13 July 2018 FT — Articles to Read

13 July 2018

Question: According to MSN:Money and The Motley Fool, what are 10 signs you need to quite your job?

China and the world – Pg. 9

–          …the Communist party decided last year to abolish presidential term limits, thus allowing Xi Jinping to remain as head of state for lfe, ….

–          Using third-party outlets to mask party content has become such a common tactic that party officials have even given it a name – “borrowing boats to go to sea”, meaning to use another’s resources to fulfil one’s goals (Prof Note: Sort of like Western finance’s method of doing a deal with no money?)

–          China News Service is controlled by the Overseas Chinese Affairs Office, a key organization behind the Communist party’s influence operations abroad

–          Since 2003, China News Service has hosted annual conferences in China to which hundreds of editors from overseas media organizations in print, television and radio are invited

–          Independent Chinese-language writers find it increasingly difficult to publish work not sanctioned by party-backed media…

–          Beijing’s increased global economic clout has put additional pressure on Chinese-language media abroad

–          In some cases, the threats against reporters for non-compliance are less than subtle

Morningstar targets $19tn market – Pg. 13

–          Morningstar is to go to battle with its clients for a greater slice of the $19tn US mutual fund market as the investment research and ratings provider prepares to launch a range of in-house products

–          The group’s “managed portfolio service”, which enables financial advisers to outsource investment decisions to Morningstar, already has $44bn of assets mostly overseen by external fund managers

–          Instead of Morningstar selecting external funds to include in its managed portfolio, it will rely on the in-house mutual funds as the building blocks

–          Morningstar said its mutual funds would not be qualitatively rated by its analysts but they would be eligible for an in-house, algorithmically assigned star rating after a three-year performance record, ….

–          Having started life as a boutique research provider that compiled data on 400 mutual funds three decades ago, Morningstar now employs 5,000 staff and overseas more than $200bn of assets, while publishing data on 233,000 mutual funds

Global regulators demand banks must abandon reliance on scandal-hit Libor – Pg. 21

–          Global markets regulators issued stern warnings yesterday that banks must speed up their plans to abandon Libor in favour of “risk-free” reference floating interest rates

–          …authorities raise pressure on banks to find an alternative to Libor, which sets the cost of unsecured borrowing for a variety of periods, usually over one, three, and six months

–          Authorities argue the four-decades-old benchmark no longer reflects actual bank funding activity and are also seeking to restore public trust after a series of manipulation scandals.  After 2021, banks will no longer be required to submit rates that are used in compiling Libor

–          Around $170tn in interest rate swaps are based on Libor

Answer: (1) You’re overwhelmingly bored (Prof Note: Come on…find something to do and build those resume bullet points for the next job!); (2) You’re underappreciated (Prof Note: Find appreciation and meaning in family and friends!  It is dangerous and very Western to find it at a job that could be gone tomorrow!); (3) Your manager isn’t helpful (Prof Note: Grow up!  Build your resume and leave!); (4) Your coworkers aren’t supportive (Prof Note: Figure out if it is them or you.  If you, time to go!); (5) Your work-life balance is nonexistent (Prof Note: There better be a GREAT reason you are missing sunsets!); (6) You don’t like the company culture; (7) Your health is suffering (Prof Note: Unless it is your company, it simply is not risk loss of health!); (8) You’re in a dead-end position (Prof Note: Then…do the hustle!); (9) Your compensation stinks (Prof Note: I cannot stand it when people say this!  Then why did you accept the position?!  When you outgrow the position, and you are not recognized, leave!); (10) You no longer care about your performance (Prof Note: This means your self-esteem is gone or has been taken.  Time to go)  (Prof Note: I heard an expression on the radio from a very disgruntled employee that apparently quit in a “colourful” manner.  His quote, that I absolutely loved (I am not saying to resign in colourful ways…only that I LOVE the quote), “Let the burning bridges light my way!”  An instant Classic!!! J)