World  Business and Economic Analysis 

کتاب عملیات بانکی در عرصه بین الملل ,

  • Challenges and ethical considerations faced by investment consultants


    Modern investment consulting firms encounter several challenges in their pursuit of providing sound financial advice during the investment process.

    These challenges include the following:

    • Market volatility: Fluctuations in financial markets can make it challenging to provide stable, consistent advice. Consultants must navigate market ups and downs while keeping clients on track toward their goals.

    • Regulatory changes: Evolving financial regulations impact consulting practices. Staying compliant with regulatory requirements and adapting to new standards can be complex.

    • Client expectations: Meeting diverse client expectations is always demanding. Clients may have different risk tolerances, goals, and preferences, making personalized advice necessary.

    • Investment complexity: As investment products become more intricate, consultants must continually update their knowledge to understand and recommend these options effectively.

    • Technological disruption: The integration of advanced technologies, like robo-advisors and AI-driven services, presents serious challenges. Consultants need to adapt to remain competitive and provide value beyond what automation offers.

    In international investment consulting, ethics play a critical role in shaping the relationships between consultants and their clients.

    The ethical framework that underpins this profession is multifaceted and goes beyond mere guidelines. Consultants must maintain the highest ethical standards to build trust with clients and protect their interests.

    Key ethical considerations include:

    • Fiduciary duty: Consultants have a fiduciary duty to act in their clients' best interests. This means putting the client's financial well-being ahead of any personal or company interests.

    • Conflict of interest: Investment consultants must identify, disclose, and manage conflicts of interest. For example, they must disclose if they receive any compensation or incentives from recommending specific investment products.

    • Full disclosure: Transparency is vital in this business. Consultants should provide clients with comprehensive information about fees, investment strategies, and any potential risks associated with their recommendations.

    • Client confidentiality: Maintaining client confidentiality is another ethical obligation. Consultants must protect clients' sensitive financial information and not disclose it.

    • Competence and education: Investment consultants are ethically bound to maintain their professional competence through ongoing education and training.

    Practice shows, that investment consulting firms face numerous challenges related to financial and market volatility, adaptation to regulatory changes, and evolving client expectations. They must navigate these challenges while upholding ethical standards.

  • MassHousing Provides $14.5 Million for the Refinancing, Renovation and Extension of Affordability at the 76-Unit Farnsworth House for Low-Income Seniors in Boston for at Least 24 years


    Rogerson Communities, developer and property manager of Farnsworth House, will complete property improvements and upgrades.

     MassHousing, working with Rogerson Communities, has closed on $14.5 million in affordable housing financing to Charles H. Farnsworth Senior Housing Corporation, owner and developer of the 76-unit Farnsworth House for older adults in Boston, for the refinancing and renovation of the property, and the extension of resident affordability for at least 24 years.

    "MassHousing is pleased that the seniors living at Farnsworth House will have their affordable rents extended for the long term," said MassHousing Executive Director Chrystal Kornegay. "MassHousing partners with mission-based affordable housing providers like Farnsworth and Rogerson Communities, for the benefit of lower-income households, and this transaction ensures that Farnsworth House will continue to serve Boston residents for decades to come."

    "Charles H. Farnsworth Senior Housing Corporation's ongoing mission is to serve this community. Preserving that affordability for low-income seniors is essential," said Peter Fenn, Farnsworth Senior Housing Corporation's Board Chair. "Critical reinvestment in the building will not only positively impact the current residents, but it will also have a long-lasting impact on the Farnsworth Housing Corporation's ability to create more affordable housing and deliver services to elders in the community."

    "Rogerson Communities is pleased that our work with MassHousing will continue to ensure that low-income seniors have affordable rents well into the future. Quality affordable housing that is both appealing and supportive is imperative if we are to preserve vibrant and diverse communities," said Walter Ramos, Rogerson Communities' President & CEO.

    Located at 90 South St. in Jamaica Plain, Farnsworth House is a seven-story, brick building built in 1982 under the federal Section 202 Program.

