Writings

The Bride

A Poem.

 

A fairer creature I never did see,

Than she who brought me jubilee,

Of whom noble poets and sonnets sing,

The beautiful one who takes my ring.

 

Far fonder than the sweet roses dare,

She surpasses ever their beauty fair,

In sacred white she casts away the veil,

Her beauty regales me in full assail.

 

The shimmer of her eyes stills the room,

The light of her smile shines the groom,

Standing by my side she fills my dreams,

At the altar, a resplendent angel, she seems.

 

Alas, my love, I have become one with thee,

Be my companion evermore, for eternity,

Together we will soar over the deepest hollows,

Bride and groom we’ll fly as the future follows.

 

clip_image002

I wrote this poem in 2002 for my wife to commemorate ten years together. A decade later, it is as true now as ever.

 

buythumbM.G. Edwards is a writer of books and stories in the mystery, thriller and science fiction-fantasy genres. He also writes travel adventures. He is author of Kilimanjaro: One Man’s Quest to Go Over the Hill, a non-fiction account of his attempt to summit Mount Kilimanjaro, Africa’s highest mountain. His collection of short stories called Real Dreams: Thirty Years of Short Stories available as an e-book and in print on Amazon.com. He lives in Bangkok, Thailand with his wife Jing and son Alex.

For more books or stories by M.G. Edwards, visit his web site at www.mgedwards.com or his blog, World Adventurers. Contact him at me@mgedwards.com, on Facebook, on Google+, or @m_g_edwards on Twitter.

© 2012 Brilliance Press. All rights reserved. No part of this work may be reproduced or transmitted without the written consent of the author.

Financial Indie: The Facebook IPO

This is a special edition of “Financial Indie” focusing on the upcoming Facebook initial public offering (IPO). Financial Indie is a series of articles designed to help writers finance their careers. If you have an investment question, please post it and I’ll try to incorporate it into a future article.

Almost 900 million people, or almost 13 percent of the earth’s population, use Facebook, the world’s top-ranked social media website, to keep in touch with family, friends and business contacts. Millions of companies and individuals have pages dedicated to promoting a product or themselves. Facebook is, in a word, a Juggernaut (or pick another synonym for “huge”). It is far and away the world’s largest social media website. For many writers, Facebook is an almost indispensable tool to market their books and build their brands.

On Friday, May 18, 2012, Facebook will reportedly sell 422 million shares to the public at U.S.$34-$38 per share in an estimated $15-$16 billion offering. When the shares price late Thursday, they will likely be at or near $38. When they begin trading on Friday, it’s a safe bet that the price per share will at least double given how highly anticipated this offering is. I would not be surprised if shares of Facebook (FB) trade at more than $100 per share by early next week.

The May 2011 IPO of LinkedIn (LNKD), a much smaller social media rival, offers a good road map as to what might happen after Facebook goes public. Shares of LinkedIn rose as much as 171 percent on their first day of trading and closed at $94.25, more than 109 percent above the $45 IPO price. The stock went on to peak above $100 per share the following week and now trades above $110. I expect Facebook to perform as well or better, perhaps trading on Friday at a price higher than that of LinkedIn.

If you use Facebook — and chances are you do — you may be wondering whether you should invest in the social media giant after it goes public. You may be familiar with the site and know what it can do and how powerful it is. You may have also heard the investing adage that you should buy what you know. If you know Facebook, does that mean you should invest in it?

The short-term answer is a qualified “no.” Although Facebook may be a good investment, in the long run, think twice about buying shares immediately after the company goes public. Now, I’m not a naysayer who shies away from hot stocks. I take calculated risks. In August 2004, against the advice of some financially savvy individuals who thought it was overpriced, I purchased shares of Google (GOOG) via Dutch auction for U.S.$85 per share. By late 2008, shares of Google reached almost $715, a sevenfold gain, before dropping to $292 during the 2009 financial crisis. Google now trades at just over $611 per share. Google has been a good investment for me. I have bought and sold Google shares three times and made money each time. Taking a calculated risk on a hot stock can be a lucrative bet if done right.

Facebook’s IPO, however, is nothing like Google’s. When Google went public, it tried to balance the playing field for investors by auctioning off shares to all interested parties, institutional and retail investor alike, at a set price. Facebook is going public via a traditional offering where shares are allocated at face value to a limited number of investors and then sold in the market at whatever price it demands. Unless you’re underwriting the offering or stand to make a mint from going public like co-founder and CEO Mark Zuckerberg, who will make an estimated $20.28 Billion (yes, that’s a “B”) when his company goes public, you’ll be at the mercy of the market when you try to buy your shares. You may try to scoop up some after they go public, but you’ll be bidding along with the well-informed masses who are keen to get in on the action. You and a multitude of other bidders who are desperate to get their hands on the stock will pump up the price to a ridiculously high valuation. The higher it goes, the greater the risk that the price will plummet once interest cools.

