be hotter than you 3. 2000 Honda Civic SiR 2-doorthink: IBC releases annual list of top 10 4. 2006 Ford F350 Pickup Truck 4WDstolen vehicles 5. 2002 Cadillac Escalade EXT 4-door

This year there is a new hot target for AWD thieves – the 2009 Toyota Venza. It 6. 2006 Chevrolet TrailBlazer SS replaces the 2000 Honda Civic SiR, 4-door 4WDwhich was last year’s number one stolen

7. 2007 Ford F350 Pickup Truck vehicle. 4WD

The top 10 most frequently stolen 8. 2001 Pontiac Aztek 4-door vehicles in Canada are:AWD

1. 2009 Toyota Venza 4-door9. 1998 Acura Integra 2-door

2. 1999 Honda Civic SiR 2-door

No Change In Interest Rates

CONSUMER PRICE INDEX DECLINES

10. 1999 Acura Integra 2-door

When repairing a vehicle that has been damaged, consumers should be careful that they are dealing with a reputable repair shop. An insurance

company can recommend a reputable shop. While auto theft is a big business, the numbers are dropping; however, concerns linger. Said Rick Dubin, Vice-President, Investigative Services, IBC. “The good news is that statistics show that in 2010, the number of stolen vehicles in Canada (approximately 93,000) was down 15% from 2009. The bad news is that recovery rates for stolen vehicles are continuing to decline. That supports the notion of the involvement of organized crime. “ Dubin added that ”legislation, such as Bill S-9 (Tackling Auto Theft and Property Crime Act), increases the risk of serious penalties for those involved in auto theft and any property obtained by crime. Vigilance and public awareness are also important in the battle.” Dubin also pointed out, “We must all work together – law enforcement, governments, insurers and, yes, drivers – to put car thieves out of business.”

Top 10 Cars - 2011 Most Stolen

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Free Market Evaluation

2

25 JANUARY 2011 MONEYDREAMS &

tocks were all over the place last year, but finished close to the S looking a lot more attractive relative to starting point. Should we expect more of

the outlook for the other major devel-the same? oped economies.

Or, as some doomsayers never tire of Importantly, this is plenty of growth reminding us, should we get ready for

for the corporate sector to sustain its that day-of-reckoning stemming from profitability momentum. With the problems in Europe and fiscal imbal-fourth quarter earnings season just ances in the U.S? getting into high gear, it is expected to

I don't buy into those scenarios. In show a lower growth rate than what we fact, I firmly believe that we entered have become accustomed to in the last 2012 in much better shape than in the two-plus years. But that shouldn't be last several years. Don't let the endless much of a worry given where we are in harangues from doomsayers about Europe and China scare you away from the stock market.

I am not brushing the problems under the rug; Europe's debt problems and questions about China's growth are real and remain a concern. But there are reasons to believe that we will have a lot more clarity on these issues in the coming months than was the case last year.

I am not someone who always sees the glass half-full. My sunny outlook for 2012 has a sound fundamental basis, which I want to share with you here. Suffice it to say, I see a lot better performance this year than what we saw in 2011.

the earnings cycle. With margins effectively at peak levels and top-line Many of the issues that kept the gains getting hard to come by due to the market in check last year are still with us relatively softer global economic and will likely remain so through at least backdrop, growth rates were bound to the first few months of the year. But I come down. And they have. expect visibility to improve going

Using different valuation metrics, I forward, driving most of the gains for arrive at stocks generating gains in 2012. excess of +10% from current levels this Recessionary worries about the U.S. year. But I am not looking for a nice have eased, with the economy expected straight up move in 2012. In fact, I to grow a little over 2% in 2012. It is envision two distinct phases in the stock hard to get excited over that level of market this year, with each requiring its growth. But a 2% growth pace starts own set of investment strategies.

What Will 2012 Bring?

Economic forecasting is both art and science. The scientific aspect of looking into the economic future is based, in part, upon several government and private sector databases and analyzing what they mean. Predictive databases would include leading economic indicators, purchasing managers index, the consumer confidence index and projected interest rates.

The artistry in predicting the economic future draws on the experi-ence, knowledge and analytic ability of the forecaster in calculating the impact of the unquantifiable and unpredictable on the economy. These would include wars, famines, natural disasters, inflation, deflation, defaults, economic bubbles, changes in taxes, regime changes, revolutions and similarly unforeseen events with the power to influence an economy – regional, national or global.

Commodity prices such as staples, metals and the all-important energy sector, principally coal and oil, also impact the economy. Prices for com-modities fluctuate, sometimes wildly, mainly in accord with supply and demand. However, the unpredictable may also influence prices.

With the above factors in mind, here's what economic forecasters are predicting for 2012.

Many economists, although not all of them agree, predict the United States' economic growth to be 2%, or slightly below that, for the first half of 2012; growth from 2 to 2.5% is expected for the second half of the year. Other more optimistic economists have forecasted a more robust economy, growing at about 3% annually.

