The Amazing story Mr. Soichiro Honda

I always love to hear and read success stories, really. Every time I read a new success story my heart is jumping  up and down for excitement. I don't know the reason why but I just did. Anyway, in this article allow me to share to you a story I just read from a book and then search in the internet to know more about this amazing guy who never allowed tragedy, problems, challenges, or the twists and turns of circumstances to get in his way. In fact, he often decided to see some of the biggest obstacles in his way as mere hurdles in the race to reach his goals. This simple amazing guy is none other than Mr. Soichiro Honda. Who doesn't know him?

The first product to carry the Honda name was this Honda A-Type auxiliary bicycle engine. With a view to achieving mass production, the company started manufacturing the engine parts by die casting. (Photograph by courtesy of Honda Collection Hall)

For the record, Mr. Soichiro Honda (November 17, 1906 – August 5, 1991) is a Japanese entrepreneur and inventor, he was born to a talented and honest blacksmith, Gihei and Mika. He was engaged in the development and industrial production of mopeds, motorcycles and cars. He is the founder of the Honda Motor Co., Inc. Corporation and automobile companies in the U.S. and Japan. Soichiro Honda is the creator of the popular models of motorcycles and cars: Super Cub, Civic, Accord, Prelude and etc. He is the owner of multibillion-dollar status. Soichiro Honda, a Japanese engineer, industrialist, and founder of the automobile giant Honda Motor Co., Ltd, 

Honda's Dream Type D model (courtesy of Honda Collection Hall)

Allow me to quote this from http://www.ideasgrp.com

In 1938, Mr. Honda was a poor student who had a dream of designing a piston ring that he would sell to any manufacture for Toyota Corporation. Every day he would go to school, and all night long he would work on his design, up to his elbows in grease. He spent what little money he had on his project, and it still wasn't finished. Finally, he hocked his wife’s jewelry to continue.

After years of effort he finally designed the piston ring he was sure Toyota would buy. When he took it to them, they rejected it. He was sent back to school to suffer the humiliation of his teachers’ and friends’ telling him what an idiot he was for designing such a ridiculous gadget. Was he frustrated? You bet. Was he broke? Yes. Did he give up? No way. Instead, he spent the next two years continuing to find ways to make the piston ring better. Finally, after two more years, he refined his design, and Toyota actually bought it! 

In order to build his piston factory, Mr. Honda needed concrete, but Japanese Government was gearing up for World War II, so none was available. Once again, it looked as if his dream would die. It seemed no one would help him. Again, did he quit? Absolutely not. He had decided to build this factory. Since giving up was not an option, he got together a group of his friends, and for weeks they worked around the clock trying different approaches until they found a new way to manufacture concrete. He build his factory and was finally able to produce his piston rings.

“But wait, there’s more…”

The story doesn’t end here. During the war, the United States bombed his factory, destroying most of it. Instead of feeling defeated, he rallied all his  employees. He said, “Quickly! Run outside and watch those planes. What they’ll do is drop their fuel cans out of the  sky. We need to find out where they drop them and get those cans, because they contain the raw materials we need for our manufacturing process!” These were materials they couldn’t get anywhere in Japan.  Mr. Honda found away to use whatever life gave him. Finally, an earthquake leveled his factory and he was forced to sell his piston operation to Toyota. But God never closes a door without opening another one, so we need to stay alert to see whatever new opportunities life presents us…When the war ended, Japan was in total turmoil. Resources were scarce in all part of the country – gasoline  was rationed and, in some cases, nearly impossible to find – and Mr. Honda couldn’t even get enough gas to drive his car to the market to buy food for his family. But instead of feeling defeated or helpless, he made a new decision. He decided he would not settle for this quality of life. He asked himself a very powerful question: “How else can I feed my family? How can I use things I already  have to find a way to get there?” He noticed a little motor he had, one that was the size and type to drive a traditional lawn mower, and he got the idea of hooking it up to his bicycle. In that moment, the first motorized bike was created. He drove it to and from the market, and pretty soon his friends were asking him to make some for them, too. Shortly thereafter, he’d made so many “motorbikes” that he ran out of motors, so decided to build a new factory to manufacture his own. But he had no money, and Japan was torn apart. How would he do it?

Instead of giving up and saying, “There’s no way,” he came up with a brilliant idea. He decided to write a letter to every single bicycle – shop owner in Japan, telling them that he thought he had the solution for getting Japan moving again, that his motorbike would be cheap and would help people get what they needed to go. Then he asked them to invest. 

