What is a financial advisor?

Financial advisor is the job title for a service provider customers about investments, loans and insurance advice. This advice is either ad hoc basis or as part of a structured financial planning. At the end of the consultation can often the mediation of one or more financial products are available.

Synonymous terms include investment advisors and financial planners.

Financial advisors work independently or as an employee. Self-employed financial advisers are often contractually bound to providers of financial products, such as banks or insurance companies, or financial sales.

The name and registration

The term financial advisor, in contrast to that of the insurance consultant, not protected by law. As far as legal or tax advice regarding the impact, the financial advisor the limits of legal advice law and tax advisory law must be observed. However, the legal or tax advice to a limited extent is permitted if it is directly related to the activity. The type of admission depends on the product groups, in which he advises or taught. The basis for the self-employed the business registration.

Financial advice on loans

The arranging loans in Germany is subject to a special business license. You will be granted if you can prove that you have the required reliability and lives in parent assets, convicted of a relevant offense thus in particular not in the past five years, was still insolvency proceedings were opened over the assets. The self-employed must comply with the lists of rules of the broker and building regulation.

Financial advice on insurance

A special commercial license is for admission as an insurance broker also necessary. You will be granted if

  •      the required reliability is,
  •      parent‘s financial circumstances are present,
  •      sufficient professional liability insurance has been completed and
  •      the necessary expertise through a stored in the Commerce and Industry Chamber proficiency examination (name: Certified Insurance Specialist CCI) was detected or other qualifying statements.

Insurance intermediaries, which are linked exclusively to an insurance company and to assume liability for and the insurer shall not require such permission and have the expertise not be separately detected. The insurance agents shall be registered in a special register of Industry and Commerce.

Financial advice on investment products

In order to advise on investment products or give them to, one needs in principle approval as a credit institution or financial services institution under the Banking Act. For certain, essential for retail products, but there are exceptions. These include in particular investment funds and investments in closed-end funds. To convey this, a business license under the same conditions is far enough as for loan broker. You can find more must-read financial advice websites here, along with some inspiring financial advising quotes.

In addition to the loan broker must make its activities annually audited by an accountant or a chartered accountant and submit the audit report to the competent commercial authority of the permit holder. The Act to amend the financial investment intermediaries and investment law, the activity and permission with effect from 1 January 2013, new regulations and a permit requirement (§ 34f Industrial Code) was introduced. The federal government hopes to strengthen consumer protection in the amendment. Similar to the insurance agency, the expertise and professional liability insurance must be demonstrated in the future. The details are set out in the financial investment brokerage Regulation (FinVermV). The advice to clients for a fee (fee-based advice) should be regulated separately.

Since the Occupation Financial Advisor is not protected and the range of products and services, in which advice is relatively wide, the consultants working in different organizational forms and business models on the market. One can distinguish the following criteria, among others.

Compensation model

Often, the financial advisor or his company is paid after mediation success by the product provider (see also financial advisor rates and how much financial advisors earn in South Africa). Alternatively, the compensation is possible by the counseled in the form of a fee or mixed forms of both forms of compensation. The remuneration by the product provider is criticized because the risk that the entrepreneurial interest in the compensation could outweigh the customer’s interest.

Contractual obligations of financial product providers

Essentially, one can distinguish the contractual obligations and then whether there are contractual arrangements with how many product providers and has the obligations of financial advisors from these contracts. It is possible that an entrepreneur depending on the product group has different types of contract bonds. So he may be working for insurance companies as brokers for investment but as a multiple representatives.

Simply tied agent (exclusive agents)

The consultant is bound as a commercial agent to an exclusive product providers. He is from the Treaty obliges the interests of the merchant to maintain.

Multi-tied agent (multi-agent, multi-tied agent)

The consultant is connected as a sales representative with multiple product providers by contract. The safeguarding the interests of product providers also part of his contractual obligations.