Among the leading sectors in the modest economic upturn will be the automotive industry, which registered a robust upturn in fourth quarter sales for 2011, and a continuation of the residen-tial construction comeback. Housing prices for existing homes in the resale

Key Sectors forEconomic Growth

Investing Success 2012 For in By SherazMian

market, however, may continue to decline, although in some locations housing prices are on the upturn.

Further spurring economic growth, although not too vigorously, will be the manufacturing and industrial produc-tion sectors. Forecasters warn, however, not to expect a major increase in hiring, and unemployment numbers will probably remain at around 9% for the year. Other economists are predicting unemployment to be under 9%. Productive sectors will include durables and high-tech, which are not labor intensive and will not require an increase in production jobs in 2012.

Major banks now have very strict or no-lending policies and are not making loans to start-ups, and established small and medium businesses. Without capital for expansion, marketing, inventory, modernization and other purposes, growth will most likely remain flat for firms in need of cash.

With oil prices continuing to be high - as of early January 2012, at or above $100 a barrel - profit margins may stay thin for industries dependent on this energy source.

If the ongoing European debt crisis continues or gets worse, there's a likelihood of Greek, Spanish and Italian defaults or a radical debt restructuring of their debt. The problems in Europe can also have a ripple effect in the U.S., and domestic banks could be impacted negatively.

An extension of the payroll tax cut should help the economy and increased consumer confidence, as of the end of 2011, will also promote growth if it continues through the year.

By late January, the Federal Reserve is expected to publish interest rate predictions by its senior officials, as a means of promoting economic growth by alerting potential investors on what to expect. The plan is expected to reduce borrowing costs for businesses and credit consumers by forecasting that the Fed expects to hold interest rates a notch above zero, where they've lingered for about the past three years.

Finally, the Dow Jones Industrial Average is expected to increase some 6 to 7%, although it closed at the end of 2011 near its open at the beginning of the year.

Smart, experienced analysts may be adept at economic forecasting, but nobody can see the future. So the economy, like most everything else in an uncertain world, is subject to the unpredictable. Investors are cautioned, therefore, as always, to diversify.

External Influences

The Bottom Line

An For Economic Outlook 2012

By Marc Davis

Vancouver is not affordable;...From Pg.1(Hong Kong), Ireland, United Kingdom and the United States. You can see the Canadian housing affordability rankings in 325 international

markets:(Ranking, city, median multiple, median house

price, median household income)324. Vancouver; 10.6; $678,500; $63,800313. Abbotsford; 7.0; $443,700; $63,000309. Victoria; 6.8; $417,300; $61,600303. Kelowna; 6.6; $385,100; $58,100276. Toronto; 5.5; $406,400; $73,600255. Montreal; 5.1; $281,700; $54,700221. Hamilton; 4.2; $292,700; $69,000208. Sherbrooke; 4.0; $192,200; $48,200208. Saskatoon; 4.0; $274,700; $68,300206. Calgary; 3.9; $353,700; $91,400There were no affordable markets in Australia,

New Zealand or the United Kingdom.The report said the world’s least affordable

markets all had something in common – “each of the least affordable markets were characterized by more restrictive land-use regulations, which materially increases

the price of land and makes housing less affordable.”

The most affordable major market in the world was Detroit, with a multiple of 1.4 ($66,500/$48,700).

Windsor was the most affordable

Canadian city of any size, with a ratio of 2.2 ($149,900/ $67,900).

3

25 JANUARY 2012MONEYDREAMS &

one spouse has a significantly higher birth, and the total income you retirement income than the other. reported on line 150 of your 2010

return: so keep those information ŸYou can carry forward indefinitely readyunused RRSP contribution room.

ŸThere's no minimum age to set up ŸTo know your RRSP contribution an RRSProom, just check the Notice of

Assessment you received from the ŸYou can continue to contribute to Canada Revenue Agency last year, an RRSP until the end of the year in or phone the tax department's which you turn 71, provided you T.I.P.S. line at 1-800-267-6999 still have earned income (or the

end of the year in which your ŸCRA representative will ask you to spouse turns 71 in the case of provide your social insurance spousal plans).number, your month and year of

Then here's an explanation. stocks. You can even invest in your own mortgage.

Individual RRSP —Account is You can even just stick your cash in registered in the name of the (individ-

an interest-bearing account while you ual) contributor.figure out what to do.

Self-directed RRSP —If you are a Group RRSP — These are set up at do-it-yourself investor, then go for self-

work. The employee and/or the directed plan. It can hold a wide range of employer contribute money to individ-investments together in one plan. ual RRSP accounts. Contributions are Annual trustee fees of up to $150 are deducted from pay cheques so the tax often waived for those with at least savings are immediate. Investment $25,000 in plan assets, but transaction choices may be limited.costs are the holder's responsibility.

