A Commercial Umbrella for When It Pours

In our increasingly litigious society, business owners must be prepared for the possibility of lawsuits regardless of company size, location, or industry. A lawsuit could involve large legal fees, plus an award for medical expenses, pain and suffering, or any number of grievances. In addition, negative publicity and lost time resulting from court-related activities can have a substantial impact on your business. A commercial umbrella liability policy can provide protection in million-dollar increments above the required liability limits of your commercial general liability, auto liability, and employers liability (workers compensation) policies. How It Works Umbrella coverage takes effect when the limits of your underlying policies have been exhausted, and may also cover what your current business policies exclude. Typically, a commercial umbrella policy may offer extra protection for legal defense expenses, losses occurring outside the U.S., and personal injury or property damage claims. In addition to covering the named insured, …

CONTINUE READING

Human Capital is More Valuable to Economies Than Physical Assets

Human capital is more than twice as valuable to the global economy as physical capital, but business leaders often overestimate the value of tangible forms of capital and underestimate the importance of employees to their company’s performance, a study commissioned by executive search firm Korn Ferry has concluded. The report, “The trillion-dollar difference,” outlines the findings of a survey of more than 800 global business leaders that was conducted in August and September 2016, as well as of a global economic analysis that was conducted by the Centre for Economics and Business Research. The report was released on December 15, 2016. To quantify the relative value of human and physical capital, researchers developed a lifetime income calculation for measuring human capital that encompasses the ability of people to perform labor and add productive value over time. Physical capital was measured by the value of tangible means of production (such as …

CONTINUE READING

The Huge Decline in U.S. Publicly Traded Companies

The Huge Decline in U.S. Publicly Traded Companies: Why investors should be worried Financial advisors spend a lot of time reassuring clients. Yes, interest rates are rising, but they are still at historical lows – the markets will be fine long-term. Yes, the technology sector is on a tear, but there are significant differences from the technology bubble from the late 90s – the markets will be fine long-term. Yes, the U.S. dollar declined last year for the first time in 5 years – the markets will be fine long-term. But there is one 20-year trend that has financial advisors worried about the markets long-term: the sharp decline in the number of publicly traded companies here in the U.S. The Worry In 1996, the US stock markets boasted over 8,000 publicly traded companies. Today, that number has dropped to less than 3,500. Let’s go back further and add the US …

CONTINUE READING

Why Lego Could Be the Key to Productive Business Meetings

It’s 60 years since Lego patented their little plastic blocks and since then over 600 billion bricks have been produced. These bricks have been used to build cars, death stars and a multitude of creations born in the imagination of “legoists” all over the world. While some people think Lego is just for children – or that being grown up means leaving playfulness behind – my job often entails convincing fully grown adults, in sensible jobs, to play with Lego and build whatever comes to mind. As an accredited Lego serious play facilitator, I ask people to build their thoughts, ideas and feelings. I was introduced to the concept through an EU-funded project, where I came to see the power of Lego in creating an environment for open dialogue within diverse groups. The “serious play” aspect encourages participants to get creative through play. This allows people to put aside their …

CONTINUE READING

Annual Rebalancing Steps

Annual Rebalancing Steps: Perspectives from a Seasoned Financial Advisor As you begin to receive your year-end statements, it will be tempting to focus on how well the markets performed – because it really was a year for the record books. The year 2017 saw the DJIA set 71 all-time highs, surpassing the previous record of 69 set in 1995. We saw NASDAQ up 28%, the DJIA up 25% and the S&P 500 up 19%. And at almost nine years old, this bull market is now the second-oldest and second-strongest in history. Given last year’s market performance, it would be a safe bet that many investors need to consider rebalancing, because they might now be overweight or underweight certain asset classes – and therefore positioned in a way that is inconsistent with their risk tolerance and goals. Now is the Time to Think About Rebalancing The reality is that the market …

CONTINUE READING