Broker agreement

The broker is bound with the customer by a brokerage agreement; he has to represent its interests. With the product provider he has a contractual agreement to pay if mediation is concluded (reversing).

No contractual commitments to product providers

In particular, if the financial advisor for a fee acts, no contractual bond with the product provider is necessary.

How Finance Professionals Calculate Risk for Investments

One of the fundamental principles in Finance is the relationship between risk and return. In general, it is reasonable to assume that investors are only willing to undertake additional risk if they are adequately compensated with extra return. This idea is rather fundamental considering that risky assets rarely produce their expected rates of return, which makes investors risk averse. This means that if they have to choose between two assets with equal rates of return, they are more likely to choose the asset with the lower level of risk. In other words, investors are willing to maximize their return on investment for a given level of risk.

Risk is an inherent factor of investment returns and is defined as the possibility of not meeting one’s investment objectives because of return uncertainty over time. Risk arises as a result of the volatility of the capital markets that has an impact on asset returns over time. Investment risk may be the result of (1) fluctuations in expected income caused by varying dividends, or missed interest payments, (2) fluctuations in the expected future price of the asset caused by changing economic conditions, and (3) fluctuations in the amount available for re-investment and in returns earned from re-investment caused by changes in tax rates, interest rates or asset returns.

The risk of an asset can be considered either on a stand-alone basis, where the asset’s cash flows are analyzed in isolation or in a portfolio context, where the asset’s cash flows are analyzed in comparison to other asset’s cash flows in the same portfolio.

(a) Stand-alone Risk

To illustrate stand-alone risk, we suppose that an investor buys $100,000 of short-term T-bills with an expected return of 5 percent. In this case, the risk is estimated accurately and therefore the investment is considered as being essentially risk free. If, instead, the $100,000 were invested in the stock market, the expected return would be uncertain and one might analyze the expected rate of return based on statistical evidence, but without being able to precisely predict it. The expected return could even be 20 percent, which would define the investment as risky.

Stand -alone risk is measured in correlation to the probability distribution of expected returns: the tighter the probability distribution of expected returns, the lower the risk of a given investment. To measure the tightness of probability distribution, finance professionals use the standard deviation (σ), a statistical measure of dispersion around a central tendency. The smaller the standard deviation, the less risky is the investment because the dispersion of expected returns is tighter and therefore the investment is less volatile.

Example of measuring risk on a stand-alone basis

The standard deviation (σ) is actually the square root of the variance of the probability distributions (σ^2). To calculate the variance of the probability distributions (σ^2), we need to know the expected rate of return (r), the probability of occurrence (P) for its return, and the deviation (ri) – (r).

We assume that the demand for the products of company X is:

- strong, with a probability of occurrence (P) 0.30 andrate of return on stock (ri) 100%, if this demand occurs,

- normal, with a probability of occurrence (P) 0.40 and rate of return on stock (ri) 15%, if this demand occurs, and

- weak, with a probability of occurrence (P) 0.30 and rate of return on stock (ri) -70%, if this demand occurs

To calculate the expected rate of return (r), we multiply each probability of occurrence (P) with the expected rate of return per demand. That gives:

- For strong demand: 0.30 x 100% = 30%

- For normal demand: 0.40 x 15% = 6%

- For weak demand: 0.30 x (-70%) = – 21%

Summing up the individual expected rates of return, we derive that the expected rate of return (r) = 30% + 6% + (-21%) = 15%.

Then, we need to calculate the deviation (ri) – (r) of the expected rate of return (r) from each possible outcome (ri).

- For strong demand: deviation = (ri) – (r) = 100 – 15 = 85

- For normal demand: deviation = (ri) – (r) = 15 – 15 = 0

- For weak demand: deviation = (ri) – (r) = -70 – 15 = – 85

Then, we square each deviation and we multiply the result by the probability of occurrence (P) for its related outcome and sum up to obtain the variance of the probability distributions (σ2).