Spousal RRSP — With spousal With a self-directed RRSP, you can RRSPs, the higher-income spouse put money into a wide variety of makes a contribution to the other investments — all inside a single plan.spouse's RRSP. The contributor gets the

These can include guaranteed tax deduction, but the money is now

investment certificates (GICs), mutual owned by the other spouse. So when the

funds, government and corporate bonds, money is withdrawn from the spousal

exchange-traded funds (which can track RRSP, it's taxed at the lower-income

market benchmarks like the S&P/TSX spouse's rate. This is a form of income-

60 composite index), mortgage-backed splitting that is especially useful when

securities, gold and silver bullion and

Confused RRSPs choose? about different types of and wondering what to

This is a true story of Corbin Joseph, Jan Vrem says the story fell apart who received a big payout from the when the corporation's investigators Insurance Corp. of B.C., after commit- discovered Joseph confessed online to ting a fraud rolling his truck after drinking at a new

Year's Eve party and getting a chunk of Mark Jan Vrem, spokesman for insurance money.ICBC, says Joseph’s troubles began

when he rolled his truck on a rural road His friends admitted Joseph drove to when he was prohibited from driving. and from the party and had put the truck

in a ditch twice that night.But in order to collect insurance on his vehicle, which was a total loss, he Corbin Joseph has been fined $2,000 convinced a friend to tell ICBC that she and ordered to pay more than $18,000 in was the driver. restitution in connection with his claim.

Fraudsters Beware: Detection Will Not Take Time

4


“REAL ESTATE AGENT ≠ FINANCIAL ADVISOR”“REAL ESTATE AGENT ≠ FINANCIAL ADVISOR”

PERRII.

PERRII

PERRII’s

PERRII @ 416 473 6100 / 647 352 4945

[email protected]


www.perrii.com

This is what Elizabeth Newlin, a US based Real Estate Sale Representative says when talking about the present housing crisis in the

USA (Please see below for Her Story) What if someone who is a Financial Advisor IS ALSO a Real Estate Sale Representative.

Here's one such person :

ŸGathering your information.

ŸRecommending what is achievable & alternatives, if required.

ŸImplementing personalized strategies tailored to your dreams and goals.

For a free consultation

call

email :

visit websites :

With many years of experience in Real Estate and Financial Advisory Services, can help you effectively in taking quality

financial decisions and buying a right home or selling your home for top dollars.

2 in 1 process includes

You also have a choice to avail Perrii's services for

buying and selling your home

without using his skills as a Financial Advisor.

PERRII MUTHURAMAN MBA PFP CCPPERRII MUTHURAMAN MBA PFP CCPSales Representative

Your Home Dreams Fulfiller

Direct 416 473 6100 Office 416 298 8383Direct 416 473 6100 Office 416 298 [email protected]

www.perrii.com | www.dreamsandmoney.com MONEYDREAMS &

INNOVATIVE REALTY INC.Brokerage*

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True Story of Elizabeth Newlin, a US based Real Estate Sales Representative

As your real estate agent, here's what I know:

Here's what I don't know:

ŸWhat your debts are

ŸHow high your tolerance for debt-risk is(source: http://realestatetangent.com/real-estate-agent- ŸWhether you've been squirreling away cash for %E2%89%A0-financial-advisor/) 7 years or living month-to-month

“I've had several encounters with various forms Everything else about your financial status I of media discussing or requesting more info from the would need to make a qualified judgment about what general public on the topic of real estate agents you can and cannot 'afford'encouraging or persuading buyers to purchase homes

My point is that, yes, I had clients who bought in that were 'more than you could afford'.……………2005, 2006 and 2007 who couldn't keep their

To begin with, home sellers were just as greedy as homes............ Don't you think that if I had some their agents. Yes, we were thrilled with our jacked up magic 8 ball knowledge about the collapse of the commissions, but did you turn down the $100K you made on your house from when you bought it in 2002 till when you sold it in 2005? Because that's more than I made in 2005 and 2006 together in commissions; I'm just saying. And now that you put it down on your house you bought in 2005, which is worth 60% of what you bought it for, you're angry and disappointed that you 'lost' that inflated equity. That's clearly also my fault. And secondly, I really a lot need everyone to understand this one thing: YOUR REAL ESTATE AGENT HAS NO IDEA WHAT YOU CAN AND CANNOT 'AFFORD'. I'm sorry. That was screamy and poorly written. I couldn't help it.

national housing market I would have warned the I seriously cannot deal with the concept out in the people I love about the upcoming disaster, instead of

public that a real estate agent has any clue whatsoever watching them walk into it totally unprotected while what his client can afford. gathering my comparatively paltry commission

checks?...........

So next time you hear someone blaming the real ŸWhat you tell me your price range isestate professionals for the bubble pop out here,

ŸWhat the lender says you qualify forremember this: four out of five of my closest friends who are real estate agents have lost their homes to

ŸHow much you make foreclosure in the last two years Does that sound like we had a clue it was going to happen?.......

Thinking of Selling ... Ask for PERRII’s

FREE MARKET EVALUATIONPERRII MUTHURAMAN 416 473 6100 Sales Representative

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(subject to lenders guidelines)

Ÿ Looking to secure your capital and receive 8% fixed rate of return?(subject to risks attached to it)

Ÿ Ways to reduce your debts?

Ÿ Increase your cash flow and wealth?

Ÿ Need a financial plan for your dreams?

Ÿ Or simply, a second opinion on your investments &/or debts?

