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Education - Job Prospects for New College Graduates

Source: US News
My daughter, who is a Spanish major, will be graduating from college in the spring and like many college seniors, she is stressing about finding a job.

While the job market is still ailing, a new national survey of 4,600 employers suggests that jobs will be more plentiful for the graduating class of 2011. According to an annual survey conducted by Michigan State University, companies plan to boost their hiring of new college graduates with bachelor's degrees by 10 percent.

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Here are 10 things to know about the job market for new college grads:

1. Employers will increase hiring most significantly among grads with business- and technology-oriented majors. E-commerce and entrepreneurism look particularly hot this year and so does public relations.

2. Here's good news for liberal arts majors: The largest percentage of employers (36 percent) say they will hire students regardless of major. What's more, companies plan to boost hiring of liberal-arts majors by 21 percent.

Fifteen percent of employers are looking for students with a "very broad liberal education."

3. Hiring will be most vigorous in manufacturing, professional services, large commercial banking and the federal government.

4. Hiring is expected to drop for students who have majored in health sciences and social sciences.

5. Large corporations, with at least 4,000 employees, expect to hire an average of 114 college grads with bachelor's degrees per company next year.

6. Prospects are worse for mid-size companies, which employ anywhere from 500 to 3,999. They will continue to shed jobs.

7. The hot spots for entry-level jobs for college grads are going to be in the Great Lakes region, where hiring is expected to jump 13 percent, and in the Mid-Atlantic region, which should experience a 10 percent boost in jobs.

8. Large corporations now hire about 50 percent to 75 percent of new employees from their own intern pools.

9. Compared with graduates from five years ago, employers say that today's young job candidates produce better résumés, but they don't conduct themselves as professionally. Employers also worry that students now cannot articulate their skills as well and lack realistic career expectations.

10. Despite a better job environment for college graduates, it's sadly nowhere close to being ideal.

"This step is the first out of a deep hole," Phil Gardner, director of the institute, wrote in Michigan State's latest report, Recruiting Trends 2010-2011. "The recovery in the college market does not run deep at this time."

Frugal Ways to Save at Least $100 a Month

Source: Financially Fit
Melissa Neiman
Monday, November 22, 2010

Imagine spending just $20 a year -- or less -- for yearly telephone service. Or, perhaps you'd be interested in shaving 15 percent off your monthly utility bills. Two frugal experts say you can do it.

Everyone looks for simple ways to save, especially in today's tumultuous economy. Bankrate asked two frugal bloggers to share their thoughts on some nearly effortless ways to hang on to your hard-earned green.

If you take their advice to heart, you'll likely save at least $100 a month around the house.

Rethink Your Phone Service

Fed up with expensive telephone bills? Jonni McCoy, author of the Miserly Moms website, recommends switching to an alternative phone service like magicJack or Skype.

Such services allow you to make local and long-distance calls for a fraction of the price of traditional phone service. For instance, magicJack customers can get phone service for as little as $19.95 a year, while Skype calls are free to other Skype users.

"These are good alternatives to (traditional) phone service, and they include long distance, so no extra card is needed," McCoy says.

Customers nervous about dropping their traditional phone carrier have other options for saving money.

For example, consider canceling long-distance service from your phone carrier and using calling cards instead, says Susan Palmquist, creator of money blog The Budget Smart Girl's Guide to the Universe.

Need a second phone line? In this case, a service like magicJack works well, because it's "much cheaper than adding a second line to your existing phone account," Palmquist says.

When it comes to your monthly cell phone bill, save money by cutting down on your minutes and switching to a more basic plan. Palmquist recommends switching to a pay-as-you-go cell phone.

Cut Down on Electricity

Each month, utility bills silently drain a little more cash from your wallet, preventing you from building a sizable emergency fund or retirement nest egg.

There are several ways to trim these bills. Three quick and painless ways to save include: switching to compact fluorescent light bulbs (which are more energy-efficient than standard light bulbs) lowering the temperature on your hot water heater (130 degrees Fahrenheit is enough to kill germs) and drying your clothing on a clothesline or rack whenever possible.

McCoy and Palmquist also recommend signing up for any incentive or rebate programs offered by the local utility company.

With these programs, you typically agree to allow the power company to briefly shut off certain appliances when energy demand is particularly high. In return, you get a credit on your monthly bill.

For example, customers who participate in Florida Power & Light's On Call Savings Program allow FPL to install a small device on their water heater and air conditioner compressor. This allows the utility company to periodically borrow electricity for 15 minutes or so.

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Palmquist -- who lives in Minneapolis and gets her power from Xcel Energy -- does this and gets a 15 percent discount on her bills.

Conserve Water

Are you drowning in monthly water bills? Palmquist and McCoy recommend money-saving options such as washing all clothing in cold water.

"I use cold water to wash clothes, and recently read that using the delicate cycle also saves water, too," Palmquist says.

In some cases, saving cash actually goes hand in hand with superior performance, Palmquist says.

"We installed a low-flow shower head in the main bathroom and find it not only saves water, but the flow is better than the old one," she says.

Of course, another "no-brainer" way to save is simply to use appliances less frequently. Wait until you have a full load before running the washing machine, dryer or dishwasher.

