Out of service (update III)

The lack of update since my last post would have indicated that I have successfully boarded the plane and arrived safely at my client's place. I'm sure you have a few question right? I have compiled a top three FAQ for your convenience.

How was the trip?

Simply put it, it was work, work work.

Least you visit a new country. How was the country like?

Whilst technically, I am at another country, I have to admit that I did not have any chance to visit places. Apart from the 15 minutes sunlight (the journey from my hotel to the client's office) I have not seen anything else from where I sleep and/or work.

Will you be going back there again?

Yes...

Out of service (update II)

When you see this entry, you would have figured that I've got problems with my flight again. Just last night I was telling all of you that I might not be able to update so often. Guess, what, I think I might be updating more often than last week. Anyway, here is what has happen.

I woke up this morning and notice the strong gust of wind together with heavy rain. No wonder my early morning flight was canceled. The weather forecast must have given the flight operator a heads-up on the upcoming violent weather. Nevertheless, I've already arranged for a afternoon flight and I am sure the weather would have improved by then.

I went early to office to sort out some administration stuff before leaving for my afternoon flight. And I regretted making that decision. In UK, when there's a report of strong wind or adverse weather condition, they mean it. Walking out of your house under a adverse weather condition is basically challenging mother nature. I walked out of my house with an umbrella (with hope that it would shield the rain) and my luggages. But that is only to realise that challenging mother nature was a bad idea as within 2 minutes, I was soaking wet. Great way to start the day.

I managed to get into my office with my morning hairdo wrecked by the wind and rain. Just when I was relaxing and enjoying my sausage roll I've got from the office canteen, I got a call to inform me again that my afternoon flight was canceled. Che bye!

I tried to arrange another flight for this evening just so to avoid having my work delayed. After 45 minutes negotiation with my Company's travel agent, I managed to get myself and the team on another flight this evening. And guess what? While I was in a cab on the way to the airport, I decided to check the flight departure and again, che bye, was informed that the evening flight was canceled.

So, now ladies and gentlemen. That was my last 20 hours of experience of traveling under adverse weather condition. If it makes it easier for you to imagine, picture me on Amazing Race channel with business suits runing up and down to get one destination to another. I have arranged for another flight for tomorrow morning. And like every episode of Amazing Race, will Bob be able to catch a flight out of London tomorrow? Or would he end up swearing 'Che bye' again? Stay tune...

Out of service (update)

It's funny when you are ready to take an early morning flight the next morning and was already in bed...only to be awoken by a telephone call to inform you that the flight you are taking has been canceled.

Welcome to the world of traveling in UK.

Just got myself out of my half-asleep condition and managed to sort out my traveling arrangements. I am still flying off tomorrow but least I don't have to wake up early to catch the morning flight. I just love business-related traveling.

Back to my beauty sleep.

Out of service

I will be out on a business trip and won't be able to update my blog as and when I pleased (not that I've been updating regularly anyway). Nevertheless, I will try to up-date the blog whenever possible. So, don't miss me.

Sub-Prime

Not too long ago, an uninformed individual once said “UK banks are in trouble because they lend to sub-prime borrowers”.

Since the last summer, sub-prime has become the hottest topic within the financial market. The topic became so ‘hot’, that even an Ah Pek out of nowhere declare his intelligence of the issue itself. Let me get this straight. To certain extend, UK banks do lend to sub-prime borrowers (although the definition of sub-prime borrowers is completely different from US). But it is not lending to sub- prime borrowers that got the UK banks into trouble. It was investing in these loans that got UK banks in trouble.

What is sub-prime?

Simply put it in layman’s term, if you lend money to someone considered as sub-prime, likelihood you can kiss your money good-bye or scream ‘chebye’ or both. That’s because sub-prime refers to people who are potentially unable to repay the loan due to lack of income, default history etc. So if you lend money to my dog, you can say ‘chebye’.

However, since the interest rate is fairly low during the early 2000s, US banks began to aggressively lend to sum-prime borrowers who wants to purchase houses (the low interest enable these sub-prime borrowers to make the monthly repayment). Further, US was experiencing housing boom at that time, so even if sub-prime borrowers default their loan, the banks could repossessed their house, which the value continue to increase. As such, there is no risk to their loan.