PERRII MUTHURAMAN MBA PFP CCP

Direct 416 473 6100 / 647 352 [email protected]

CONTACT

www.perrii.com


Your FinancialDreams Fulfiller

Source : TREB

0

5,000

10,000

15,000

20,000

25,000

TREB MLS® New ListingsMonthly with Three Previous Years for Comparison

2008 2009 2010 2011

0

2,000

4,000

6,000

8,000

10,000

12,000

TREB MLS® SalesMonthly with Three Previous Years for Comparison

2008 2009 2010 2011

GTA Real Estate Market Watch OPINIONS

0.000.100.200.300.400.500.600.700.800.901.001.10

TREB MLS® Sales-to-New Listings RatioMonthly with Three Previous Years for Comparison

2008 2009 2010 2011

$300,000$320,000$340,000$360,000$380,000$400,000$420,000$440,000$460,000$480,000$500,000

TREB MLS® Average Resale Home PriceMonthly with Three Previous Years for Comparison

2008 2009 2010 2011

2,000

4,000

6,000

8,000

10,000

12,000

TREB MLS® SalesMonthly Time Series with Trend Line

Actual MLS® Sales Trend (12-Month Moving Average)

2,0004,0006,0008,000

10,00012,00014,00016,00018,00020,00022,000

TREB MLS® New ListingsMonthly Time Series with Trend Line

Actual MLS® New Listings

Trend (12-Month Moving Average)

Second-Best Year on Record for Sales

175,000

225,000

275,000

325,000

375,000

425,000

475,000

525,000

TREB MLS® Average PriceMonthly Time Series with Trend Line

Actual MLS® Average Price

Trend (12-Month Moving Average)

-15%

-10%

-5%

0%

5%

10%

15%

20%

25%

0.00

0.20

0.40

0.60

0.80

1.00

1.20

Average P

rice An

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ent C

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Sale

s-to

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atio

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TREB MLS® Sales-to-New Listings Ratio Compared to Average Annual Per Cent Change in Home Price

Sales-to-New Listings Ratio

Average Price Annual Per Cent Change

25%

30%

35%

40%

45%

50%

55%

TREB Affordability Indicator Share of Average Household Income Used for Mortgage Principal and Interest, Property Taxes and Utilities on the Averaged Priced GTA Resale Home

DISCLAIMERDreams and Money takes care to present all

the information as accurately and efficiently as possible. Any advice or recommendation appearing in the paper is also part of information only. They should not be construed as an expert opinion. Please note that no representation or warranty with respect to the accuracy or the completeness of the information is given. Information always keeps changing. Hence all the information, including advice and recommendations are to be treated as of general nature only. For your speci f ic circumstances, you are always advised to consult an expert before acting on any information.

unsolicited articles are welcomeselected ones will be publishedemail : [email protected]

& community news

Copyright © 2010 Dreams and Money, Canada. All Rights Reserved.

105-2100 Ellesmere Road,Scarborough, ON, M1H 3B7

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At Dreams & Money, we want to help people lead happy lives. We want to help people reach their dreams. A lot of dreams in the world require financial awareness and proper planning to bring to fruition. To get this financial knowledge can be challenging. We realize this, and want to make this process simpler.

We will bring you financial news happening around you that impacts you, along with timeless classics on topics like financial planning, life skills, health etc. to help you grow all around to reach your dreams.

If you are someone who shares this same passion, and think you can contribute to us in any way (writing articles, spread-ing the message etc.), please let us know. We’ll be happy to hear from you.

THE MISSION

Editor-in-Chief & PublisherPerrii Muthuraman

Direct : 416 473 6100

Editor & Technical AdvisorAishwar Muthuraman

Editorial & Development Committee

V.S. Thurairajah

Karthik .M

Das Narayanasamy

Manivannan

5

25 JANUARY 2012MONEYDREAMS &

Greater Toronto REALTORS® reported 4,718 transactions through the TorontoMLS® system in December 2011. The December result capped off the second-best year on record under the current Toronto Real Estate Board (TREB) boundaries. Total sales for 2011 amounted to 89,347 – up four per cent in comparison to 2010.

“Low borrowing costs kept Buyers confident in their ability to comfortably cover their mortgage payments along with other major housing costs,” said TREB President Richard Silver. “If Buyers had not been constrained by a shortage of listings over the past 12 months, we would have been flirting with a new sales record in the Greater Toronto Area,” added Silver.

The average selling price in December was $451,436 – up four per cent compared to December 2010. For all of 2011, the average selling price was $465,412, an increase of eight per cent in comparison to the average of $431,276 in 2010.

“Months of inventory remained below the pre-recession norm in 2011. Very tight market conditions meant substantial competition between Buyers and strong upward pressure on selling prices,” said Jason Mercer, TREB's Senior Manager of Market Analysis.

“TREB's baseline forecast for 2012 is for an average price of $485,000, representing a more moderate four per cent annual rate of price growth. This baseline view is subject to a heightened degree of risk given the uncertain global economic outlook,” continued Mercer.

“The momentum in sales activity provides clear evidence that low interest rates continue to draw homebuyers to the housing market”

The GTA could stand to see the market loosen and still see price growth.