Don't overlook water-saving tips for outside the home. Palmquist plans to invest in a rain barrel for outside watering next year. Meanwhile, McCoy recommends making changes to landscaping "so there is less lawn to water."

Bundle or Drop Cable and Internet

McCoy suggests saving money by bundling cable and Internet services. Palmquist agrees, and recently switched to an "economy package" for her TV service.

However, Palmquist says it's important to look before you leap into bundling.

"Sometimes it's more expensive and they can lock you into a two-year contract, so check out everything first," she says.

If you're really gung-ho about saving, simply drop cable altogether. Perhaps you can watch your favorite TV shows for free on an Internet site such as Hulu.com.

Or, maybe it's time to simply give up those expensive TV habits and think about the priorities that really matter to you.

"My main advice is to think about wants and needs," Palmquist says. "Many of us think something's a necessity when really it's just a want."

The road ahead young people with little education

A generation in free fall | Young people with little education face steep climbs
By SCOTT CANON and DIANE STAFFORD
Source: The Kansas City Star

Among the sons and daughters of the suburbs and the country club set, the recession turned good times to bad.
Their less accomplished peers, who didn’t make it through college or who never even made it to campus, have seen dismal prospects go from bad to awful.
These are the workers for whom the misery of the recession comes in torrents.
To Zachary Brame, it’s a yet-validated hope that a few weeks studying computer gets somebody to please, please, please call him back.
To Schakia Odums, it means taking refuge in uniform, aiming to get from the U.S. Army what the U.S. economy stubbornly refused to surrender.
And for Thadius Hughes, the long road to steady employment or anything approaching a career has been turned into a nearly vertical uphill climb.
In better times “they’d get the worst jobs,” said John Hornbeck of Episcopal Community Services in Kansas City. “Now the barrier is just a flat-out lack of jobs, period.”
Certainly millions of the young and lightly educated find ways to make a living at the menial end of the job market. But the struggles of those who can’t get work pose an extra burden for the rest of us — in the form of fewer people paying taxes, more needing government handouts and, perhaps, a threat of growing crime.
“These people run through their unemployment. … Then some of them get into legal trouble,” said Christopher Jencks, who studies poverty issues at Harvard University. “Some end up stealing stuff, overdose on drugs. All kinds of bad stuff.
“Society picks up not all of the broken glass, but some of it. And some of it gets stuck in our feet. We share the cost with the victims.”
At the bottom of the recession in 2009, unemployment swelled to about 10 percent. But for blue-collar folks, the rate was closer to 17 percent.
For a less definable class of young people who merely aspire to blue-collar work, the buzz-kill economy looks especially bleak.
This group lacks both formal training and the so-called soft skills — things like the ability to look a boss in the eye or understand that they should show up at 8:50 for a job that starts at 9 a.m., not 9ish.
They make up a disproportionate number of the 6.8 million Americans who aren’t just unemployed but who’ve been on the hunt for work for a year or longer. The previous high for the long-term unemployed, since the number was first tracked in 1948, was 3 million during the dreary days of the early 1980s.
“The old manufacturing economy honed physical skills such as lifting and manual dexterity,” wrote Richard Florida in “The Great Reset.”
“But two sets of skills matter more now: analytical skills … and social intelligence skills.”
The long-term jobless rate ignores those who’ve taken unending job rejections as a sign to simply to stop asking.
“We hear they just need to pick themselves up and get a job,” said Dennis Chapman, the development director at City Union Mission in Kansas City. “That’s easier said than done.”
Cost of joblessness
One study in Missouri found that each high school dropout costs the state $4,000 a year in lost taxes and higher Medicaid and prison costs. Another estimated that the U.S. economy would miss out on $335 billion in lifetime earnings compared with what it would reap had the high school dropouts of 2009 earned their diplomas.
Jencks, the Harvard poverty scholar, is quick to point out that experts have yet to find a consensus on whether rising joblessness cranks up crime rates. For the most accurately tracked crimes like murder, the correlation is weak. Lesser crimes are tracked less closely, but as Jencks observes, “If you look at people in trouble with the law, an awful lot of them are out of work.”
More critically, Jencks said, is that those at the bottom rungs in an extended recession may be so cut off from a work-a-day existence that they won’t bounce back even when the job market turns around.
Statistics show they tend to delay marriage but not children. So this downturn might amp up the number of single moms who, on average, are more likely to lean on their families and the government to make the rent and stock the pantry.
At a key time in their lives, these would-be workers aren’t developing work habits. And they’re not making the connections to the mainstream of society they’ll need to achieve independence. They risk, Jencks said, slipping into a permanent situation that doesn’t fit with any American sense of success.
“After having been rejected 25 times, it gets hard to make the 26th call,” he said. “They’re the people who would have got factory jobs years ago. But they may be in danger of falling out of touch with the rest of us.”