σ^2 = (85)^2 x 0.30 + (0)^2 x 0.40 + (-85)^2 x 0.30 = 2,167.5 + 0 + 2,167.5 = 4,335

Consequently, the standard deviation (σ) is the square root of 4,335, which is σ = 65.84%

The standard deviation (σ) provides an indication of how far above or below the expected rate of return the actual return is. Between two investments, the project with the larger standard deviation is considered riskier because it has larger dispersion of expected returns indicating that the actual return may be significantly lower than the expected return.

However, there are cases that investors have to choose between two investments with one having the higher expected returns and the other having the lower standard deviation. In this case, another measure of stand-alone risk is the coefficient of variation (CV), which is the standard deviation (σ) divided by the expected return. The project with the lower coefficient of variation is the less risky.

(b) Portfolio Risk

Investors demand premium for undertaking risk. The higher the risk of an investment, the higher the expected return must be to induce investors to buy or hold a certain security. However, if investors are mostly preoccupied with the risk of their portfolio rather than the risk of their individual securities in the portfolio, then the model used to analyze the relationship between risk and return is the capital asset pricing model (CAPM).

Portfolio risk is associated to the systematic risk, which is measured by the beta coefficient (b) that indicates the volatility of a stock relative to the market. The beta coefficient measures the contribution of a stock to the risk to the portfolio, so basically beta is the theoretically correct measure of a stock’s risk. The market has by default beta equal to 1.0. In a diversified portfolio, stocks with beta = 1.0 are considered as risky as the market; stocks with beta < 1.0 are less volatile than the market; stocks with beta > 1.0 are more volatile than the market.

Measuring risk in a portfolio context

The standard deviation of a portfolio (σp) is measured by the standard deviations of its returns. Similarly like in the standard deviation of a single asset, to calculate the variance of the probability distributions we need to know the expected rate of return (rp), the probability of occurrence (P) for the portfolio return, and the deviation (rpi) – (rp). Only here, instead of one asset, we calculate the asset as a portfolio of assets.

Two major concepts in portfolio analysis are (1) covariance (Cov) that combines the volatility of a stock’s returns with their tendency to rise or decline while other stocks rise or decline accordingly and (2) correlation coefficient (ρ) that standardizes the covariance.

Overall, the CAPM model is broadly used by financial professionals and investors to analyze the relationship between risk and return. However, CAPM can be expanded with the use of other parameters that are related to stock returns such as a firm’s size and a firm’s market/book ratio. For instance, the multi-beta model, unlike traditional CAPM model, suggests that market risk is measured relative to several risk factors such as inflation, bond default premium and bond term structure premium and not only to market returns. In this context, CAPM model is challenged and the multi-beta model may be the answer to CAPM’s limitations.

I Majored in Both Finance and Marketing…And It Has Made All the Difference

As an undergraduate business student at a major private university in the northeastern United States, I had a bit of an epiphany during my junior year.

I was on track to receive my Bachelor of Science degree in Business Administration with a concentration in Marketing. I enjoyed marketing; I had a talent for it and was getting good grades.

But during a paid internship at a well known consumer goods company, my eyes were opened. Each day, it seemed, I came into direct contact with the inherent struggle that marketing had with other parts of the organization.

In particular, there was a constant struggle with the finance area. Marketing’s goals and finance’s goals were often, in fact were usually, at odds with each other. Marketing’s job was to sell as much of the company’s product as it possibly could while finance was there to protect the company. Finance was concerned about protecting the company from credit risk and keeping integrity in the pricing structure.

I saw firsthand the frustration and standstill that such circumstances could create. While I was a marketer at heart, I realized that it could be very valuable for me to ‘join the other side’ and double my concentration in school. I decided to do a dual concentration within my major and doubled up on my coursework. I added finance to marketing and did a double major.

To this day, I am thankful that I did. I have been in sales for most of my career, so my marketing bent will always come first. But as I sell high end software solutions to major financial institutions, the fact that I understand where the finance people are coming from, on both sides of the table, has proven to be invaluable.