The past decade in the housing market has been an anomaly, that it won’t be repeated for a long time.

“The investment insanity model of the past decade … is over. Real estate alone cannot sustain and drive long-term economic growth.”

Housing Fades as a Means to Build Wealth.

"what people tend to forget when they talk about homes as an investment is that unlike a stock certificate a first home (one that you live in) pays you a regular tangible dividend -- a place to live -- which has a real cash value (ie.: value of rent for an equivalent place) and psychological value (ownership, stability, etc)."

That's only true if you can afford to buy the house. Most people in Vancouver and other bubble areas who have been buying houses can't afford them without enormous mortgages and spending almost all of their monthly income on the house. For those people that bring no psychological value as they are constantly worried about interest rates, property value slides and meeting their payments.

So for them, renting and saving for a down payment would have been much more sensible. And if everyone had done that there would have been no bubble.

- CREA president Gary Morse

- Senior market analyst Jason Mercer, TREB

- Adrienne Warren, a senior economist, Scotiabank

- Tsur Somerville, Director of urban economics andreal estate, The University of British Columbia

- A New York Times headline.

- A Reader

6


he slow economy has been Ttaking a toll on many Canadian entrepreneurs, creating increased stress for business owners.

In a recent BDC survey, 61% of entrepreneurs allocated a score of 7 out of 10 to their perceived stress levels, a significant jump from last year.

The survey of members of BDC's View Points online panel of entrepre-neurs found that respondents attributed their stress to a series of factors, includ-ing:

ŸDealing with financial insecurity (71%)

ŸHandling the pressure of building a business (52%)

ŸBeing the only person responsible for the business (51%)

ŸSpending a huge amount of time at work (38%)

Being aware of personal stress is an important step in managing and mitigat-ing the negative effects, says Michael Campbell, a researcher at the Center for Creative Leadership (CCL), a non-profit global provider of executive education. Once people figure out what's stressing them out, he says, they can take steps to better manage the situation.

Here are 10 stress management strategies for entrepreneurs recom-mended by experts:

such as sweating and increased heart rate. It's important to recognize these signals and get them under control. This could involve simple, deep-breathing exercises.

Rather than procrastinate, think about what is causing the emotional reaction and get a handle on it. Deal with the cause of stress right away, whether it's a phone call from an angry client or making a difficult business decision.

When you feel stress coming on, get up and do something else such as taking a brief walk or going outside. This short break can give you a different perspective on a stressful situation and at least provide short-term relief from the physical effects of stress.

Getting 30 minutes of rigorous exercise at least 3 times a week can help you reduce stress. Good eating habits such as including more fruits and vegetables in your diet can give you more energy and help you handle stress better.

1. Pay attention to your body's stress signals

2. Deal with the stress head on.

3. Take systematic breaks.

4. Adopt a healthy lifestyle.

5. Try to achieve work/life balance.

leaving them alone to do the job. Sharing the load can relieve stress.

Talking to others about business issues can help you find solutions to deal with challenges. Entrepreneurs can also network with other people in their industries to see how they are handling similar issues.

Cash flow is a major source of anxiety for entrepreneurs. Find ways to better monitor your revenues and expenses. Also, find ways to improve productivity and ultimately your company's financial health.

Give yourself time off to relax, particularly during challenging periods. For example, turn your Blackberry off when you're on a holiday. Postponing a vacation may have short-term benefits for your business but in the long run, your health could suffer and cause greater problems down the road.

Source: www.bdc.ca

8. Find people you trust and confide in them.

9. Get your financial situation under control in your business.

10. Commit to vacation time.

Although today's business environment office such as family events, hobbies can be demanding, it's crucial to take and sports. This is when you recharge time for other activities outside of the your batteries.

Offering a quality product and service d o e s n ' t m e a n obsessing about it. Know when to get a task off your desk and focus on doing you r be s t i n a competitive envi-ronment.

Accept that you can't do it all. Rather than micro-managing, pay special attention t o d e l e g a t i n g responsibility to e m p l o y e e s a n d

6. Keep perfec-tionism in check.

7. Delegate to r e d u c e y o u r workload.

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TOP TIPS FOR 10 STRESS MANAGEMENT LEADERS

1 Brush your teeth at least once a day, more if you can.

7. Protect your teeth.5. Brush for at least one minute

each time, preferably two minutes.2. Use a soft toothbrush.

8. If you have young children, take them to Dentist at age ten for a check-3. Floss your teeth daily.up.

6. Get fluoride treatments from your dentist.

9. Ask your dentist put a sealant on your children’s teeth.

10. Teach your children how to brush and floss their teeth effectively, and why it’s necessary.

4 . Avo id wh i t en ing toothpastes.

