Rich Dad, Poor Dad is two years away from celebrating its 20th anniversary, having been initially self-published by its author, Robert Kiyosaki, in 1997. Since then, Kiyosaki—a fourth generation Japanese American whose net worth is estimated by Forbes to be US$80 million—has built a franchise around the best selling personal finance tome, including other books, seminars, workshops, a game and has even included his wife and his sister in the act, both publishing their own personal finance works.

If you haven’t read Rich Dad, Poor Dad yet, the Sunday BG warns there is going to be some spoiler information in this article.

In essence, Rich Dad, Poor Dad, is a retelling of Kiyosaki’s financial education at the hands of his two “Dads” while growing up in 1950s Hawaii. Poor Dad was his real father, Ralph Kiyosaki, a PhD-holding senior public servant who, despite his education and status, struggled financially his whole life. 

Meanwhile, the unnamed Rich Dad was the father of a friend, who never finished school, yet was able to amass a business empire worth millions.

The divergence in paths, posits Kiyosaki, had everything to do with their financial knowledge. 

Poor Dad sought a traditional education; an education Kiyosaki said taught him to be an excellent employee and to work for money. In contrast, he said Rich Dad learned about money and how to make money work for him. The result was even though he was not as educated as Poor Dad, Rich Dad’s net worth far exceeded his. 

Following his Rich Dad’s advice has been responsible for his successes today, says Kiyosaki.

But beyond the two men, Kiyosaki says their respective stances are representative of the divide between the poor and middle class and the rich.

According to the author, the rich are able to make money work for them by acquiring assets, which Kiyosaki controversially defines as anything putting money into your pocket. The poor and the middle class, on the other hand, acquire liabilities, which, they have been misled by traditional education into thinking are assets.

One of these is a home. Several readers may have pulled up at that one. 

Isn’t homeownership a sign that one has “arrived”? 

Aren’t we always told that a home is the most important asset one can ever own?

Not according to Kiyosaki.

Kiyosaki says…

In Rich Dad, Poor Dad—which has sold 26 million copies since it was picked up by Warner Business Books in 2000—Kiyosaki says while the rich do not hold their wealth in their homes, the majority of the America’s poor and middle class do.

According to the Wall Street Journal in an article last December, the wealthiest one per cent of Americans hold 47 per cent of their worth in business equity and other real estate versus only nine per cent in their principal residence. Contrast this to the middle class who have as much as 63 per cent of their net worth tied up in their homes and only nine per cent in business equity and other real estate.

Kiyosaki adherents say the collapse of the US housing market in 2008, and the resulting financial hardship for those of the poor and middle class, showed him to be right on this point. 

The personal finance author demolishes several other sacred cows.

Have an expensive university education? 

Kiyosaki says you are likely to be well on your way to remaining in the rat race; a never-ending Catch 22 of employment by others, increasing debt and decreasing income to meet them as the years pass. 

Instead, he advocates having increased financial literacy, the value of which, he argues, far surpasses that of a traditional education. He also supports becoming a business owner, or preferably, the owner of assets that generate passive income*. 

And on taxes? 

Kiyosaki says the poor and middle class pay too many taxes, while the rich take advantage of tax breaks, adding to their wealth, because they keep more of their income in the first place. One of the ways they do this is through corporations. If Kiyosaki is to be believed, he has used corporations he set up to write off meals and vacations.

Rich Dad, Poor Dad has drawn praise for its advocacy of increased financial education, re-defining the way people view assets versus liabilities and its easy readability.

However, the book has also drawn much criticism for promoting what some financial commentators call “bad advice”. Kiyosaki has also been called out for making up the “Rich Dad” character of the book.

On acquiring assets (Kiyosaki defines these as real estate, stock, bonds and intellectual property) and generating passive income versus working for an employer. 

Essentially, what is being said here is that there are two ways to increase your wealth as measured in monetary terms. Either you work for money or you have money work for you. The two are not mutually exclusive. So, while you work for money, the best advice is to set some of that money aside and put it to work for you.

One can start with bonds, then move to stocks and eventually through patience and perseverance up to real estate. It should not be viewed as an all or nothing scenario but rather a progression. If, as you have pointed out, real estate is out of the reach of most people then consider a fund that can provide exposure to real estate.

For a number of reasons these have not been popular in T&T, but if you develop a clear strategy for what you want to achieve, then there are ways to accomplish those objectives. For example, you may use your TT dollar savings to acquire bonds and stocks, but seek to acquire US dollars in order to invest in US real estate investment trusts (REITS) that can provide some exposure to the US property market. 

Appreciate that every investment has its unique risks and while we tend to see real estate as something that always goes up, remember what happened in the US in 2008 and in T&T in 1986-88. As you will note from the discussion above acquiring a property through debt is not necessarily an asset.

After all is said and done, appreciate the basic point is that as hard as you work for your money, it is even more important that your money works harder for you if you want to create wealth and secure your financial future.

On exploiting the tools of the rich (such as creating corporations) to take advantage of tax breaks and preserve wealth.