While I am salesperson, the type of sales that I am in is focused on large, enterprise wide types of solutions. What I do is more than simply having the gift of a silver tongue. I need to understand the inner workings of an organization and how their operations and financial processes work.

Ironically, even though I have made a career in sales, my educational background in finance is clearly more valuable than my marketing education.

As I work with a customer and stand with them through business cycles and ROI models, my ability to fall back on my baseline finance education has proven to be invaluable.

My recommendation to young people today is to follow their innate strengths when selecting a major, but also to keep their minds open to learning something outside of their comfort zone as well.

5 Key Personal Finance Problems – Which One Do You Want to Overcome?

You can take control of your personal finances by applying the lessons listed below.

Problem #1. Spending Without Knowing Your Limits

As in business, you will not last long financially if you spend without regard to your income. Knowing your spending limits is not hard to do. Just find the answers to these 4 easy questions:

Question #1. What is my take-home income per pay? (that is your total income less taxes)

Question #2. What do I need to spend to live?

Question #3. What is the difference after taking spending from income?

Question #4. Can I save enough for my future from the answer in Question #3?

There are many tools to help you gain answers to these questions. You can find many on the Internet. Helpful Hint: Find one that helps you set your savings targets, checks your ability to meet the targets and then shows your progress towards your goals.

Problem #2. Spending Without Setting Savings Targets

It’s OK to spend to the limits of your income but that does not provide you with any buffer for urgent purchases, or protect you from a financial emergency. Urgent purchases could be renewing a broken fridge or stove, calling a plumber to fix a broken pipe or having to spend for major car repairs. Financial emergencies could be temporary loss of income or hospitalization of a family member. How would you survive financially in any of these situations?

You can begin to save today, it’s easy. What if you went without your bought lunch each day at work? That saves you $1,000 per year on $5/day. What if you reduced your Starbuck’s coffee by 1 each working day? That’s another $1,000 per year on $5/day. Just those two amounts alone can mean a holiday for you, the beginnings of a savings plan, or an emergency buffer.

If you set a target of 10% of your take-home pay each payday that would be a good start. If you think creatively, you are sure to come up with ways to achieve this. Think of the peace of mind that would bring.

Problem #3. Spending Without Knowing How to Save

There are many easy ways for you to save money that allow you the freedom to spend when you see something you really want. Some of these are:

1. Don’t buy on impulse. Ask yourself 2 or 3 times “Do I really NEED this?” before you buy. If you cannot answer with a resounding “YES ” let it go.

2. Don’t buy things JUST because they are on sale. Only buy things you need. If you do need them wait a few weeks the price may fall even further.

3. Don’t buy the latest fashion items at the height of the season. Just wait a while. The prices usually reduce.

4. Don’t compare yourself with others and what they have. They may have purchased making the same finance mistakes as you.

5. Set yourself a savings target. Put this money aside each payday BEFORE spending any of your pay.

Problem #4. Spending Without Feeling Satisfied

Spending can leave you feeling pretty shallow and unrewarded when you purchase on a whim or fancy when you really know you cannot afford the item. What’s more you may not even use it. What a waste!

To really FEEL GOOD ABOUT SHOPPING and spending you need to know these 4 things:

1. My budget allows me the freedom to purchase this item

2. I have the cash put away already for this purchase (even though I will use my credit card for the transaction).

3. This purchase is something that I really want and will use.

4. I have purchased this item at the best possible price, saving as much as I can.

Problem #5. Spending Without Caring About Your Future

Unless you are planning for your future and financial security, you cannot be really happy. There are always worries lurking in your mind about how you would survive in a financial emergency if you have no savings. It can be very rewarding to see how quickly your savings multiply over time with only a small investment each payday.

Did you know that by saving just $5 every day this would grow into $1,867 in 12 months at 5% interest and then it grows into a whopping $10,343 in 5 years? Isn’t your future worth investing in?

Why not start to overcome your personal finance problems today? Looking back you’ll be so glad you did!