The goal is to remove bacteria and teeth, that will gradually yellow them. prevent them from multiplying and That’s because abrasive ingredients Check that your toothpaste contains spreading. They give off acid excre- remove some of the tooth enamel along fluoride, and when you go for your tions, and anything acid is destructive to with any superficial stains. This will annual or twice-a-year check-ups, ask tooth enamel. You don’t need to use allow the dentin layer to show through for a fluoride treatment at that time.toothpaste every time. Use an up-and- — the yellow layer below enamel.down motion and don’t forget to brush the backs of the teeth. Avoid using them to open beer or

soda bottles. Break any chewing habit You might consider buying a sonic you might have such as chewing on ice A brush with stiff bristles can be toothbrush, which cleans beyond where or your pen or pencil. Such habits can damaging to gum tissue and cause the the bristles touch. These brushes move gradually push teeth out of alignment gums to recede back from the teeth. That at a high speed (over 30,000 brush and damage the enamel.can weaken tooth support and start to strokes per minute). This creates

expose the tooth roots. movement in the fluids around the teeth, which dislodges plaque between teeth

Brushing cleans the front and back as well as from their exposed surfaces.They may need some orthodontic surfaces but not the sides, which are set

work to avoid a lifetime of dental closely against the neighboring teeth. problems. This would be a good age to Use dental floss which slides in and out Fluoride strengthens tooth enamel. begin that.without breaking (there are several

types to choose from, with different widths). Use an up-and-down motion, curving the floss against This vastly reduces the chance of the tooth on one side, then tooth decay.against the tooth on the other side. Use a fresh area of the floss for each location.

Start this as soon as they can prop-erly manipulate a toothbrush and dental

Any toothpaste which says floss. Before that, you can gently brush "Whitening" on the box their growing teeth each evening.c o n t a i n s a n If you follow these ten tips habitu-abrasive ingredi- ally, your dental health will be greatly ent like baking improved, and your time and cost spent soda. Far from at any dental offices greatly reduced.whitening your

Ten Tips for Excellent Dental HealthBy Dr. Coleman

7

MONEYDREAMS & 25 JANUARY 2012

Swings between and Gains Losses?

Canadian equities have enjoyed a tone.nice run to start the year with the TSX up However, positive U.S. housing data more than 3 percent as the commodities- that showed sales of previously owned heavy index has benefited from improv- homes rose to an 11-month high in ing expectations for Chinese and U.S. December, added some weight to the growth, and a move towards riskier belief the troubled sector may be equity assets. starting to recover.

Canadian financial issues initially In Canada, slower growth in gaso-responded positively to the news of line prices and lower vehicle costs resolution measures to Greece's debt helped push down the consumer price woes. index by 0.6 percent in December.

China set the negative tone early December inflation slowed to a year-on-after manufacturing data showed a year 2.3 percent, down from 2.9 percent lackluster start to the year by the world's in November.top metals consumer. Will January's rally can be sustained

Weaker earnings from tech giant in coming weeks ?Google and industrial powerhouse Analysts remain skeptical.General Electric, added to the negative

TSX Trend Jan3, 2012 to Jan 9, 2012

TSX Trend Jan 9, 2012 to Jan 24, 2012

arket started with positive note on 6th January 2012 on M year ear l ie r and eas ing f rom

encouraging European markets. Asian November's 4.2% rise. December

stocks dropped as higher borrowing growth in imports fell to 11.8%,

costs in a French bond auction stoked c o m p a r e d w i t h

concern Europe's debt crisis is deepen-previous month's

ing, overshadowing improving eco-22.1% gain. The

nomic data in the US. Market continued People's Bank of

its rally on easing euro zone debt China offered 183

worries. European markets turned billion yuan ($29

positive, encouraged by Greece's latest billion) in 14-day

negotiations with its bondholders, reverse repurchase

which boosted the banking sector. agreements. The

Asian stocks surged at the end after a capital injection, capital injection by the Chinese central coming amid tight bank into money markets and after the liquidity conditions International Monetary Fund unveiled a a h e a d o f n e x t plan to boost its lending resources. week's Lunar New Strong earnings and positive jobs data Ye a r h o l i d a y s , out of the U.S. added to hopes that the pulled short-term economic recovery in the world's largest borrowing rates economy is for real. China's inflation lower in Chinese interbank money rate eased to a 15-month low in markets. China's fourth-quarter gross December. Chinese consumer prices domestic product rose 8.9% from the rose 4.1% in December compared to a year-ago period, topping estimates.

countries to prepare for the "real" risk that an escalation in the euro area debt crisis could tip the world into a slump on a par with the global downturn in 2008-09.World Bank said Europe was probably already in recession, if the euro area debt crisis deepened, global economic forecasts would be signifi-cantly lower. The World Bank predicted world economic growth of 2.5% in 2012 and 3.1% in 2013, well below the 3.6% growth for each year projected in June.