It should be clear upfront that setting up a company carries additional costs that must be factored in to any investment decision. Issues such as filing annual returns and even the preparation of accounts need to be considered. Where this is most common is the use of a company structure to own property. The expenses of maintaining the property can be matched off against any income derived from the property and further it may be possible to manage the stamp duty implication on disposal by selling the company that holds the property as opposed to selling the property itself.

Appreciate that one should not go down this path without the necessary accounting and tax advice and this also carries a cost. 

A basic rule of thumb is that only expenses associated with the business can be deducted for tax purposes therefore one needs to be careful when trying to pass personal expenses off as that of the company. 

On Kiyosaki’s stance against mainstream financial advice, such as diversifying your (traditional) investment portfolio and mutual funds

Kiyosaki’s point of view on this one is similar to that of others such as Warren Buffet. There is a case for diversification if your concern is about the volatility of your portfolio at a particular point in time. If risk is measured as the degree of volatility (the value of your portfolio changing up or down) a less volatile portfolio is considered less risky. 

Diversifying into uncorrelated assets reduces volatility and so reduces the risk of a portfolio. Mutual funds can assist the average investor in achieving diversification.

The alternative view is that an investor should take the time to know and understand what they are investing in. 

If they take the time to know the details of a particular company and understand the drivers of its performance then a highly concentrated portfolio of five to 10 companies that you understand well and manage closely is a better proposition than parking your money in a mutual fund and not having a clue as to what is taking place, especially when you get reports long after the end of the investment period.

Ultimately, it comes down to how much work and time you are prepared to put into your financial wellbeing. Many are content to outsource to a mutual fund manager. For this, they pay significant amount of fees. 

In another time, when returns were in the order of five to 10 per cent, a two per cent management fee was not a big deal. However, today, in a zero interest rate environment, those fees are significant. Take a close look at any investment product that is on offer. 

Add the fees and commissions that are being charged and compare that to the rate of return that you are being offered. It is quite likely that you will find the biggest slice of the returns on the funds you provide are actually going to pay management fees and commissions, and probably, less than 50 per cent of the return is being paid out to you as an investment return.

This discussion more than makes the case for discussing your financial affairs with a financial or investment advisor since there are many nuances to this issue and each situation is different.

*Passive income is that derived from rental properties and businesses that one is not actively a participant in as opposed to salary/wage income.

The Sunday BG asked two financial advisers—Nicholas Dean and Ian Narine—who both write columns for the Business Guardian, their opinions on the personal finance advice Kiyosaki gives and how applicable it is in a local context.

Nicholas Dean, author of the Ask Nick columns, on the influence of the Rich Dad, Poor Dad on his life:

I read Rich Dad Poor Dad while still in the banking sector over 15 years ago. Both the book and the Cashflow game completely shifted my paradigm about the importance of financial literacy, self employment and real estate.

As an employee, I paid a lot of taxes, but from the time I became a business owner, much of what was lost in taxes stayed in my pocket, fast-tracking my financial progress. Employees are taxed first then spend what is left. Business owners spend first, then are taxed on what is left. This is why business people are often richer than employed people.

As an employee, promotion came from a supervisor or manager and internal and external politics were the order of the day. As a business owner, promotion came from satisfied clients. The more value I delivered, the more I progressed.

Kiyosaki also said selling and communication were key to building wealth. Because of this, I chose one of the most difficult jobs in the world: selling insurance. This helped me transform from a shy introverted type to being a brave and confident person. 

He also introduced the concept of the value of real estate and how wealth grows faster for property owners by virtue of capital appreciation and passive (rental) income. In fact, rental income shifts the burden of the mortgage from the owner’s shoulders to the tenant, setting one’s wealth on autopilot. 

The only caveat I have with Kiyosaki’s work is to remember that he is neither a financial adviser nor an accountant. The reader must be a careful as not everything is applicable to T&T.

As a qualified, local financial adviser, I can say that some things are oversimplified, such as the challenges with property acquisition. Kiyosaki advocates stock market investments as the primary way to initially build capital to buy property. That may be workable in the US but not so much in T&T. He also doesn’t say much about life insurance and the risk that accompanies stock market investing. 

Kiyosaki also does not champion the critical importance of education and getting a stable job. He even goes as far as implying that if you want to get rich, don’t go to school, which I believe is a title of one of his books. Contrary to what Kiyosaki says, I think a good education and a stable career are sometimes the best platforms to launch into saving and investing. In fact, sometimes these are the only assets a person has in the changing fortunes of time. What you know can always be converted into cash flow.

Overall it’s a great read but I strongly recommend to consult a professional and continue following the business sections of your local newspaper.

Ian Narine, independent financial consultant, gives his view on whether Kiyosaki’s advice is practible in T&T.

On a home is not an asset, but a liability:

This is actually true in terms of how a home is normally financed. I wrote on this topic a few years ago during the financial crisis and got quite a few disagreeing emails from real estate agents. My stance is that your home is not an asset, it is the place where you live.