    Among the improvements planned for the property are roof replacement, parking lot refurbishment, the removal of an underground oil tank, and replacement of the emergency generator, emergency call system, intercom, security camera system, fire alarm panel system and lobby furniture.

    As part of the transaction, the property owner, Charles H. Farnsworth Senior Housing Corporation, has executed a new 20-year HUD Section 8 Housing Assistance Payment contract for 75 of the 76 apartments at Farnsworth House. The new contract will include four years remaining on the previous contract, for an overall extension of affordability of 24 years. There is an additional unit on the property for management staff.

    Farnsworth House was refinanced through MassHousing's Multifamily Accelerated Processing (MAP)/Ginnie Mae Joint Venture Initiative with lender partner Rockport Mortgage Corporation. MassHousing offers the MAP/Ginnie Mae loan program to the owners of rental housing through the U.S. Department of Housing and Urban Development (HUD). HUD provides expedited Federal Housing Administration (FHA) insurance approvals through the MAP program. MassHousing has surpassed $2 billion in cumulative MAP lending and the Agency has built the largest MAP lending program of any state housing finance agency in the nation.

    The combination of FHA insurance and a Ginnie Mae guarantee enables borrowers to access taxable mortgage financing with lower interest rates, while preserving and extending affordability for hundreds of low-income individuals, senior citizens, and families. MassHousing is providing Charles H. Farnsworth Senior Housing Corporation with a $14.5 million, 35-year permanent loan.

    "We are pleased to continue our successful joint-venture partnership with MassHousing, ensuring that properties such as Farnsworth House remain affordable for the long-term," said Dan Lyons, President of Rockport Mortgage. "The planned improvements to the property, supported by this loan, continues the commitment by ownership to preserving this important housing asset for the senior citizens of Jamaica Plain calling Farnsworth House home."

    Farnsworth House has 69 one-bedroom apartments and seven two-bedroom apartments.

    About MassHousing's MAP/Ginnie Mae Initiative
    MassHousing has partnered with two well-known and experienced MAP lenders, Capital One and Rockport Mortgage Corporation. The MAP lender prepares the submission of each transaction for HUD’s approval. MassHousing then closes the new loan and issues a Ginnie Mae Mortgage Backed Security (MBS), which has consistently provided the multifamily mortgage industry its most competitive long term, taxable interest rates.

    With each MAP/Ginnie Mae loan, MassHousing continues as the mortgagee of record and becomes a Ginnie Mae servicer. This ensures affordability, as each completed transaction will require the property owner to rent at least 20 percent of the units to those earning less than 80 percent of the area median income. Affordability at many properties could be at risk were MassHousing unable to offer this product, as owners could refinance with other lenders who do not require affordability restrictions.

    About Charles H. Farnsworth Senior Housing Corporation
    Since its inception, the Charles H. Farnsworth Senior Housing Corporation has been concerned about the welfare of low-income older adults. The key goal of Farnsworth House, a 76-unit congregate housing community opened in 1982, was to secure supportive services sufficient to allow seniors who were at risk of institutionalization to continue to live independently. Having realized that goal, Farnsworth Housing Corporation now looks to expand its mission through the creation of new affordable housing with supportive services for the growing population of older adults.

    About Rogerson Communities
    Rogerson Communities is a mission-driven non-profit that focuses on “Senior Living,” creating communities where older adults thrive. The Rogerson Model incorporates supportive housing and healthcare to help seniors and their families find solutions to aging strong in their community by providing a sense of dignity across all income levels. Often this means finding housing that is affordable. With 30 properties and programs under management, Rogerson offers every aspect of Senior Living: affordable housing; independent and retirement living; assisted living; memory care; continuing care communities; as well as adult day health programs. Properties are located throughout Greater Boston and stretch west to Worcester and south to Weymouth. For more information, please visit

    About Rockport Mortgage Corporation
    Rockport Mortgage Corporation is a privately owned commercial mortgage banking firm founded in 1992 and located on the North Shore of Boston. Rockport specializes in providing FHA-insured loans to market-rate, affordable and senior housing communities and healthcare facilities through the Department of Housing and Urban Development (HUD) and has been approved under HUD’s Multifamily Accelerated Processing (MAP) Program since the program inception in 2001. The Rockport team works collectively to navigate the complexities of FHA/HUD-insured finance programs, developing strategic solutions to meet the needs of our clients. For more information about Rockport Mortgage Corporation please visit


  • What is asset finance?