A Greece finance ministry official told that Greece's government could forge an agreement with private creditors by the end of this week after talks resumed in Athens between Greece government and its creditors. Negotiations had collapsed last Friday over the interest rate on new bonds to be offered by Greece. Monthly data also showed better-than-

France and Spain held successful expected retail sales and industrial bond auctions, easing concerns about production in December.the debt crisis in Europe. Portugal European industrial orders increased managed to sell all of its planned less than economists estimated in issuance of 2.5 billion euros of treasury October, adding to signs of a deepening bills, while Germany's auction of two-economic slump in the region. The year bonds drew strong demand.World Bank warned developing

n India, market sentiment was five states; state elections are scheduled Isupported by steep decline in food between the end of January and early inflation in late December 2011 and first March. The Reserve Bank of India is week of January 2012, which under- widely expected to keep its key lending pinned hopes that the central bank will rate steady at the third Quarter Review start cutting interest rates in the coming of Monetary Policy 2011-12 to be held months to prop up slowing economy. A on 24 January 2012, as headline stronger-than-expected growth in inflation remains high.industrial production in November 2011 Decisions taken by EU members also strengthened investors' sentiment, would be watched for trend of global which also raised doubts about the market. Finance ministers from the timing and pace at which the Reserve EU's 27 members will meet on 23 Bank of India would likely ease its January 2012 before their leaders hold a monetary policy. summit a week later. They will be under

The market sentiment was also intense pressure to find a definitive boosted by media reports that state solution to the crisis which threatens the governments in India have given their very survival of the single currency, 10 in-principle approval to a proposed years after it came into circulation. national goods and service tax (GST), Meanwhile, the International Monetary raising hopes that the ambitious tax Fund said it is proposing to raise its reform could be included in the upcom- lending capacity by as much as $500 ing budget. IT stocks leading the decline billion to safeguard the global economy. after IT bellwether Infosys issued a The Chinese markets are closed for the muted outlook for fourth quarter ending whole of next week, while Hong Kong March 2012 at the time of announcing bourses are shut from 23 January 2012to third quarter results on 12 January 2012. 25 January 2012, for Lunar New Year However, market recovered on positive holidays.global cues on receding euro zone debt Market may trade with high volatil-worries and strong results posted by ity as traders roll over position in F&O Indian corporate. segment from near month January 2012

contract to next month contract as this month contract expires on 25th January Third quarter results to be declared 2012. Indian stock market remains by corporate in forthcoming weeks will closed on Thursday, 26 January 2012, dictate the trend of Indian market. on account of Republic Day. Corporate may post weak results due to

lower volume growth in a slowing We study the prospects of clients and economy, higher raw material cost and understand their financial goal / need, higher interest charges. The focus will accordingly we design the portfolio. be on guidance from the company Tailor made portfolio can also be made managements on outlook for the and monitored on continuous basis. We remaining part of the year and for the also provide real time training to create next year. Stronger-than-expected people handling their portfolio inde-growth in industrial production in pendently and becoming a successful November 2011 has raised doubts about investor.the timing and pace at which the More details send email to

orReserve Bank of India would likely ease call or visit its monetary policy. The budget for the

year 2012-13 ending March will be presented after elections scheduled in

Market outlook

[email protected]

www.indiafinancebazaar.com www.ifmaonline.com

M.Shekar

World Market Review 6.1.2012 20.1.2012 from to

Indian Market Review 6.1.2012 20.1.2012 from to

Source : Yahoo Finance

8

25 JANUARY 2012 MONEYDREAMS & STORY TIMEadvice and now Birbal stepped forward in the man’s defense. "Your Majesty," he said, "there could be no person more loyal to you than this unfortunate man. Fearing that people would say you hanged him for a trifle, he has gone out of his way to give you a genuine reason for hanging him." The emperor, realiz-ing that he had been about to do a great injustice, set the man free.

Birbal was missing. He and the emperor had a quarrel and Birbal had stormed out of the palace vowing never said the soldiers. "Yes," said Rama. to return. Now Akbar missed him and "Once while travelling I chanced upon a wanted him back but no one knew where large tent. I entered and there, lying on a he was. Then the emperor had a brain- mat was the largest man I had ever seen. wave. He offered a reward of 1000 gold I recognised him at once as a dreaded

dacoit who had been terrorising that part of the country for years!" "What did you do?" asked the soldiers, their interest now fully aroused. "I cut off his toe and ran for dear life," said Rama. "His toe?" said a soldier. "Why toe? You should have cut off his head while you had the chance!" "Somebody had already done that," said Rama, grinning.

A king sent a message to the ruler of a neighbouring country. The message read: "Send me a blue diamond as large

coins to any man who could come to the palace observing the following condi-tion. The man had to walk in the sun without an umbrella but he had to be in the shade at the same time. "Impossi-ble," said the people. Then a villager came carrying a string cot over his head and claimed the prize. "I've walked in the sun but at the same time I was in the shade of the strings of the cot," he said. It was a brilliant solution. On interroga-tion the villager confessed that the idea had been suggested to him by a man living with him. "It could only be Birbal!" said the emperor, delighted. Sure enough it was Birbal and he and the emperor had a joyous reunion.

