We expect the equity market to trade sideways in the near term in the absence of any positive catalyst however we would continue to take advantage of market opportunities to the enhance the value of the pension assets.
Fixed Income
In what would seem like ages ago, we had started the year with some optimism for oil markets, following the resolution of the 2-year US-China trade war, with an oil price forecast of $63/bbl. for FY 2020. However, in an unprecedented move, global economic activities were grounded to a halt and country borders were shut; all due to the outbreak of the coronavirus. However, prior to the full-scale impact of the pandemic, a rift between the OPEC+ de facto leaders – Saudi Arabia and Russia – caused a price war wherein the leading suppliers ramped up production in a bid to recover lost market share. A sum of the foregoing factors led to a historic glut in the oil market and a crash in brent oil prices to a two-decade low of $19.33/bbl., while WTI confounded known theories to touch negative territory with a trough of -$34/bbl – both in April. Over H1 20, oil prices was down 37% to $41/bbl in June, with average oil price printing at $42/bbl over H1 20, compared to $62/bbl over H2 19.
For the rest of 2020, our forecast points to likelihood of a net deficit in market balance. With demand expected to print at an average of 95.9mbpd and supply at 92.7mbpd, the oil market could be in a net deficit position of 3.2mbpd over H2 20 from a net surplus of 7.6mbpd in H1. That said, while we could see some recovery in prices, we think it is unlikely prices return to the highs of $60-70 levels as it did at the start of the year. Thus, we project oil prices could print at an average of $40 over H2 20 and we leave our FY 20 oil price forecast unchanged from our last update of $40.5. Overall, we project oil prices could print within a range of $33-$42 for FY 20, with our base case printing at $40.5. That said, the threat of a second wave of the pandemic is a key downside risk to our forecast.
Learn more about AVC at www.armpension.com/avc and don’t forget to download the ARM Engage app from Google Playstore or Apple store for easier access to your RSA.
The gods must be angry… or maybe the one in charge of rains must be. Otherwise I fail to understand how the sky has refused to exercise restraint in the amount of downpour that has turned some parts of Lagos into a mini ocean.
As I wait in the frustrating Lagos traffic which is usually worse when it rains, I watched the torrents hit the ground and create a splash. First, it started with drops barely wetting the ground, and then the thunder roared and lightening flashed before the rain poured uncontrollably causing streams of water to emerge.
With nowhere to go until the rain was satisfied with its torment, I hit the brakes and let my mind wander to the past and then back to the present to paint scenarios about the future.
I have had a rough past living barely from hand to mouth before a celebrity bought my footwear, posted something about it on her Instagram page and suddenly my small business took off. With a very comfortable present, now the clothier for many celebrities, I wonder how the future will be.
I make most of my shoes myself and I put in time and money to deliver the best. I can do this because I’m strong and young. Will I be able to do this when I’m 55? Or will I even want to be doing this at that age? How about working just for the fun of it at 55 because I already have a stash somewhere to cater to my needs?
“That sounds like a good plan right?” I ask myself and nod in agreement before whipping out my phone and going to Google to check the best way to do this since I don’t work for a big organization with a pension plan. Out pops ARM Pension Micro Pension Plan – the best retirement plan for every worker. My eyes open wide as excitement courses through me. I long-press to open a new tab but a loud honk sounds and I look up to see that the still traffic had started moving.
I put away my phone but not before bookmarking the page. I’ll take a good look when I get home and who knows, just like the drops of rain, I might start pooling my own stream of retirement stash little by little. For now, let me concentrate on conquering this intimidating traffic.
The Micro Pension Plan is for every self-employed, skilled worker, freelancer or small business. Click here to learn more about the Micro Pension Plan and download the ARM Engage app from Google Store or Apple store for easier access with RSA registration and more.
Why Every Muslim Should Write A Will
If you are a Muslim and you have been uncertain about writing a Will, the below article would address some of your concerns as it would provide you with more clarity.
The valid question which many Muslims ask themselves is, “does Islam support Muslims in writing Wills?” Yes, it does!
There are inheritance guidelines laid out in the Quran which direct on equitable disposition of people’s assets after their demise, they can be found mainly in chapter 2, Al-Baqarah and chapter 4, An-Nissaa’; a total of fourteen verses.
According to the Holy Quran, the estate of a deceased must first be applied in paying for the funeral expenses, debts and other obligations. Two-thirds of the remains of the deceased’s estate must then be left to Muslim family members which can include spouses, children and parents. These distribution proportions are fixed according to the Quran and cannot be amended. The Quran also allows a person to distribute the remaining one third to non-Muslims or non-relatives such as friends, charity organization, etc.
There are several other verses in the Quran which relate indirectly to inheritance such as verses 106 through 108 in chapter 5, Surah Al-Maai’dah, which direct that bequests (asset distribution) be witnessed by two individuals. The Quran further set out the qualification criteria for the witnesses. Other verses deal with the administration of the property of infants.
As a Muslim, here are other reasons why you should write a Will today:
Obedience is one of the most important characteristics of a Muslim. By obeying the laws of inheritance as stated in the Quran, you are not only a faithful adherent of the religion, you are setting a good path for your dependents and others to emulate which will be rewarded here and here-after.
If a person should pass away without a Will, there would be no clear disclaimer of indebtedness and outsiders may lay claims to assets which were acquired through hard work. This is why the Holy Quran specify how one should distribute one’s wealth while alive in order to forestall such unwanted circumstance.
As a Muslim, it is your responsibility to take care of your family, and one of such ways is by Writing a Will. A Will ensures that your dependents and coming generation are taken care of when you’re no longer with them. A Will can take care of your children’s education, how your business should be managed and all.