If you click on the links below you will be taken to a great budget solution. It helps you set your savings targets, checks your ability to meet the targets and then shows your progress towards your goals.

The Importance of Values in Personal Finance

What Are Values, and Why Are They Important?

Values are principles, standards or qualities you consider worthwhile or desirable. Values will vary greatly from person to person because they depend on your personal judgment. What principles, standards, or qualities do you consider worthwhile or desirable? In other words, what are your personal values?

If you cannot answer this question confidently, you may want to continue reading. Knowing your personal values is extremely important because those values shape everything about you. Your relationships, behavior, choices, and personal identity are all affected by your values. Even if you cannot name all your values, they are still influencing every aspect of your life.

However, we are easily distracted – especially with all of the busyness and media in our lives today. It’s far too easy to get sidetracked and led away from your values. This is why it’s vitally important to know your personal values. Those values are your compass for the day to day decisions you must continually make, and they help draw the map of your entire life.

The Role of Values in Personal Finance

Now why would I be discussing values in a personal finance article? Isn’t that more of a personal development topic? Well, yes – it is. But the truth is that your values will have an impact on your financial decisions. There is no use in looking at numbers, giving you advice, or talking about investments until you can list your personal values. As I mentioned above, your values shape everything about you. Your values affect your behavior and choices. Your behavior and choices affect your personal finances. Therefore, you must recognize and understand your values before you can really start to work on your personal finances.

For example, let’s say you want to start using a budget to track your spending and find ways to save money. If your values include frugality, thrift, and organization, then this will probably be an easy goal. But if your top values include extravagance and liberation, you’re probably going to run into some problems trying to stick to a budget.

So before you spend any more time reading about personal finance, take a few minutes to identify your personal values. There are different ways to do this, but I’ll explain the method I’ve used. If this doesn’t work for you, then a quick Google search will provide you with other ways to accomplish the task. If you are married, have a partner, or your finances somehow involve other people, then you may want to do this exercise with the other people involved. This will elicit an important discussion and make sure you are in agreement about your guiding principles.

Identifying Your Values

To start this process, you will want to make sure you have time to focus. Sit down with some paper, and ask yourself this question: What is most important to me in life? Write down your values to answer this question. Try to make these one or two word phrases, and don’t worry about the order yet.

If you are having trouble listing specific values, you can try using Steve Pavlina’s list of values (http://www.stevepavlina.com/articles/list-of-values.htm) as a starting point. Go through this list and write down the values that you feel are most important. Try not to choose the values you think you should have, but choose the ones you find truly important in your life. If you’d rather not write these down on paper, I have included a link to Steve Pavlina’s List of Values in a Microsoft Word Document (www.crackerjackgreenback.com/wp-content/uploads/2008/05/list-of-values.doc) so you can edit it in an electronic format.

Prioritizing Your Values

Now try to narrow down this list by combining similar values into a single value (or two if you need to). You want to get this list down to no more than 10-15 values. Then you need to prioritize your list of values. You can do this by listing your top value first, then your second highest value, and so on until you’ve prioritized your entire list. If you are having difficulty prioritizing this list, then you might want to try CNN Money’s “The Prioritizer” calculator at cgi.money.cnn.com/tools/prioritize/prioritize_101.jsp. The Prioritizer allows you to list up to 15 items and then asks you a series of questions that forces you to choose between each possible pair of goals. Once you’re finished, the calculator will give you a list of your values in priority order according to your choices.

Examine Your Values

Now that you have your prioritized list of personal values, it’s time to examine these values closely. Are there any that you feel do not fit? Are there any you’d like to change? This can mean dropping a value, adding a value, or tweaking your priorities. Some of your financial goals may require changing your values or priorities, so feel free to reexamine this list at any time.