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‘Waiting and hoping’
Zachary Brame sheepishly grins when asked what he does with his time. Spends it on the computer. Playing games or studying Japanese to better appreciate Japanese animation. In his parents’ basement.
“It’s such a cliche,” he said.
It’s not where he wants to be or where he plans to be. But the path to escape, to independence, hasn’t shown up yet.
He had decent high school grades and graduated from Sumner Academy in Kansas City, Kan., in 2007. Like so many teenage boys of his generation, he has always been game for computer and video games: first-person shooter games, online fantasy stuff like World of Warcraft, Wii.
That took him to Tempe, Ariz., and the University of Advancing Technology to learn how to create games. He did well on general education classes and the beginner courses on fashioning virtual environments.
Then the economy nose-dived, and he calculated his prospects of actually making a salary that could handle the roughly $60,000 in debt he’d have upon graduation. Suddenly, the math didn’t work.
“As the money was going through my hands,” said the 22-year-old Brame, “it was getting more upsetting.”
He returned to Kansas City, Kan., in spring 2008. He worked with his carpenter father framing houses and then laboring in a warehouse. But the work was spotty and not something he could see himself doing for months, much less years.
Brame found he could go to Kansas City Kansas Community College studying the trumpet — something he’d excelled at in high school — on a scholarship. He stuck with that for two semesters, but his heart was never in it.
So he was back pounding the streets. This summer he landed in a monthlong course to certify himself as a computer technician — picking up geeky know-how for plugging in motherboards and keyboarding around viruses.
This is a guy habitually without any cash, dependent on a free bus pass, who had to wait weeks to save up money for the test that would vouch for his computer bona fides. His subsequent certification, he hopes, might mean a steady paycheck.
“It’s just terrible waiting and hoping all the time. It gets old.”
Worst at the bottom
As the executive director of Workforce Partnership — a collection of one-stop career centers in Johnson, Wyandotte and Leavenworth counties — Scott Anglemyer sees the frustration.
It’s worst, he says, for those at the bottom.
Think of a McDonald’s. We picture it as the place for people in their teens and early 20s to get a taste of the workplace. Today, though, those jobs increasingly are filled by folks with graying hair.
The entry-level landscape would be tough for those at the bottom “no matter what,” Anglemyer said. “Now it’s several orders of magnitude harder.”
Keep in mind that these young folks often were raised by parents or others looking after them who were employed only on the margins of society, if at all. They frequently shifted from one school to the next, passed from mother to uncle to grandmother.
They look for work, not sure where they might sleep tonight. They know their relatives can’t just spring for dinner or a clean shirt.
That makes them all the less prepared to field a phone call from a prospective boss, to scrounge up clean clothes for an interview, to navigate Kansas City’s thinly deployed public transit to get to a job site.
Anglemyer said that a few years ago employers would say, “Just send us a warm body.”
“We don’t have anybody asking for warm bodies anymore.”
Jobs in the military
Schakia Odums was always a decent student, pulling down mostly B’s. She liked math and had a good enough ear for music to excel at the double bass.
As she neared graduation from Paseo Academy of Fine and Performing Arts in Kansas City in spring 2009, she pictured herself going to college, hoping to secure an accounting degree from Grambling State University or the University of Missouri-Kansas City.
But her family couldn’t get the money together. Her efforts at nailing down a scholarship — her 16 on the ACT would make acceptance to many colleges iffy — produced nothing.
So she went to Louisiana, where she’d spent her grade school years, to live with her father and work for several months carting food orders to cars at a Sonic franchise.
Then she returned to Kansas City to be with her mother and spent four months working at a KFC restaurant. But she felt as if she was being asked to do too many things and left.
She launched a frustrating search for some other way to make a living in telemarketing or “customer service.” She was told again and again she didn’t have experience.
So in September she went to see a military recruiter. Now she’s excited about joining the Army and about the promise it offers her of training as a dental hygienist:
“When I was a kid, I always wanted to be a dentist.”
Her entry into the Army is being delayed until she can pay off $380 in court fees from a car accident — money she’s scrounging from her father and unemployment checks.
“I’m excited. It’ll be something different.”
The idea of combat “doesn’t bother me as much as it might bother someone else. … Anything that takes my mind off things will be good.”
After all, she has spent the last few months at a homeless shelter and looking for some kind of work.
“Anything,” she said, “to take my mind off what I’ve had going on here.”
Still, the Army was never something she’d dreamed of.
“But this is what I’ve got,” she said. “I’m going to make something out of it.”
Too far behind
The demand for workers with minimal education and skills has been steadily dropping at least since the 1970s, as the U.S. economy has slowly shed its manufacturing jobs.
“It used to be that the high school degree was your ticket to a manual job, a semiskilled job that paid really well and bought you and your dependents a middle-class existence,” said Joel Devine, a Tulane University sociologist. “Not anymore.”
In a good economy, said career marketplace director Benita Ugoline at the Urban League of Greater Kansas City, “people with spotty work histories or little education and little skill development” work for janitorial services, hotel housekeeping, temporary security jobs.
But she said even those jobs will stay beyond the reach of people who are shut out of the job market now if they can’t improve themselves.
The jobless rate for people without high school diplomas or their equivalent is 50 percent higher than those with diplomas, three times that of college graduates. For African-Americans without high school diplomas, one in five couldn’t find any work last year.
If you don’t have a general equivalency diploma, Ugoline said, you’ll be ignored by employers now and for years to come.
It’s not just the certificate but the skills it represents. Somebody who can’t get online, can’t submit an electronic resume that was put together and stored on a memory stick — is just too far behind.
And if this recession leaves a young man or woman with a big gap in work history, that will last into a rebounded economy. She says people need to get that GED, or vocational training, both to boost their skills and to show employers they didn’t just let the years pass without accomplishing anything.
“They assume you are not a quality worker, which may or may not be true,” Ugoline said. “You need to have something to show them.”
‘Messed up my life’
No need to point out a short lifetime’s worth of mistakes to 21-year-old Thadius Hughes. He’ll spell them out for you. He has three children, an education that stopped in the 10th grade and perhaps three weeks of work in the last three years.
Growing up with his mom and a stepdad in a house where the number of kids regularly outpaced paychecks, he was weaned on tight times. Grade school went well enough, but at Westport Middle School and at high school in Raytown he just couldn’t hack it.
“There’s always somebody acting up, and I just couldn’t handle the distractions.”
Struggling in high school, he ultimately left over a dispute involving his baggy pants.
That left him passing the days with other idle boys and young men.
He tagged along with older guys, breaking into houses and stealing cars — not so much to get some cash but in search of something to do.
“I didn’t realize what it meant, that it mattered,” Hughes said. “After a while I messed up my life. When they say it catches up with you, it really does.”
Now he’s on probation after a 2008 arrest on a cocaine charge and amid an achingly slow effort to get his act together. Money is tight to nonexistent. He’s eager for the $50 a month and a bus pass he can score from a social service agency as an incentive to study for his GED. He had to borrow $40 to enroll in a course at Kansas City Kansas Community College.
There is much to overcome. He has had jobs over the years. One involved loading trucks and operating a forklift. He left that because he knew that he wasn’t pleasing the bosses and that his days were numbered anyway. He lost one cook’s job over what he says was a false accusation by a co-worker. At a job in a nursing home’s kitchen, he got tossed when another worker took offense at a conversation she overheard.
Meanwhile, he is the father of three children, ages 8 months to 3 years, with three different mothers. Hughes said he’d like to pitch in on the costs of raising them, but he’s got no cash to spread around.
His world is one of mostly inner-city horizons. He has never seen an ocean or a snow-capped mountain. Never traveled farther from Kansas City than Arkansas. (“I like to travel. It’s good to get away from everything.”)
Hughes talks, like millions of other young men, about “doing something with my music,” by which he means rapping. Failing that, he’d like to own a warehouse. And failing that, he thinks could train to become a car mechanic and open his own little business.
Yet even the most modest of dreams are deep into a future that looks fuzzy.
After leaving his mother’s home and “living here and there, kind of on the streets,” he has moved in with his truck-driving father.
That hunt for work still proves maddening. Part comes from a hollowed-out job market. Part from his lack of credentials. And part, he says, is that people “just see the stereotype.”
He’s tall, he wears his hair in dreadlocks, and he’s still partial to baggy jeans. He’s also got an affable smile that shows off some gold teeth. His inflection is more an echo of the streets than the guy reading the evening news.
“I’ve gotten to the interview,” he said, “and then it falls apart.”