Of the 18,000 bicycle – shop owners who received a letter, 3,000 gave Mr. Honda money, and he manufactured his first shipment. And then he was a success, right? Wrong! The motorbike was too big and bulky, and very few Japanese bought it. So once again, he noticed what wasn't working, and instead of giving up, he changed his approach again. He decided to strip his motorbike down and make it much lighter and smaller. He called it The Cub, and it became an “overnight success,” winning Honda the Emperor’s Award. Everyone looked at him and thought how “lucky” he was to have come up with this idea. 

Was he lucky? Maybe, if L.U.C.K. means  Labor Under Correct Knowledge. Today, Mr. Honda’s company is one of the most successful in the world. Honda Corporation now employs over 100,000 people and outsells all but Toyota cars in the U.S. – all because Mr. Honda never gave up. He never let problems or circumstances get in his way. He decided that there is always a way to succeed if you’re really committed.

Sources:
http://astrumpeople.com
http://www.ideasgrp.com
Wow! Isn't  amazing? I never get bored reading this over and over again. Did you count how many times he encounter  failure? How many times his factory burned down? Not once, not twice but a lot of times. Have you noticed his situation? It's seems that all odds are against him. Right? But he was so determined about his goals and dreams. It is so clear in his mind that whatever life may bring in front of him he will still continue to act on his dreams.  

If we will compare ourselves to this guy maybe by the first time we encounter failure we will say maybe this is not for me, we even blame God for our failure. We may say, I think this is not God's calling for me. Friends it's time to grow up GOD already gave us everything and God wants us to be a great steward for his gift to us all. 

One of my favorite quote from Mr. Soichiro Honda is..

Success can be achieved only through repeated failure. My success represents the one percent of the work that resulted from the 99 percent that was called failure.— Soichiro Honda

Do You Believe That the Rich Won’t Enter Heaven?

Most of us Filipinos are very religious by nature. Religious beliefs are so deep it rooted down to our identity. It all started from our very beginning during our childhood days. Our parent teach this to us. We follow them even if we are not aware that we are already following it because it's already in our head and we truly believe that belief. That's why religion plays a major role in determining our future.

Friends, allow me to quote this  topic from my mentor's book entitled 8 secrets of the truly rich by Bro. Bo Sanchez. This is the exact word he used. I hope you don't mind this. I just love to share this, exactly what it is written in his book because I found it very crucial in our journey and an eye opener too.

Again, I tell you, it is easier for a camel to go through the eye of a needle than for a rich man to enter the kingdom of God.— Matthew 19:24 

The verse above is often quoted as proof that heaven isn't for rich people. I've got two problems with that. First of all, they don’t read the two verses right after that verse…

When the disciples heard this, they were greatly astonished and asked, “Who then can be saved? Jesus looked at them and said, “With man this is impossible, but with God all things are possible... Matthew 19:25-26

Jesus didn't say, “It’s impossible for rich people to enter heaven.” He simply said, “It’s going to be more difficult for the rich person to enter heaven.” Why is this? Because Jesus says that to whom much is given, much more will be required (Luke 12:48). Anyone who has more talents, for example, will also be judged in a different way than one who has less.

Paul even says, “Not many of you should presume to be teachers, my brothers, because you know that we who teach will be judged more strictly” (James 3:1). If you’re a teacher, that means it’s also more difficult to enter heaven. So should I be terrified of severe judgment and give up preaching? Oh woe is me, what have I done? I preach 300 times a year. My goodness. Should I resign today and find myself another job? (Hmm. I wonder if I can be a male ramp model…) Wait a minute. Who then will preach if everyone says, “Don’t be a preacher. It’s so difficult to go to heaven because on Judgment Day, you’ll be judged more strictly.”

This is silly thinking. In the same way, don’t avoid wealth simply because it’s difficult to enter heaven. Because God needs godly people who will run businesses, give jobs, and bless the world with great services and great products. 

Here’s my second point: Don’t take the “camel through an eye of a needle” literally. The illustration is so out-of-this-world, no wonder people think it’s impossible. But when Jesus said, “camel through an eye of a needle,” ancient Jews would have immediately understood what He was referring to. “The eye of a needle” was a common idiom for the doorway of a camel’s home. The doorway is very small. So a camel coming home from a very rich caravan should do two things to enter into it. First, he needs to unload his bags from his back. Second, he has to stoop down and crawl inside. 