    By: Hassan Hosseini

    Phd in Finance
    Investment&Finance Advisor for Real Estate

    Asset finance is a type of business funding that enables you to access an asset for your business by paying for it in instalments – or leasing it – over a set period of time. You name it, there's probably an asset finance product for it; from vehicles and machinery to kitchen equipment, office furniture, IT equipment, and more.

    It’s important not to confuse asset finance with asset refinance. While the former lets you buy or rent an asset without the large upfront capital expenditure, asset refinance enables you to release the cash value of an asset you own. In other words, the asset is transferred to the lender as collateral in return for a business loan.

    Types of asset finance
    As a business owner, you might decide to use asset finance if you can’t afford to buy business critical equipment upfront. You may also use it if you would rather make smaller payments over an agreed period than a large upfront expenditure. As with many types of business finance, fees and interest payments apply.

    Here are the five main types of asset finance:

    1. Hire Purchase
    If you want to own the equipment or machinery when you come to the end of the term, hire purchase could be the asset finance type for you. Once you’ve met the repayments the asset is yours to keep.

    It’s likely that the asset will be a positive item on your balance sheet from the start of the term, but bear in mind that the finance provider will own it until you’ve paid it off.

    You’re responsible for maintaining the asset and you can’t sell it until the term has ended, or – if the finance agreement allows – you’ve settled the contract early.

    2. Hire purchase with Balloon Payment (Business Contract Purchase)
    There is a type of hire purchase where the monthly payments are reduced so they only cover the interest on the loan. The final (or ‘balloon’) payment is used to repay the loan. Although the monthly repayments are lower, the total cost is higher.

    3. Finance Lease
    If you opt for a finance lease the finance provider will purchase the asset and rent it to you. You’ll make monthly repayments until you’ve covered the cost of the asset (plus the interest). You’ll also be responsible for insurance and maintenance.

    You’ve got three options at the end of the term:

    Carry on renting the asset

    Return the asset

    Sell the asset on behalf of the finance provider

    4. Operating Lease
    If you need an asset for a specific period of time, an operating lease might be the most suitable form of asset finance to explore. You can take out an operating lease on equipment for a set duration – and even upgrade to a newer model within the rental period, depending on the agreement.

    Unlike a finance lease, the finance provider is responsible for the asset’s maintenance throughout the finance agreement.

    5. Contract Hire
    Do you rely on fleets? Contract hire is used for leasing vehicles. Acquiring and maintaining fleets can be very time-consuming; with contract hire, the provider sources and maintains the vehicles. You make payments over a set lease term.

    Asset finance advantages and disadvantages
    Asset finance can make it easier for you to access high value items that you otherwise wouldn’t be able to pay for. It’s also a way to avoid locking your capital away in a big purchase (that could depreciate down the line).

    Asset finance makes it easier to raise funds than with a traditional business loan.

    By allowing you to avoid large and burdensome upfront payments and (depending on the type you choose) ownership costs like maintenance, you can achieve better cash flow in your business. However, as with any type of finance, there are advantages and potential disadvantages to consider before making a decision.

    If you don’t adhere to the agreement you’ve made with the lender, they could repossess the equipment or machinery, leaving you unable to meet customer demand.