Evaluate How Your Values Should Affect Your Life

Finally, it’s time to consider how your specific list of values will affect your life. If these are the things that are most important to you in your life, how should they steer your decisions? You might feel like you’re not following your values very well at this point in your life, but you have the ability to change that right now. With your list of values in hand, you can evaluate any decision with intelligence and confidence. You just have to ask yourself: What should I do in this situation if these are my guiding principles in life? Apply this method to every area of your life, and you’re sure to see your life becoming more aligned with your values. As your situation changes, you might need to revise your values. Adapting to changes in your life will be crucial to your success in accomplishing your goals.

Now that you have your list of personal values, you can proceed with evaluating and planning your personal finances. These values should help lead you in making the necessary decisions about your goals, priorities, necessities, and the things you’re willing to sacrifice. All of these are important in reaching a financial future that will ultimately make you happy and fulfilled.

Five of the Best Podcasts that Focus on the World of Finance

The Six Golden Rules of Personal Finance Should Be Part of Every College Students Repertoire While in College

An exceptional resource for today’s busy world is the podcast. Podcasts provide the latest news and breaking trends in an easy listening format, making it a highly preferred method of obtaining information for people on the go. This is especially true for citizens looking for information on the finance industry. There are plenty of high quality podcasts that focus on the world of business and finance if you know where to look. Here is a look at the podcasts I currently subscribe to.


Kiplinger is a trusted source for information on the financial world, and with their bi-monthly podcast, even the busiest among us can stay up to date on financial news. Kiplinger’s podcast is released every other Tuesday and focuses on personal finance topics. I find this podcast to be exceedingly informative and highly easy to follow. You can listen to the podcast on Kiplinger’s website, via RSS feed or downloading it directly from iTunes.

Financial Post

Another podcast I find to be a fantastic point of reference is hosted by Financial Post. Financial Post’s podcast is updated frequently and episodes are divided into three different categories: FP Tech Desk, Executive and Big Picture. Financial Post’s podcasts delve into business news, ever-changing finance information and informative updates on the world of technology. You can listen to the Financial Post podcast on their website, via RSS feed and iTunes.

Standard and Poor

Standard and Poor’s podcast is a formidable source for information on the global financial market. This podcast is updated constantly, with multiple episodes per day. I find the information provided by the Standard and Poor podcast to be exceedingly helpful. You can listen to Standard and Poor’s podcast on by visiting their website, or by downloading via RSS feed or iTunes.

Wall Street Journal

A source that is synonymous with business and finance is the Wall Street Journal. I follow the Wall Street Journal’s podcast very closely, and without any difficulty. The beauty of the Wall Street Journal’s podcast is that there are so many ways to tune in, including calling by phone to listen, following the podcast feed on Twitter, tuning in to Stitcher Radio, downloading via iTunes or visiting the Wall Street Journal’s website. This podcast is updated daily, and their are plenty of current episodes to catch up on.

What Are Mutual Funds?

What Are Mutual Funds?

The easiest way to explain mutual funds is to compare them to a betting pool. Say there’s a game going on, but you only have $5 to put down on it. That’s not very much to lose, but it also won’t yield you much if you win. If you get together with a bunch of friends though, and you all pool your spare cash then you can put down a much bigger bet than any of you could make individually. This gives you a bigger investment to make, and if you win you can split the pot according to how much each person put in.

That’s sort of how mutual funds work, except without all the fancy jargon and investing terms.

Put another way, a mutual fund is a pooled investment where all investors contribute, and the fund manager invests the pool. The funds in the pool may be used to purchase government bonds, stocks, securities, and a number of other investment vehicles, and the profits made on all of those are divided equally among all who invested according to how much they invested.

Why Invest in Mutual Funds?

Investors who already have hundreds of thousands of dollars in financial leverage don’t, strictly speaking, need to invest in mutual funds. For those who want to be able to make big investments without a big lever though, these funds allow you to throw your weight in with a lot of other small investors so that, combined, you can all do something pretty big.