And thus we get the meaning of this passage: We now know what a rich person needs to do. First, he needs to unload his wealth either by literally giving it all away (as celibates in religious congregations do), or by spiritually detaching himself from all his wealth as all of us should do. Second, he should stoop down before God and acknowledge that all belongs to Him. A rich person must remain humble before the Lord and before others. What if Tony Tan of Jollibee responded to this particular Bible passage by saying, “Gosh, rich people can’t enter heaven? I won’t go into business…” Then, thousands upon thousands of people won’t have jobs today. I know because each year, my own Beacon light Corporate Training Team gives powerful leadership and life-management seminars to over a thousand Jollibee store managers (who love their jobs, by the way.) Where would they be if Tony decided not to get into business? Thank God, his response was very different. 

Remember: The rich can go to heaven if they’re truly rich. It’s not impossible, only more difficult. Don’t be afraid of a challenge.

There you go folks, I hope I was able to share something great in your journey. Specially towards our financial goal. By the way you can download the complete 8 secrets of a truly rich e-book here in my blog. You can click the image of that book right here on the top left side of my blog. Feel free to download it and be blessed so that you can be a blessing to others as well. You can also visit the website of my mentor for you to follow him, here is the link http://bosanchez.ph/ .

P.S. My dear friends if you want to be truly rich, I am inviting you to join Bro. Bo Sanchez Truly Rich Club. I had been a member of this club for a couple of years now and it had blessed me so much spiritually and financially. Please click this link http://bern_cadelina.trulyrichclub.com/

Why would I Invest my Savings?

The Philippines has a very low savings rate compare to our neighboring Asian countries. Actually there's no "saving culture" in our country,only a culture of consumption. Savings are very important to our country's development since these are the  main source of investments that can generate more production and employment.

Philippines has Billions of dollars.

In December 2012, The Bangko Sentral ng Pilipinas (BSP) says that Overseas Filipinos Worker (OFW) send US $23.8 billion to their relatives back home each year. Where did all these money go? Most of these remittances went into goods and services. Only a small amount went into savings, which could have been invested.

Source: http://www.bsp.gov.ph/

One of the reasons why Filipinos do not invest their money is they do not know where to put their savings. They don't know how and where to invest. The few who call themselves as wise who actually save end up putting their money in "get-rich -quick schemes," which turn out to be pyramid scams and swindling operations. And that is also one of the reasons why most of us Filipinos is apprehensive to invest our hard earn savings.

Why would I invest?

There are so many reasons why we need to invest our hard earn savings. By its definition alone investment are made to generate future purchasing power that will keep ahead of inflation and provide investors a sense of financial security. Investing is the ability o make your savings grow or appreciate to achieve your long-term financial goals. Investing is the most effective way to build your personal wealth and secure your financial future.

There are various of investment instrument that we can choose from depending on our needs, these are Stock market, Bonds, Pension plan, Insurance policies, Real estate, Pension plan and so on. If you have a bigger savings and want to avail yourself to more complex options, your bank or your financial planner can help you.

Philippine economic growth.

If you have noticed in our news lately that the Philippines has posted better-than-expected economic growth, boosted by the strong performance of the country's services sector. Its economy grew 6.6% in 2012, the statistical bureau said, beating the government's target of 5 to 6% growth. The bureau added that a "substantial improvement" in manufacturing and construction sectors also aided growth. Strong domestic demand has helped cushion the impact of a global slowdown on the Philippines' economic growth.

Source: http://www.bbc.co.uk/news/business

What does this mean to you?

Most of us are just watching and reading this very good news. We have no idea what this means in an INVESTOR'S point of view. We just let this opportunity passes by as if nothing happens. Most of us say that I don't care because I don't  know how to invest, but the irony is we never invest to our financial literacy or education. Imagine this my dear friends, if my parents did not invest for my formal education until college, what kind of life would I be having right now? Do you know how much is my parents total investment for my formal education from kinder to college? Ask your parents how much they invested for your formal education. Then, tell me how much does it cost for your education and why it is so expensive? Financial education is so valuable, we can even pass on to our children's children. Friends let's fight against poverty. Enough is enough. It's time to start investing.

My personal journey.

My dear friends allow me to share to you my personal journey. Last 2010, I joined the TRULY RICH CLUB. It was one of the best decisions of my life. Founded by Bo Sanchez , its purpose is to "help good people become rich". Because of the guidance I get from the club, I'm now investing in the stock market each month! Shocking, right? But it's amazing how I'm personally growing in my finances. I'm inviting you all to join the CLUB too. If you are interested, please watch and listen to this video how Bo explain what it is all about or you can click the link below. Thanks and God bless us all!

To go to our club website please click this Link TRULY RICH CLUB .  

To Join Truly Rich Club please sign up here for Philippine Resident .

To Join Truly Rich Club please sign up here for International Resident.