Investment - Investing In Football Isn't Always A Wise Financial Decision

Source: Front Office Fans
This afternoon I got a package from the University of Miami's Hurricane Club, which is the athletic departments annual donor group, thanking me for my 2010 contribution to my alma mater. The gift was in a good size box, so I was excited to see what type of cool piece of merchandise they were throwing my way - but I opened it up to find a totally boring, plain white adjustable ball cap with the "U" on the front. Given that I'm not quite the schools most giving alumni, I shouldn't really expect much more, but it left me dissapointed - which is a feeling this team has given me far too many times this season.

Much like the "gift" (keep in mind, I paid for it when they gave me the option to add on an extra $10 to my annual donation earlier this year), it seems like this team continues to get fan's hopes up, just before letting them down. Given all of the sweet Nike gear that our team rocks, you think they could send us something awesome like the Pro Combat Gloves that just came out, or maybe a Stephen Morris jersey. In much the same way, you'd think those amazing 5-star recruiting classes Randy Shannon pulled in the last few years would finally be playing out on the field - but not so much.

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The team, like the hat, totally over-promises and under-delivers. In four years under Shannon, the Canes have yet to beat a legitimately good football team. Last year's beat down of Georgia Tech was simply solving the triple-option gimmick that had burned them badly the season before and the early win over a Sam Bradford-less Oklahoma team ended up not being so impressive when all the dust had settled on their year. So, enter 2010, Jacory "J12" Harris is a Heisman Hopeful and the team is supposed to be the favorite for an ACC Championship and BCS Bound. All the the hype swirled into Columbus for an early "revenge" game with Ohio State, which ended up looking a lot like the previous couple of seasons - Harris throwing picks and the defense getting run all over. Canes fans took that early thumping in stride, particularly after Miami took Pittsburgh behind the woodshed the following Thursday night. Another tight win over Clemson and the folks in the 305 were all jazzed up for the home game, national TV showdown against rival Florida State. Unfortunately, the team wasn't quite as pumped up and sluggishly went through the motions as the 'Noles ran them out of their own building.