Mutual funds, despite their obvious appeal, aren’t a guaranteed investment. It’s entirely possible that the person managing the fund buys stocks that plummet, or buys bonds that turn to lead overnight. It’s just as important to check the performance history and content of a mutual fund as it would be to research a company before buying stock in it. If a mutual fund has a solid performance history though, and it looks like it would be a solid place to plant your seed then there’s no reason not to use it to grow a money tree.

Other Investment Articles

If you found this article helpful, then check out some of the others I’ve written regarding investing and finances.

What Is The Gold Standard, And Why Is It No Longer In Use?
What is an Individual Retirement Account (IRA)?
How to Make Money on The Foreign Exchange (Forex) Market
How to Make Money on The Stock Market
What Are Binary Options, And How Do You Make Money With Them?


“Definition of ‘Mutual Fund’” by Anonymous at Investopedia
“What is a Mutual Fund?” by Kent Thune at About

What You Can Learn from My Experiences Trying to Get a Closer Shave Without Cuts, Nicks and Bleeding

Do you have trouble shaving without cutting or nicking yourself? Tough beard, perhaps? You’ve tried double-bladed razors and triple-blades and even those fancy new razors with the 17 blades. (They don’t actually have a razor with 37 blades…yet.) In the future, of course, everyone will be using sound waves to shave, but until then, here are some ways to find success with good old-fashioned sharp pieces of metal slicing across the surface of your face. All of them tried and true, if not necessarily totally successful for me personally.

Look Sharp

It may seem like a no-brainer that needs to be go unspoken, but clearly this is not the case. It does need to be spoken. A lot of times the reason that your attempts at a smooth shave leaves you a bloody mess is due to just one reason: your blade has become too dull. Multiply by that effect by as many as five different blades stuffed into one razor and you can clearly see the problem. Maybe all five blades are equally sharp and maybe each individual blade is on its own level of dullness. The point is, if you regularly encounter blood after shaving, you probably need to start changing razors at a more rapid pace.

Hair Conditioner

If shaving cream is just not cutting the mustard (by which I mean cutting the hair on your body), you might want to give hair conditioner a try. This is especially useful advice if you are one of those men (like me) who likes to shave while showering. The bottle of hair conditioner is right there and it’s not like you’re ever going to use it on your hair, right? For some reason, hair conditioner differs from shampoo in that it has a consistency not terribly dissimilar from some of those shaving creams you can buy in a tube. Personally, I found hair conditioner produced rather inconsistent results. One day it would produce a fairly smooth shave and the next it would leave way too much stubble. Still, no question that when hair conditioner works as shaving cream, it really works well. So try it, why not?

Baby Oil

If your problem with getting a close shave is the result of your skin being too dry to allow for the smooth, uninterrupted passage a sharp razor, consider applying baby oil instead of shaving cream. The baby oil will not only keep your skin moist, but reduce the effects of friction when you drag the razor across. If you are currently attempting to take advantage of the humidity inside a hot shower to help reduce cuts and nicks and therefore have been substituting soap for shaving cream, then you seriously need to give baby oil a shot. Most soaps are going to cancel out the effects of humidity by creating a dry landscape that is hardly suitable for shaving.

Treating the Injuries

Should none of these tips prove useful for improving the effects of shaving and you still exit the process with tiny little spots of blood where your razor nicked you a little too closely, forget all about walking around with tiny little pieces of toilet paper on your face. It looks ridiculous and, even worse, toilet paper is going to do as little as possible to actually stop the flow of blood. Instead, run a standard black teabag under cold water and press against the site of the cut. Not only will the teabag work much quicker to stem the tide of blood, it will also do something that no toilet paper has ever done: relieve the stinging sensation.

The Pros and Cons of Moped Scooters

There are many benefits to owning and using a moped for transportation. Having primarily used my own scooter for over two years, I can testify that the vehicles are quite convenient. What makes moped scooters so great?

1) Gas
These scooters have small gas tanks and get more miles per gallon than any car on the market. My own scooter boasts a one and a half gallon tank that cost less than five dollars to fill up. This gallon and a half often last me two to four weeks depending on the amount of travel done. One simply cannot beat this fuel efficiency.