You can also download the Book My Maid Invest in the stock Market  in this Download link.

Investing: It's Every Juan's Game

The Philippine investment environment has significantly changed over the last decade. Investing is no longer a sport that only the bourgeois alone can play like polo or golf.  As people realize the need to seek returns that would, at least, beat the rate of inflation, more and more investors seek to finance their medium to long-term goals with investments in bonds and stocks. In addition,  minimum investment amounts, that previously served as barriers to the new and modest investor, were brought down to more affordable levels. 

Today, investment products are taking on the innovative micro-selling approach of "Sachet Marketing" that was proven effective in developing countries like the Philippines. It is now, more than any other time, that investing should be taken on by "every Juan". 

Why Is It Easier to Invest Nowadays? 

When asked why some people shy away from investing, the top three responses include: 

1) investments are not affordable;

2) investments are too complex to understand; and,

3) investments are difficult to manage. 

On Affordability 

New investment avenues and products are being developed to capture the success of the "sachet" concept, where funds are offered at smaller and more affordable amounts. Products such as BPI's Unit Investment Trust Funds (UITFs), with minimum investment of PhP10,000.00 for peso-denominated funds and USD 1,000.00 for US Dollar denominated funds, make investing easier and viable for starters. 

On Complexity 

Investment jargons, that often alienate would-be investors, have been brought down to layman terms. At BPI, we make sure that each client undergoes a Client Suitability Test to determine his/her investment objective, risk profile and investment horizon which are used in recommending a portfolio allocation and the types of products suited to each client's profile. Like instant coffee in sachets, an investor is presented with choices on the type of funds they wish to have in their cup of investments, whether it would be pure black coffee, with cream, or 3-in-1. 

On Managing Investments 

Advances in information technology and the internet provided investors, not only with the means to find out more information about investments,  but also made it easier to manage their portfolio of investments with a click of a mouse through on-line platforms. Presently, BPI clients can monitor their investment funds through the BPI Expressonline and soon contribution and redemption transactions will also be made available to provide our clients more convenient means of managing their investments. 

Its always a good idea to invest your money for the purpose of helping you achieve your financial goals and there has never been a better or easier time to start investing than now. Open an investment account TODAY and start building your TOMORROW with us. 

Bas M. Cadeliña

BPI Senior manager.

Not all returns are created equal.

The market is flooded with all sort of Investments like Mutual Funds offered by banks and mutual fund companies with almost everyone offering the same asset class investments.  Between different banks offering similar investment funds, you may wonder why one bank offers higher return over its peers.  Naturally, you will be enticed and even persuaded to invest in a product which offers the “highest” absolute returns.  Be warned though!  Be very alert that by itself, the historical absolute return of an investment can be quite misleading when used as an indicator of future performance.

www.flickr.comphotos

Chasing after the return only tells half of the story.  You cannot simply rank investments from highest to lowest by using the return figures.  It is more important to get good risk-adjusted return as this is a much better barometer.

ABSOLUTE RETURN
In simple terms, absolute return is the gain or loss of a fund in a particular period, quoted as a percentage.  This is what you see published in broadsheets and disseminated across different media forms.  These figures are what entice ordinary investors.

RISK-ADJUSTED RETURN
On the other hand, risk-adjusted return refines return by measuring how much risk is involved in producing that return.  When comparing two or more potential investments, an investor should always compare the same risk measures between different investments in order to get a relative performance perspective.

SO WHAT?
You may then wonder, what’s in it for me?  Absolute return is the more obvious measurement of a fund’s performance.  How do I know what is my risk-adjusted return?  How do I know how much risk is involved for the return I’m getting?
In basic terms, risk-adjusted return is computed as:

Risk-adjusted return = Absolute return over Volatility  

In layman’s term, volatility refers to the fluctuations in the fund’s Net Asset Value (NAV) per unit or NAV per share.  The rule of thumb is the higher the volatility, the riskier the investment

GOLDEN RULE

www.flickr.comphotos26373139

When comparing two funds with the same absolute return, a fund with a higher-risk adjusted return is actually a better option than another fund with a lower risk-adjusted return because a higher ratio means higher reward per unit of risk taken.

To illustrate, take the story of Jane who needs to go to another town.  She has two options: a.) take a rough road with a shorter route, or b.) take a paved road which will mean a longer travel time for Jane.  At first look, both alternatives might come across as equals, providing the same absolute return, which is to reach the other side of town.  However, taking into consideration the risks involved in taking the rough road, option B can actually provide a greater risk-adjusted return.