Once while travelling, Tenali Rama found himself in the company of a group of soldiers. They were all veterans of war and soon they got to talking about

as a pigeon's egg or else..." The king on their experiences on the battlefield. One

getting the message wrote back: "We old soldier told of the time he had single-

don't have such a diamond and if we handedly slain seven enemy soldiers.

had..." The first king got very angry and Another gave a detailed description of

declared war on his neighbour. The the manner in which he had held an

fighting went on for several months till a entire enemy battalion at bay. When

third king arranged a meeting between they had finished they looked conde-

the two warring rulers. So they met and scendingly at Rama. "I don't suppose

the first king said to the other: "What did you have any adventure worth telling,"

you mean when you said, 'Send me a said one of the grizzled warriors. "Oh,

blue diamond as large as a pigeon's egg but I have," said Rama "You have?!"

or else...'?" "Why," he replied, "I meant a blue diamond as large as a pigeon's egg or else... some other diamond. I love diamonds. But what did you mean when you said, 'We don't have such a diamond and if we had-'?" "It is easy to guess my meaning," said the other man. "What I wanted to say was, if we had such a diamond we would have gladly sent it to you." The Kings pledged to write more clearly in future communications and embraced and made peace.

Source: www.ilikemyschool.com

BIRBAL BETRAYS HIMSELF

WAR OF WORDS

AROUND THE CAMP-FIRE

THE MAN WHO LOVED BREAD

OLD AGE

FIVE MEN IN A CARTTHE LOYAL GARDENER

you can rest assured that we will never disobey you. You told us not pick up anything that was not mentioned in your list and we will not do so." "Give me the list!" yelled Guru Gampar. They threw him the list and the pen and the guru hastily scrawled his name on it. Then and then only did the obedient disciples

A man eating in a restaurant called pull their beloved guru out of the ditch the waiter and complained that he had and put him back into the cart!been given only one loaf with his meat dish. "I like lots of bread," said the man. "Remember that next time." The next time he came the waiter served him three loaves. "This is better than the last time," said the man. "But I would have liked more bread." The next time he came the waiter served him five loaves but sill the man seemed unhappy. Later the waiter told the cook about the man. The cook said he would see to it that the

An elderly man went to a doctor with man was fully satisfied the next time he multiple complaints. "I see spots before came. Two days later the man came my eyes," he said. "It's due to old age," again. The waiter alerted the cook who said the doctor. "No food agrees with alerted the bakery with whom he had me," said the man. "That too is due to old placed an order for a loaf 2ft wide, 3ft age," said the doctor. "The digestive thick and 6ft long. The bakery delivered system becomes weaker as we grow the loaf to the restaurant, and the cook older." "My back is giving trouble," and the waiter triumphantly carried the persisted the man. "Sometimes the pain loaf to the customer. The customer becomes unbearable." "Old age," said stared at the loaf in disbelief. "This is the the doctor. This was too much for the last time I'm coming here!" he man. "Why do you go on saying 'old announced getting up angrily from his age, old age'," he screamed. "If you chair and throwing his napkin on the cannot cure me, say so. I'll go else-table. "I keep telling you I want more where." "See how easily you lost you bread and here you are once again temper," said the doctor. "That is serving me just one loaf!"another characteristic of old age.

One day the Emperor Akbar stumbled on a rock in his garden. He was in a foul mood that day and the accident made him so angry that he ordered the gardener’s arrest and execution. The next day when the gardener was asked what his last wish

Guru Gampar had told his four disciples that they were never to do anything without his permission. One day while they were on their way to a distant town, Guru Gampar fell asleep in the bullock cart they were travelling in. His head rolled from side to side and suddenly his turban slipped from his head and fell on to the road. But as their guru had told them never to do anything without his permission, none of the disciples made a move to get down and pick it up. When the guru woke up and was told about the loss of his turban he was furious. "Next time anything falls was before he was hanged, he requested off pick it up at once!" he thundered. an audience with the emperor. This wish Some time later the bullock dropped its was granted, but when the man neared dung and the four foolish disciples the throne he loudly cleared his throat leaped down and picked it up. Guru and spat at the emperor’s feet. The Gampar was horrified. He made a list of emperor was taken aback and demanded the things that could fall off from a to know why he had done such a thing. moving cart. "Pick up any of these The gardener had acted on Birbal’s things if they fall," he told them, handing them the list. "Don't pick up anything that is not mentioned here." Just then the cart lurched violently and Guru Gampar was thrown headlong into a ditch. Guru Gampar yelled to his disciples to pull him out. "We can't, guruji," said his disciples, sadly. "Your name is not on the list you gave us." Guru Gampar pleaded with them to pull him out, but in vain. "We know you are testing us, guruji," they told him. "But

Time to get connected to your inner self.

Stories attract people’s attention. People love to listen to stories. A great story-teller can always attract audience.

Story telling isn’t just for children. It’s vital to every profession. Storytelling is a universal language and a core-skill for all presenters. Investors may be more likely to fund a company with an inspiring story. Customers may be more compelled to buy from an entrepreneur. Straight facts are forgettable and boring. Stories compel the audience to listen actively and they can subtly pesuade them. Often no one takes a position to argue against.

Through stories you can build not only a connection with yourself inwardly but also with others. Through this connection, you’ll build confidence, rapport and trust. These are the qualities that make you to grow and influence others. Honesty is part of story telling.

Simply, for us at Dreams & Money, it is a holistic learning solution that could close the literary achievement gap between schools, communities and families.

Second Issue of January 2012 of Dreams & Money

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