Leaving a good legacy behind is important in Islam. We have heard about people who despite deceased, still make significant impact many lives years after their demise mainly because they left directions on how their wealth should be distributed through a Will. Such people will always be remembered for good.
Lastly, a valid will and a thorough estate plan are a vital part of stewardship for every Muslim. Wills can be rewritten and re-executed as circumstances change. Writing a will does not impose a death sentence on the writer as many individuals superstitiously fear.
If you want to know more about Will, you can talk to our Financial Advisor here
You can also call these numbers +234 (1) 4488282; 0700 CALL ARM (0700 2255 276). Or send an email to [email protected] | [email protected]
The post Why Every Muslim Should Write A Will appeared first on Realising Ambitions.
As an expert stock trader or a beginner, one thing, you are constantly weary of is risk. The popular phrase -the higher the risks, the bigger the reward, has started to loose relevance, as day after day we realize that smart risks often present the best rewards, as they shield you from losses and unforeseen events. One way to take smart risks is by diversifying your portfolio. Simply put, DO NOT PUT ALL YOUR EGGS IN ONE BASKET.
In this article, we have analysed 4 reasons you should always diversify:
Diversification allows you to explore different markets. For instance, rather than just investing in the Nigerian Stock Markets, you might explore some other markets like NASDAQ or New York Stock Market, known to be home to stocks like Exxon Mobil, Uber etc. With this in mind, you should only trade with an app like ARMSTOCKTRADE that gives you the best of all markets. Investing globally is great way to diversify your investments, because different areas of the world may be experiencing different growth than the domestic market, thus, creating principal shield, and higher returns potential for you.
Still on, putting all your eggs in one basket, basically, if you’re investing all of your money in one sector, your risk level is far higher. What if something happens and that sector crashes? E.g. the effect of COVID-19 on the travel sector. It is important to diversify by investing in multiple sectors, and with ARM Stocktrade app, you can do this, and also, enjoy research analysis that can guide you on which stocks/sectors to invest in that help you mitigate risk. By diversifying, you can spread your wealth sources around, so that you’re never risking everything.
Sometimes, a market event can affect a particular industry, which can negatively affect your entire portfolio. For example, companies in the Tourism and Hospitality are the most by hit by the recent Covid 19 pandemic. Diversification allows you to invest in a variety of industries, company types, and even different sorts of assets. By having a variety of assets, you are better prepared to weather market storms.
Moreover, diversifying your investment portfolio will make you a well-rounded investor and trader. It exposes you to different markets and different investment types, ensuring you’ll gain a more inherent understanding of the economy and WHAT MAKES MONEY MOVE.
By continuing to educate yourself in these ways, you’ll expand your knowledge base. Knowledge is power when it comes to investing. The more you know, the more investment ideas you’ll be able to generate.
One thing is certain: the market and the business landscape are both ever-changing. By diversifying, you’ll be better able to stay mentally on top of it, thus remaining more nimble as an investor.
Start investing in local and foreign stocks, download ARM Stocktrade app now
Loading…Explore an array of investment options via our webshop and if you’ll love for us to get in touch to guide you through the process, please fill out this short form and we’ll be in touch.
When the entire pandemic issue saturated the news and the lockdown came into effect, Folabi was devastated. Life’s worries and constant fear made him forget his plans for 2020 and laid aside his life goals.
In January, Folabi had told his friends and family about proceeding to do his MBA in an Ivy league school abroad. He also had the plan of starting his side hustle and had started actively investing in these dreams. All these seemed like a pipe dream drowned by the current happenings as Folabi, out of fear, started to withdraw from his investment. Every single withdrawal took him farther from achieving his goals and further into depression.
One day, while going through his contacts’ WhatsApp status updates, he saw one that got his attention. It was an update by Jude, his childhood friend. Jude had just shared a picture of his new car and fully furnished new office with a quote that said “Keep your eyes on your goals no matter what is happening around you. I did and now, I smile.”
That quote spoke to Folabi and in that instant; he remembered his own goals for the year. While he chose to live in worry, drain his investment and bury his goals, others were accomplishing their goals and making strides amid the pandemic.
Even without knowing it, Jude had through his status update, awakened Folabi’s dream and eagerness to pursue his financial goals for the year.
Folabi picked up his phone and called his fund manager to find out about the direct debit feature which would allow him to automate his investment. That seemed to be the only way for him to stay on course. He had allowed months to waste away but for the remaining six months of the year, he would take meaningful steps towards the goals he set – CoronaVirus or not.
Eager to start realising your ambitions? Explore an array of investment options that offer competitive returns.
This is a new payment solution available for clients to make payments to their ARM Securities investment accounts via bank transfers, internet banking, USSD and any other funds transfer channels using a unique bank account number.
A unique NUBAN account number is generated and linked to your stocktrade account. This ensures that once payment is completed using the unique NUBAN account number, the funds are automatically credited to your cash account.
No, you can’t. The NUBAN account number can only be used to fund your stocktrade account.
Monnify can be used by all existing ARM Securities clients who have active stocktrade accounts.
Monnify provides the opportunity to:
A transaction fee of 0.54% of the amount (maximum cap of N100.00) is charged per transaction. This fee will be deducted from the total amount transferred and the net amount will be settled to your stocktrade account.
No, any amount can be paid using your unique NUBAN account number. The limit is only subject to your bank’s fund transfer limits
Yes, all payments are automatically credited to your stocktrade cash account on the same day within minutes.
It is 100% safe. Money paid using the NUBAN account number can only be settled to your stocktrade account.
If you successfully completed a fund transfer, but your investment account is not credited within 24hours, kindly contact [email protected] for support.
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