YOU CHOOSE
In choosing a fund, remember to not just focus on the financial reward.  It is also important to consider the risks involved in achieving your desired return.  Don’t be blinded by RETURNS ALONE.  Remember to ask yourself, “How much risk am I willing to take to reach my desired reward?”

(Sources: BPI Asset Management Research, BPI Asset Management Weekly Market Update and Outlook, BPI Investment Funds Daily Monitor, Bloomberg, Investopedia.com)
Disclaimer: Investing involves substantial risk. Neither the author, the publisher, nor any of their respective affiliates make any guarantee or other promise as to any results that may be obtained from using this blog. No subscriber should make any investment decision without first consulting his or her own personal financial advisor and conducting his or her own research and due diligence, including carefully reviewing the prospectus and other public filings of the issuer. To the maximum extent permitted by law, the author, the publisher and their respective affiliates disclaim any and all liability in the event any information, commentary, analysis, opinions, advice and/or recommendations in this blog prove to be inaccurate, incomplete or unreliable, or result in any investment or other losses.

What does investment mean?

To be honest, before I learn to invest my money. I never understand the word investment, really. I even ask my brother who is an accounting student at the time I ask him. I tried to understand but it never sink in to my mind.  All I know is that investment is  a business that's all nothing more.

Investment, as the dictionary defines it, 

•  is something that is purchased with money that is expected to produce income or profit.
• use of money for future profit: the outlay of money, e.g. by depositing it in a bank or by buying stock in a company, with the object of making a profit 
• money invested: an amount of money invested in something for the purpose of making a profit
• something in which money is invested: something, e.g. a company, endeavor, or property, that money is invested in with the goal of making a profit 
• contribution to activity: a contribution of something such as time, energy, or effort to an activity, project, or undertaking, in the expectation of a benefit 
• purchase: a purchase, especially something that somebody should be able to use for a relatively long time

Three Types of Investments.

Source: www.flickr.com/photos/26373139

A. Lending Investments.

General types: Bonds (Government bonds, corporate bonds), Bank deposit (Savings , Time Deposits), Pension plans (In general).

How it works: The money you invest is given to borrowers as loans. You earned from the interest charged to the borrowers for the use of your money.

Recommended for: Those who need regular and definite income: those who are fifty years old or older who can take less risk.

Return: Relatively low for the short-term but exceeds inflation rate in the long term. The money you make is called interest.

B. Ownership Investments.

General types:  Stocks, mutual funds, unit investment trust funds (UITF), Real estate, own businesses.

How it works: These investments make you a part owner of the business or company which receives your money. You need to sell before you realize your gains or losses.

Recommended for: Younger investors in their thirties to late forties.

Risk: High. You make money if the business or company goes up in value and vice versa. You gain or lose money only when you sell.

Returns: Historically the highest. given enough time. Your return is in the form of dividends or capital gains.

C.  Speculative Investments.

General types: Investment in assets, properties or businesses that may be illegal or at best, questionable. Another type is when you engage in gambling activities like the lottery.

How it works: The asset/property/business usually has vague and incomplete information on how it can generate profit. You hope and take the chance that it will eventually increase in value and give you bigger returns when you sell it. You place a bet or buy a lotto ticket hoping you will win.

Risk: Very high. How the asset will appreciate is uncertain, more likely dependent on chance, and is affected by so many factors beyond anyone's control. You have to be prepared to accept total loss.

Returns: You earn only if you are able to sell your investment, or win more money. Generally, speculation is for the short term only. You expect to cash-in in a very short period, like a few months or maybe at most one year.

Remember! Every investment has to be studied in terms of three important criteria: Risk, Return and Liquidity. Choose investments with returns of 2 to 4 percent above the annual inflation rate. Do not be too attracted by unreasonable high returns, Generally anything more than 2 percent per month is highly questionable. And finally remember this: The higher the returns the higher the risk.

Source: Making your money work by Francisco J. Colayco

Source: www.flickr.com/photos/26373139

Do You Want to Gain Financial Wealth and Spiritual Abundance at the Same Time?

Disclaimer: Investing involves substantial risk. Neither the author, the publisher, nor any of their respective affiliates make any guarantee or other promise as to any results that may be obtained from using this blog. No subscriber should make any investment decision without first consulting his or her own personal financial advisor and conducting his or her own research and due diligence, including carefully reviewing the prospectus and other public filings of the issuer. To the maximum extent permitted by law, the author, the publisher and their respective affiliates disclaim any and all liability in the event any information, commentary, analysis, opinions, advice and/or recommendations in this blog prove to be inaccurate, incomplete or unreliable, or result in any investment or other losses.