2) Insurance
50cc scooters (which are the most common) do not require insurance. This saves riders hundreds to thousands of dollars per year on the added expense of insurance.

3) Maintenance
In the time I’ve owned my scooter, I’ve never spent more than forty dollars on any given part. This cannot be said for the Saturn that my mother and I own. This car has cost us thousands of dollars over the past four years. In two years, I’ve spent less than three-hundred dollars on my scooter which was heavily used before it ever came into my possession.

Despite the many benefits of moped scooters, there are many dangers and other issues associated with the vehicles. Such issues include:

1) Other Drivers
Whether you’re on a moped, a full-sized motorcycle or a bicycle… many motorists think they own the road. It is not uncommon for drivers to ignore two-wheeled vehicles completely which is dangerous. I’ve been run off the road by a car in the past. Why do people act this way? Who knows! Is it really so difficult to go around the moped that cannot go over thirty-five miles per hour?

2) Weather
On two wheels, you have to protective roof overhead. You are completely exposed to the elements. Ona hot day, it can be quite nice to experience the breeze on your face. On a cold winter evening, this could be a far less enjoyable experience. Rain also hurts quite a bit when it pounds against your body as you ride along at thirty miles per hour.

These vehicles have the potential to be your greatest asset or your worst enemy. The decision to own a moped scooter is yours alone. I can merely state that I have never regretted owning mine. Be sure to remember all of the pros and cons when deciding if purchasing a moped scooter is right for you.

Effective Project Management Techniques

Having employees with the skills and knowledge for effective of project management is essential for a company to succeed. Projects need to be properly planned, monitored, completed on time and provide the best possible results. Nothing ever goes exactly as planned. Challenges need to be anticipated and handled correctly. There are effective project management techniques and processes that can provide success.

According to an article in Colorado Business Magazine, “Most companies engage in numerous projects during any given year and most have no idea how much their projects cost, how well the money is being spent or how much was being achieved in returns. Ironically, by applying basic fundamentals, project management is easy to do well.”

Once the idea for a project is presented, there are those who want to begin working on it immediately. This could cause a number of problems as the project develops. The only way for a project to be successful is with careful planning. All aspects of the project need to be identified. The investment of time to develop an effective plan at the beginning of a project, will provide better results when its completed. It will enable better use of funds, a higher quality project, and provide a realistic completion date.

Once the definitions of a project have been identified, the planning can begin. A working plan will have each step of the project established. Completion dates and all aspects of the what will be delivered needs to be determined. In some cases, a project model will be discussed. At this point, it’s important to cover all the details of the project. There will still be uncertainties involved, but that shouldn’t prevent the project from moving forward.

It’s important for procedures on how to manage the project be included in the plan. The resources to be utilized for managing the project also need to be identified. The management of specific issues, risks involved, as well as communication methods and more, should be part of the planning process. The goal at this stage of project is to be as proactive as possible. There needs to be a common understanding of how the project will be handled among all the team members involved.

All those involved with the project need to have regular status updates communicated to them. In many cases, the success or failure of a project will impact others that are in progress or being planned. Effective communications is the best way to ensure decisions are made based on the latest information.

Once a plan has been created, and understood by all those involved, work on the project can begin. The plan needs to be reviewed regularly. The size of the project will determine how often it needs to be reviewed. A large project may need to be reviewed every few weeks. A small project plan may need to be reviewed once a week.

All activities associated with the completion of a project need to be carefully monitored. When activities are not progressing as planned, adjustments need to be made. Resources may need to be distributed differently, activities may need to be changed, the plan may need to be altered and more.

There are times when a project has started, and it needs to be changed. Unanticipated things can be discovered. Effective project management will be flexible enough to adjust when necessary. Unrealistic estimations of team member’s abilities, funding requirements not being met, insufficient resources, can all happen during a project. The ability to be flexible when challenges occur can keep a project moving toward completion.