I believe that in the long run Facebook stock will be a good investment for those who buy shares at the right price. One way to determine whether to purchase shares of Facebook is to wait until after the company releases its first post-IPO quarterly results. Investors will probably bid up the stock before the earnings results are announced. If they’re good, expect the share price to remain stable or go up slightly; if earnings are a disappointment, the price could fall substantially as investors readjust their expectations. Either way, read the analysts’ reports to see whether they consider Facebook a good long-term investment. Let their analyses, which could range from “strong buy” to “sell,” guide your decision whether to invest.

If you absolutely can’t wait to invest in Facebook, consider buying some shares on the “dip,” a lull in the price that invariably occurs one or two weeks after IPO. That’s when the initial buyers bail out of the stock to lock in short-term gains, bidding down the price.

I plan to buy some shares of Facebook (FB) in the next few months and hold them for the long term, but I will wait for the ideal moment to buy. I can’t tell you when that will be until after the company goes public. I had an opportunity to purchase privately-held shares of the company on the secondary market in the mid-$30s but opted out. Time will tell whether my “go-slow” approach to Facebook — in contrast to my enthusiastic participation in Google’s IPO — is a good move.

Click here to read the previous edition of Financial Indie.

Disclaimer: I am an accredited private investor. I am not a certified financial planner or investment adviser. The information contained in these articles should not be considered professional investment advice. Use your own discretion when pursuing investment opportunities. For specific investment advice, consult an investment professional.

[table id=8 /]

Financial Indie: Startup Savings

“Financial Indie” is a series of articles designed to help writers finance their careers. If you have an investment question, please post it and I’ll try to incorporate it into a future article.

In my previous article, I discussed how writers can build a financial portfolio to support their careers. By planning ahead and investing wisely, writers can move away from living paycheck to paycheck toward financial independence.

Getting started is the hardest part of this exercise. Building a base on which to grow your investments takes some startup savings, which can be difficult for some writers to accumulate. The most obvious way to save money is to earn a salary, commissions, or contract fees from writing or a job. If your income is steady, set a target percentage to save each month and stick to it. Set a realistic goal that you can consistently meet. The more you can save up front to invest, the more you can earn in the long run.

If you don’t have a steady source of income, look for ways to save money without doing away with the basic essentials. Based on my experience living in both developed and developing countries on four continents, I’ve noticed that most people spend money on things that they don’t need. What can you live without that will help you save?

Housing, food, and transportation are three of the biggest expenses in most people’s budgets. If you’re spending a considerable amount of money on rent or a mortgage, is there a way to decrease what you pay? Can you move to a cheaper apartment? Can you sell your house or refinance your mortgage? Can you relocate someplace closer to where you work? While most people are hesitant to make changes that significantly impact their lives, short-term belt-tightening may be needed to get ahead in the long run.

Are you able to save $100 per month that you can use to build an investment portfolio? If not, make a list of your income and spending in an average month. Does your income exceed spending? If so, then you’re already saving. If not, look at ways to reduce spending. Can you decrease the amount you pay monthly for discretionary items such as dining out, tech gadgets, and entertainment? Can you decrease the amount of money you remit on utilities? If your monthly budget exceeds U.S.$1,000, you may be able to save $100 or more by cutting unnecessary expenses. If you earn less, then consider scaling back your savings target. A skipped meal at a restaurant, overpriced cup of coffee, using mass transit instead of driving, or switching to free social media to market your book can help you meet your savings goal.

After you save $100, what should you do with it? Don’t spend it! Invest it. In general, it’s best to save for retirement first to supplement your income once you stop working. You may receive a pension or social security when you retire, but in many countries such as the United States, you can set aside additional money tax-free for retirement. In the United States, pre-tax retirement accounts are known as traditional individual retirement accounts (IRAs), and after-tax accounts that are tax-free when you withdraw them after retirement are called Roth IRAs. Many companies offer retirement accounts known as 401(k)s that allow you to set pre-tax money aside for retirement. Consider these investment options first if they’re available where you live.

In addition, you may have other expenses such as healthcare or college tuition for your children. Many countries have programs that offer tax breaks to those who save for college or set aside money to pay healthcare bills. In the United States, 529 college savings plans, flexible spending accounts (FSAs), and health savings accounts (HSAs) offer tax benefits worth considering before building a liquid (taxable) portfolio to finance your writing career.

Assuming that you are able to save $100 per month for a liquid portfolio, think about your tolerance for risk. Do you like to gamble, save your money under a mattress, or are you somewhere in between? Consider your age and how long you have to grow your net worth. Are you close to retirement, when you’ll start to draw down your savings after you stop working, or do you have many years to investment? The answers will influence what kinds of investments you make.

Regardless of your age and income level, there are two important principles to remember when it comes to disciplined investing: 1) Purchase investments that maximize your gain, and 2) Diversify your investments to minimize your risk. Think about your own options keeping these principles in mind. In my next article, we’ll start looking at different ways to invest the $100 you’ve saved.

Disclaimer: I am an accredited private investor. I am not a certified financial planner or investment advisor. The information contained in these articles should not be considered professional investment advice. Use your own discretion when pursuing investment opportunities. For specific investment advice, consult an investment professional.

[table id=8 /]