Miami rebounded from that loss with a sloppy win at Duke and finally beat Butch Davis' UNC Tar Heels - and we all started to believe again. But, as Lee Corso says, "Not So Fast My Friend"! The Canes strolled into Charlottesville, where I bothered making the trip cross country for what I expected to be a Miami blow-out against one of the worst BCS division teams in the nation, and left with another loss and a QB in a sling. The concussion suffered by Harris, led to Shannon's quickfire decision to yank the red-shirt off Morris and tap him as the go-to guy for the next couple of weeks.

After an amazing last second touchdown to beat Maryland, the Canes put together their best showing of the season, rolling over GT in Atlanta. And, once again, we all fell into the trap, getting ourselves excited at the notion of beating Virginia Tech this weekend and hanging onto hope of getting into the ACC Championship Game. Through three quarters on Saturday the Canes appeared to be the better team and, if not for a few costly mistakes (3 fumbles & a missed FG), were tied up with the Hokies at 17-17. Then, with the whole season on the line, all the momentum going their way and nightfall setting in, they let us down one more time. An 85-yard TD run, followed by a Morris INT, followed by another VT TD and a couple more Morris INT's and the Canes basically wrapped up another sub-10 win season and an invite to another irrelevant pre-New Years Day bowl game.

Given all of the top talent and weapons on both sides of the ball, its wildly frustrating to watch this team continually lift our hopes, only to self-destruct. Yes, Shannon has done a phenomenal job at "cleaning up" the program from an academic perspective - but I don't donate money every year to the UM Science lab and I sure don't want them sending me a Hurricane Club Periodical Table of Elements.

I want the football team to regain its real "swagger" and actually beat a good team. I want the five-star recruits to actually look like five-star players. And I want a head coach who makes the big time adjustments when they need to be made. At some point towards the end of his 15 carry, 163 yard performance yesterday, the Canes coaches decided that Lamar Miller just wasn't the right RB to carry the load when the game was on the line in the 4th qtr and replaced him with Graig Cooper, who finished the game averaging 1.7 yards per carry. How the coaches on the sideline can't see what seems to be so obvious to everyone watching at home is something I'll never understand.

But, I guess, its sort of the norm within the Miami Athletic Dept - as I figure at some point someone at the Hurricane Club looked at the bland, white hat I received today and said, "Yes, this looks like something our fans would actually want to wear." Another disappointing season and another hat in the back of the closet.

When Project Franchise gets its squad, we may not win every game and may not always live up to the hype, but we can promise that when we send our fans (who spend their hard earned cash on supporting the team) some swag, it will be something they will be happy to wear on their heads.

Investment - Developing Your Own Investment Style

Source: The Motley Fool
Each investor's style is unique. One Fool reflects on his own development.
We buy shares in a company because we think they are going to go up, right? But how we evaluate that judgment varies between individuals, and most investors develop an investment style that is unique to them.
Generally, successful investing boils down to buying something for less than it is actually worth, and never overpaying, then selling it when it is priced too highly. But how that 'something' is defined can vary between individuals.

It's cheap, but what is it?

Looking back, I can remember earlier investing agonies as my style evolved. Of course, that's a never-ending process, but some fundamental principles adopted then, remain in my style today.
Luckily for me, I discovered Mary Buffett's book Buffettology in the late nineties, before obtaining sizeable amounts of capital for investing. In fact, the book inspired me to make the changes in my own business that led to its success and profitable sale.
From the book, I learnt about the differences between what Warren Buffett calls 'Commodity' businesses, with lots of competition and no pricing power, and 'Excellent', or 'Consumer Monopoly' businesses with profitable market niches and strong brands.

Qualitative and quantitive

A year later, I discovered The Motley Fool website and rapidly absorbed as much as possible about investing from its content. That led me to buy more investment books, and one of the first was Ben Graham's The Intelligent Investor, which gave me a good foundation in how to recognise a share price that was mispricing the underlying business.

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It was a good grounding in basic value investing, but I wanted more. Graham left some of my questions unanswered. For example, he never seemed to place much emphasis on analysing the quality of a business or its ability to grow, seeming to restrict analysis to whether it was selling cheaply or not relative to its current assets and earnings.
During that time, I'd been reading Buffett's shareholder letters and realised that he invested differently to Graham. In fact, the idea of not considering qualitative aspects of the business was counter-intuitive to me and I wanted to invest more like Buffett.
However, a real breakthrough came, for me, when I read Peter Lynch's book, One Up On Wall Street. For the first time I came across a way of beginning to value growth prospects with the idea that 'the P/E ratio of any company that's fairly priced will equal its growth rate.'
Of course, British investor Jim Slater also utilised the price to earnings growth ratio or PEG, and its use is fleshed out in his famous book The Zulu Principle.

Six sense

Lynch has a fantastic grasp of the way share prices behave within stock markets and learning of his six classifications for companies was something of an epiphany, for me.
He reckons that all companies can be thought of as either:
  • Slow Growers
  • Stalwarts
  • Fast Growers
  • Cyclicals
  • Turnarounds
  • Asset Plays. 
I have to say, that categorising my portfolio in that way was very insightful.
Using the technique in conjunction with Lynch's other great tip, which is to write down your investment plan for each holding, is part of the mainstay of my investment approach to this day.
Lynch urges us to write down what we expect an investment and its underlying company to do, then, if it doesn't, you can react accordingly.
Equally, you may gain insight into knowing when you have won, so that you can sell an investment: one of the hardest parts of successful investing, in my view.