You’ve been talking about US. What about UK?

To increase the US banks’ profit, they decide to sell their mortgage to other investors and earn a fee while spreading their risks. This is done by taking a pool of loans (inclusive of sub-prime loans) that the banks loan out to, and sold these loans to investors say for example, as bond (I am keeping this simple). Since these sub-prime loans are mixed together with ‘good’ loans, they are graded better than junk bonds. When people repay the loan, the proceeds will go to these investors. Some of these investors include UK banks.

Here is where the shit hit the ceiling. When interest rate increase and sub-prime borrowers couldn’t repay the loan, this is going to affect the investors who are holding bonds (which consist of sub-prime loans). To make matter worse, the increase in house price over the last few years became unsustainable and it finally dive. So, when sub-prime borrowers default, the value of the houses is insufficient to repay the outstanding loan. When, sub-prime borrowers couldn’t repay the loan, don’t expect the investors to get anything.

So, to set the record straight, UK banks didn’t lend money to sub-prime borrowers like US. But they did invest in sub-prime (one way or the other), which is why they get into trouble when the sub-prime problem explodes.I am being simplistic here just so that non-finance background people could understand.

I just want a place to stay

Just to compensate my lack of update, I’ve decided to put in two entries today.

My dad will be flying over to UK to pay Kay and me a visit later this year. Ever since he had confirmed his flight to UK, Kay’s been spending time researching for a European destination to bring my dad.

I was thinking of bringing him to Amsterdam. That’s right dad, since mum is not coming with you, I will be bringing you to all the naughty places (so long as I can get by Kay). But whilst we visit the naughty places, we can only see, but not touch. Okay dad, before you change your mind, I was only joking. Actually, when one speaks of Amsterdam, most Asian would equate it to 'sex'. What they’ve failed to understand (including myself) was Amsterdam is famous for its tulip. Anyway, it’s not fair for me to comment about the country at this point since we have not visited the country yet.

Kay was searching for a suitable accommodation today. We always rely on www.tripadvisor.com just to make sure we are not ripped-off from crap hotel owners. As we move along the list from Tripadvisor, Kay stumbled upon a hotel called Black Tulip, ranked 2 out of 323 Tripadvisor Popularity Index. Boy, did she had a ‘shocked’ when she went to the website. (Check out room no. 22 but please be careful if you are in the office). I think it looks cool but I don’t think my dad is adventurous enough to stay in this hotel. Our search for a proper accommodation goes on…

‘Have you been in touch with your high school friends?’

I have to apologies that I have not being able to update as regularly as what I've expected when I've started this blog. Nothing to do with my bad back though my movement is now less restraint. Actually, it was more to do with lack of inspiration or stories to share with you readers. You can say, I was having writer's block.

Nevertheless, here's this week's entry.

‘Have you been in touch with your high school friends?’ one of my friends asked me recently.

A fair question with an easy answer. No. I haven’t been in touch with most of them. Maybe a few of them occasionally on some big events. But I have not been religiously meeting-up or catching up with most of them since I’ve been to college. The thing is, when people progress along, they lead a different direction in life. And along some direction, you may not be able to cross-path with you high school friends. Sad but true.

These are the friends that I’ve been growing up with at least the first 11 years of my life. These are the friends when I’ve been playing badminton with after obtaining inspiration from the Malaysia’s Thomas Cup team who took the cup back home. These are the friends who crack jokes and play pranks on other people when I’m still young.

I remember a few of us once made some comments about meeting up 10 years later. 10 years has passed and only a few of us made that promised. Well, I have not been keeping up with that promise myself but then again, I am nevertheless living thousand of miles away from Malaysia.

Whilst there are people I ought to catch-up with for old time sake, there are some that came across my mind which I don’t want to see them again. Not that I am having a serious grudge against them but I did had some bad memories with these bullies. These are the people, whom in my opinion use excessive brute force to get their way. I happened to be along their path and that’s why, my ‘never want to see them again’ stance. Maybe I might change my mind when I get older and ended up like my dad having party with his old friends religiously almost every fortnightly or monthly. I guess that’s what we do when we grow old; reminiscence the old days.

Well, I might not go along the path of partying with my friends fortnightly. But might as well start off by getting in touch via Facebook. Better start writing a list of people to poke today.