    Asset finance potential advantages
    Small or no upfront costs

    Faster access to business assets

    The value of the asset is spread over the term

    The asset acts as collateral for the finance

    Maintenance is often – but not always – handled by the provider

    Maintain control over working capital

    Freed up capital can be used to fund other business activities

    Fixed interest rates and monthly repayments aid cash flow management

    Access to new and efficient assets can give you a competitive edge

    Asset finance potential disadvantages
    You may never own the asset

    The asset will be repossessed if you don’t meet the repayments

    The minimum term is usually one year or more

    You may be liable for damage

    There could be a limit on the usage, e.g. mileage for vehicles

    Applying for asset finance
    Asset finance gives your business a cash injection to buy assets without putting cash flow at risk. At Funding Options, we provide SMEs access to the most extensive range of business finance on the market, including a variety of asset finance options.

    We can match you with the best asset finance solutions for your needs. We’ll guide you through the application process and make sure you get the best deal. Whether you’re looking for asset backed finance to ease cash flow or a lease option to hire equipment for your growing business, start your funding journey with us today.

  • What is working capital finance?



    Phd in Finance
    Investment&Finance Advisor for Real Estate

    Working capital finance is business finance designed to boost the working capital available to a business. It's often used for specific growth projects, such as taking on a bigger contract or investing in a new market.

    Different businesses use working capital finance for a variety of purposes, but the general idea is that using working capital finance frees up cash for growing the business which will be recouped in the short- to medium-term.

    There are many different types of lending that could be considered working capital finance. Some are explicitly designed to help working capital (whatever industry you’re in), while others are useful for specific sectors or requirements.

    How to raise working capital finance
    Working capital is the amount of cash a business can safely spend. It’s commonly defined as current assets minus current liabilities. Usually working capital is calculated based on cash, assets that can quickly be converted to cash (such as invoices from debtors), and expenses that will be due within a year.

    What is the formula for working capital?
    For example, if a business has £5,000 in the bank, a customer that owes them £4,000, an invoice from a supplier payable for £2,000, and a VAT bill worth £4,000, its working capital would be £3,000 = (5,000 + 4,000) - (2,000 + 4,000).

    Liquid cash
    Working capital is seen as ‘working’ because the business can use it — in other words, it’s not tied up in anything long-term. Whether you want to buy stock, invest in the business, or take on a big contract, all of these activities require working capital — cash that’s quickly accessible.

    On the other hand, if your business is profitable but has big bills to pay soon, your working capital situation could be worse than it might seem — or could even be negative.

    How is working capital financed?
    Here are some of the more common types of working capital finance.













    How is working capital efficiency calculated?
    Working capital efficiency is determined using the working capital ratio. This is a business’ current assets divided by its current liabilities. It informs investors and others as to whether the company has the current means to meet its short-term obligations.

    What is a good working capital?
    Typically, a working capital ratio between 1.2 and 2.0 is considered satisfactory. A working capital ratio of below 1 suggests potential cash problems.

    What happens if working capital is too high?
    Higher doesn’t always mean better. For instance, a very high working capital ratio could indicate that a business isn’t investing its surplus capital into its growth, but is instead missing opportunities by letting its cash and assets lay dormant.

    Do you want high or low working capital?
    Companies should always aim for healthy working capital. A business’ working capital can fluctuate - for instance, it may experience seasonal peaks and dips.

    What kinds of businesses require the most working capital?
    One company might require more working capital than another because expenses and business needs vary from one industry to another. Take a retail business for instance. It may need a lot of available cash to purchase inventory. A tech company, on the other hand, might not - especially if it operates remotely.

    How do you control working capital?
    To help maintain a healthy flow of working capital, businesses can manage inventory effectively, always pay suppliers on time, pay debts on time, fine tune the accounts receivables process and, if needed, consider financing options.

    There are many types of working capital financing available, and choosing the right product depends on your sector and circumstances, as well as what you're trying to achieve. To find out more about working capital financing, browse the related articles below or get in touch.

کتاب عملیات بانکی در عرصه بین الملل -سرفصل ها،ضمائم ،توصیه صاحب‏نظران ارزی و مدیران ارشد بانکی

Investment Consulting &Project Finance


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