Flexibility

Although I have formulated a framework for my investing over the years, it is equally important to treat every investment opportunity as a unique situation, and not to attempt to pigeonhole your thinking, I reckon.
For example, Warren Buffett is famous for his long-term approach to holding growing businesses. However, that's only part of his story. He'll wade into short-term arbitrage or deep-value, low quality business opportunities at the drop of a hat, too, if he believes there's a decent return to be had.
Good luck with the evolution of your own investment style, and may it serve you well.

The Transportation Security Administration (TSA) says: "The ennemy is us"

Source: Yahoo!News
TSA has met the enemy — and they are us
By ADAM GELLER, AP National Writer Adam Geller, Ap National Writer – Sunday 21 November 2010

How did an agency created to protect the public become the target of so much public scorn?

After nine years of funneling travelers into ever longer lines with orders to have shoes off, sippy cups empty and laptops out for inspection, the most surprising thing about increasingly heated frustration with the federal Transportation Security Administration may be that it took so long to boil over.

Even Secretary of State Hillary Rodham Clinton, who is not subjected to security pat-downs when she travels, understands the public's irritation. She, for one, wouldn't want to go through such scrutiny.

"Not if I could avoid it. No. I mean, who would?" Clinton told CBS' "Face the Nation" in an interview broadcast Sunday.

The agency, a marvel of nearly instant government when it was launched in the fearful months following the 9/11 terror attacks, started out with a strong measure of public goodwill. Americans wanted the assurance of safety when they boarded planes and entrusted the government with the responsibility.

But in episode after episode since then, the TSA has demonstrated a knack for ignoring the basics of customer relations, while struggling with what experts say is an all but impossible task. It must stand as the last line against unknown terror, yet somehow do so without treating everyone from frequent business travelers to the family heading home to visit grandma as a potential terrorist.

The TSA "is not a flier-centered system. It's a terrorist-centered system and the travelers get caught in it," said Paul Light, a professor of public service at New York University who has tracked the agency's effectiveness since it's creation.

That built-in conflict is at the heart of a growing backlash against the TSA for ordering travelers to step before a full-body scanner that sees through their clothing, undergo a potentially invasive pat-down or not fly at all.

"After 9/11 people were scared and when people are scared they'll do anything for someone who will make them less scared," said Bruce Schneier, a Minneapolis security technology expert who has long been critical of the TSA. "But ... this is particularly invasive. It's strip-searching. It's body groping. As abhorrent goes, this pegs it."

A traveler in San Diego, John Tyner, has become an Internet hero after resisting both the scan and the pat-down, telling a TSA screener: "If you touch my junk, I'm gonna have you arrested." That has helped ignite a campaign urging people to refuse such searches on Nov. 24, which immediately precedes Thanksgiving and is one of the year's busiest travel days.

The outcry, though, "is symptomatic of a bigger issue," said Geoff Freeman, executive vice president of the U.S. Travel Association, an industry group that says it has received nearly 1,000 calls and e-mails from consumers about the new policy in the last week.

"It's almost as if it's a tipping point," Freeman said. "What we've heard from travelers time and again is that there must be a better way."

Indeed, TSA has a history of stirring public irritation. There was the time in 2004 when Sen. Ted Kennedy complained after being stopped five times while trying to board planes because a name similar to his appeared on the agency's no-fly list. And the time in 2006 when a Maine woman went public with her tale of being ordered by a TSA agent to dump the gel packs she was using to cool bags of breast milk. And the time in 2007, when a Washington, D.C. woman charged that another TSA agent threatened to have her arrested for spilling water out of her child's sippy cup.

TSA denied the last, releasing security camera footage to try and prove its point. But that did little to offset the agency's longtime struggle to explain itself and win traveler cooperation.

It wasn't supposed to be this way. After Congress approved creation of the agency in late 2001, the TSA grew quickly from just 13 employees in January 2002 to 65,000 a year later. In the first year, agency workers confiscated more than 4.8 million firearms, knives and other prohibited items, according to a report by the U.S. Government Accountability Office.

But even as the new agency mushroomed, officials at the top, pressured by airlines worried that tighter security would discourage people from flying, looked to the business world for lessons on systems, efficiency and service.

TSA set up "go teams" pairing government employees with executives from companies including Marriott International Inc., The Walt Disney Co., and Intel Corp., to figure out how to move lines of people through checkpoints efficiently and how to deal with angry travelers.

But the agency was working under what Freeman calls "an unachievable mandate." Congress demanded an agency that eliminated risk. But the risks are always changing, as terrorists devise new methods and government parries. That has led to an agency that is always in crisis mode, constantly adding new policies designed to respond to the last terror plot.

President Barack Obama says he has pushed the TSA to make sure that it is always reviewing screening processes with actual people in mind. "You have to constantly refine and measure whether what we're doing is the only way to assure the American people's safety," Obama said Saturday. "And you also have to think through, are there ways of doing it that are less intrusive."

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Clinton, appearing on NBC's "Meet the Press," said Sunday she thought "everyone, including our security experts, are looking for ways to diminish the impact on the traveling public."

But John Pistole of the Transportation Security Administration said on CNN's "State of the Union" that the current threat level is too high to lessen the use of full body scans and intimate pat-downs. He said the ingenuity and determination of terrorists trying to bring down an airplane ruled out changes in screening policies.

TSA operates on the belief that a key to foiling terrorists is to keep them guessing, agency watchers say. But it has never really explained that to a flying public that sees never-ending changes in policies covering carry-on liquids, shoes, and printer cartridges as maddening and pointless inconsistency.

"If you ask what its procedures are, how you screen people, its 'I can't tell you that because if the bad guys find out they'll be able to work around the system'," said Christopher Elliott, an Orlando, Fla.-based consumer advocate specializing in travel. "That's why a lot of what they've done has not really gone over well with air travelers. They perceive it as being heavy-handed and often the screeners come across as being very authoritarian."

Over time, TSA has settled into a pattern of issuing directives with little explanation and expecting they be followed. But increasingly fed-up travelers don't understand the agency's sense of urgency and aren't buying it.

"I don't think the law enforcement approach is going to work with the American public. You've got to explain yourself and reassure people. And they're not doing it," Light said.

That goes beyond public relations, experts say. As more and more layers are added to air travel security efforts, it creates difficult and potentially unpopular choices. But the TSA has been unwilling to openly discuss how it arrives at policies or to justify the trade-offs, highlighted by its insistence over the need for the scanners.

"They're very expensive and what they (TSA officials) should be able to do is answer if it does reduce the risk, how much does it reduce the risk and is it worth it?" said John Mueller, a professor of political science at Ohio State, who has researched the way society reacts to terrorism.

The pushback against the body scanners and pat-downs shows the agency at its worst, Elliott said, issuing a policy that wasn't properly vetted or explained, but determined to defend it.

Growing dissatisfaction with TSA has even led some airports to consider replacing the agency with private screeners. Such a change is allowed by law, but the contractor must follow all the security procedures mandated by the TSA, including body scans and pat-downs.

But frustration with the TSA was building even before the latest furor. In a December 2007 Associated Press-Ipsos poll asking Americans to rank government agencies, it was as unpopular as the Internal Revenue Service. Even so, a poll earlier this month by CBS News found 81 percent of Americans support the TSA's use of full-body scanners at airports. The poll, conducted Nov. 7-10, had a margin of error of plus or minus 3 percentage points.

Elliott said that better communication would probably win the TSA more cooperation. But the public irritation suggests that a growing number of consumers, particularly frequent travelers, are questioning the premise at the heart of the agency's existence.

"I think at some point Americans said to themselves, maybe in their collective subconscious...there's a line here where it's not just worth it anymore," he said. "There's a growing sense that that line has been crossed."

Don't buy these things at Costco

4 Things Not to Buy at Costco
by Louise Tutelian
Saturday, November 20, 2010

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You head to Costco (Nasdaq: COST - News) to stock up on staples -- say, paper towels and cleaning supplies -- but you walk out with three salmon filets, a tub of cream puffs, and a ream of printer paper. Why?
Most of us are notoriously poor at assessing a true bargain, says C.W. Park, professor of marketing at the Marshall School of Business at the University of Southern California, and editor of The Journal of Consumer Psychology. Seduced by the prospect of saving money, we give in to impulse buys. Eventually, we regret the purchase or throw much of a past-its-prime product away. It's called the Costco Effect, and it's actually part of the store's incredibly successful retail strategy. But the effect on your wallet is that you spent more than you would have if you'd never seen that "bargain."
More from CBSMoneyWatch.com:

5 Things You Should Buy at Walmart

What NOT to Buy at Target: 4 Things

7 Ways to Make More Money
Here are four product categories where you're better off going somewhere other than Costco. (Keep reading for another four where Costco has some surprisingly good deals.)
1. Designer Clothes
You might score the occasional pair of Lucky jeans or a Speedo swimsuit, but designer duds aren't exactly Job 1 at Costco. Even if you do see an item from a top-tier name brand, you can't assume it's the same quality as the similar-looking product at a department store. "Just because it's a national brand name, an item of clothing doesn't have to meet the standards you'll see in other stores," says Marshal Cohen, chief retail analyst at the NPD Group, a market research firm.
Kathryn Finney, founder of The Budget Fashionista, says it's no secret that most name designers make cheaper lines just for warehouse clubs or outlet stores. The tip-off, says Finney, will be in the packaging and/or label on the garment. Labels on the sub-brands are just glued on, and are usually stiff and crunchy, while labels on high-end goods are softer or silky, and stitched all around.
2. Imported Shrimp
Most shrimp sold in the U.S. is imported from countries in Latin America and Southeast Asia, where environmental regulations are often lax or not enforced, according to the Environmental Defense Fund, (EDF), an education and advocacy non-profit. The EDF classifies shrimp imported from these regions as "eco-worst" for the environmentally destructive ways in which they are often farmed. Greenpeace took aim at Costco's seafood sustainability practices last June with an aggressive campaign called Oh No Costco. While Costco seafood buyer Bill Mardon says his company has entered into a partnership with the World Wildlife Fund to set global standards for shrimp farming, the specific objectives are still being discussed.
"Costco gets credit for starting down the road," says Tim Fitzgerald, senior policy analyst for oceans at of the EDF, "but they are still very early on." In the meantime, you're better off buying shrimp at Trader Joe's, which is much further along on the same path. After Greenpeace launched its Traitor Joe campaign in early 2009, Trader Joe's pledged to remove all non-sustainable seafood from its stores by the end of 2012, and it's already taken concrete steps in that direction.
3. Sheets and Towels
"Target and Wal-Mart have this market cornered and they do a great job," says Budget Fashionista's Finney. Costco, by contrast, rarely stocks more than a handful of top-selling colors in sheets and towels. "If you want 20 colors, this isn't the place," admits Jim Klauer, Costco merchandise manager for bedding and the home.
[See Top 10 Holiday Gifts]
4. 12-Pound Crates of Navel Oranges
Sure, it only costs $11.99, but it's not such a good deal if you end up throwing away half the fruit. Same goes for the package of six hearts of romaine lettuce, and the 3-pack of whipped heavy cream (240 servings) unless you're, say, hosting a sleepover for your child's entire soccer team. And their opponents. Teri Gault, founder of TheGroceryGame.com, which helps shoppers save on food, says that when it comes to produce, it's often more cost-effective to shop at your local supermarket and combine coupons with seasonal specials. Also avoid Costco's candy aisle -- do you really need a 5 pound bucket of licorice twists?
4 Things You Should Buy at Costco
Costco was cool even before the Great Recession. Targeting business owners and other affluent customers, the members-only warehouse shop avoided the Walmart stigma and sold a mix of high-end electronics, basic foodstuffs, and household necessities, plus an eclectic mix of humidifiers, bestselling books, and vintage Champagne. Now that frugal is fashionable, however, Costco seems like the perfect store for the times. The blogosphere, no surprise, offers up sites for Costco fanatics and Costco cooks. CEO and founder Jim Sinegal is renowned for the low salary he awards himself and the relatively high pay he shells out for employees. Even A-listers are getting in on the action: Jessica Alba, Megan Fox, and Zac Efron have been spotted loading up their cars with 30-packs of toilet paper and flat-screen TVs.
So should you follow the crowd? Yes, but only for certain items. If you've got the storage space, it's tough to beat Costco for staples such as paper towels, diapers, and shaving cream. But as good as the price-per-ounce may be, you just don't need that much mayonnaise. Below, we've listed four surprising items that you should pick up at the warehouse.

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1. Chocolate Truffles
They're real and they're spectacular: Costco sells authentic French chocolate truffles from Chocmod, a high-end French confectionery company. Complete with a dusting of cocoa, these truffles come but once a year and they are in stores now (and only in stores -- you won't find them online). They cost $10.89 for two two-pound boxes, compared with $29 on Amazon. That's 240 truffles, but who's counting? After your dinner party, put what's left in nice boxes and give them to colleagues at the office as a holiday gift.
[See Hot Holiday Toys in 2010]
2. Eyeglasses
One-stop shopping at low prices has endeared Costco Optical to tens of thousands of vision-challenged shoppers. For $49, a licensed optician will perform a vision and eye health exam in an in-store exam room. A week later, you can pick up your specs. In a survey released this month by Consumer Reports, 30,000 lens-wearers chose Costco as their favorite optical retailer over vision store chains, independent optical shops, and private doctors' offices. Costco Optical earned the highest scores for overall satisfaction as well as for price, with its $157 median price for glasses. Compare that price with an average of $211 at independent optical shops, $212 at private eye doctors' offices, and $228 at Pearle Vision. Costco also stood out for lack of problems, such as loose lenses, distorted vision, or damaged frames in the first weeks after purchase.
3. Laptops
Costco's prices on notebook PCs are already a good deal, but there's a further benefit to buying one at Costco: A two-year warranty policy (most manufacturers provide just one year), a 90-day return policy, and Costco Concierge Services, which is free to members and gives buyers access to technicians for set-up questions, product use, and trouble-shooting. Model numbers and configurations are often unique to Costco, but a perusal of specs will let you compare it to similar models sold elsewhere. Among current laptops on sale at Costco, PC Magazine Online gives high marks to the 14-inch HP Pavilion dm4-1173cl ($800 list price at Costco vs. $849 elsewhere for a comparable model).
[See 10 Things We Overpay For]
4. Extra Virgin Olive Oil
Costco's Kirkland Signature Organic Extra Virgin Olive Oil may be the best-kept secret in the store. At $9.99 for 1.5 liters, it is roughly half the cost of the well-known Bertolli brand, and yet, according to at least one independent study, it's much better. In a recent comparison of 19 olive oils on the market, The Olive Center, a research group at the University of California-Davis, found that Kirkland Organic was one of only five in the study not mixed with cheaper refined olive oil that can spoil the taste. The other four at the top of the list were all high-end brands that cost as much as five times Costco's. Make sure you buy the Costco version that's labeled organic, though, as opposed to the one that's simply called "extra virgin olive oil." It'll cost a little bit more, but it's worth it.