If you borrow money to purchase a home, then you have a liability equivalent to the amount that you borrowed. It is only when that loan is paid off you can turn that home into an asset. Even then, it is not totally clear cut, since, if you were to sell that asset at that time, you would still need to find a place to live so part of those proceeds would have to go into finding alternative accommodation.

Let’s say you take out a mortgage for $1,000,000 for 30 years at an interest rate of seven per cent. You will end up making approximately $2.4 million in payments on this loan. In addition to which, you have to factor in insurance and the cost of maintenance.

A lot can happen in 30 years. You are effectively counting on retaining stable employment and increasing your earning capacity so the mortgage payments take up a smaller portion of your income, leaving you with enough funds to adequately maintain the property so it retains its value as well as save for retirement and your children’s education. 

Additionally, a typical mortgage is issued at a variable rate, so if interest rates rise, then the cost of servicing your mortgage will also rise.

Sometimes it works out, sometimes it does not.

This in large part depends on the state of the economy during the period of your mortgage. 

The reason home ownership is seen as an asset in T&T today, is in large part due to what I would call the mismanagement of our economy. Governments should seek to provide economic growth with low inflation but during the period 2004 to 2008 we got economic growth yes but inflation eventually reached double digits which saw home prices rise significantly. 

Property prices began to rise significantly from 2004 to 2008, at the same time we were boasting of strong economic growth, and have tapered off to some extent since then as the economy has slowed down. The period 2004 to 2008 saw heightened construction activity which drove up the cost of labour and materials. 

Heightened levels of government spending also pushed increasing amounts of money into the economy. Those funds eventually found their way to those who benefited from government’s spending and they, in turn, bought property as assets. The combination of the explosive demand for property, plus the increased cost of construction and maintenance, meant that property prices increased significantly.

As property prices increased, rents also increased, but what did not increase at the same rate was the income of the salaried worker. Renting became unaffordable for many and so the way out was to seek a home from State housing programmes. In a sense the misguided economic policies of that time only served to make those who did not own property more dependent on the State. This can be observed quite clearly today.

Meanwhile, those who did own property during and prior to that period were able to see exponential increases in the value of their property. If you were fortunate to own multiple properties, the effect was magnified further. These were the people who were able to utilise the gains from this appreciation to go into business, get into property development, purchase property in the US and Canada when their property market became depressed.

For the average person looking on, the impressions conveyed is that owning a home is the pathway to similar riches. It is quite likely that the experience of 2004 to 2008 was a one time event. 

Today, with most properties going for upwards of $1 million, unless you can make a significant downpayment, you are likely to be carrying around a significant debt and also have to hope that the economy remains stable, despite the fall off in oil prices and the production levels of oil and natural gas.

Those of us of a certain age may remember shows like No Boundaries, Turn of the Tide, Calabash Alley on our television sets. At a time of foreign currency and import restrictions, this country achieved something of a golden age of local TV, where local producers were regularly putting out homegrown television series. Fast forward to 2015. With the existence of social media, little trade and financial restrictions, state financing and more television stations than any other time in the country's history, there is relatively little local content on the air.

The Apartment's $17 million price tag

Part of this is due to the cost of local productions. The Apartment, one of the latest ventures into local television series production, is estimated to cost just over $17 million for its three seasons.

So far, the principal photography on its pilot episode is complete, but the production house behind it, PWTN Productions, still needs $212,800 to complete its post-production phase. 

“There is a misconception of local content, that it does not sell. That there is no audience for it. That it is sub par and the quality is not up to that of international productions. To that I say, if we don't allow ourselves to grow, we will never move from that. There is a lot of room for growth, but that growth requires certain resources. One of the main resources is financial.”

This from Pauline Mark, 33, director at PWTM Production Ltd. 

Mark incorporated the production company in August 2014, along with her sister, in an effort to create greater opportunities within the television and film production industry for herself and other skilled workers.

Mark herself has been in the industry since 2003. She left her job as a Cultural Officer 1 at the Ministry of Arts and Multiculturalism to pursue an acting career. She has trained at Performing Arts Theatre Workshop and the prestigious Art of Acting Studio in Los Angeles and has appeared in Home Again, A Story about Wendy part 1 and the just completed Scandalous starring Machel Montano. 

In 2008, she started working behind the camera to build her production and script- writing capabilities. In fact, she wrote the script for The Apartment, which revolves around the lives of three roommates in an upscale apartment.

Speaking about what makes The Apartment so different from other local productions, Janine Charles-Farray, marketing strategist for the venture said if it is successful, the series may set the bench mark for distribution and investment strategies for local television in the future. 

“I think with this series, we are going to hit upon the formula that works and we may very well become the case study for successful commercialisation of a TV product,” said Charles-Farray.

Firstly, the completed pilot will be used to source the remaining financing for the rest of the series.

Charles-Farray also said one television station has expressed an interest in airing the first season. Meanwhile, companies such as Massy Stores, Berger Paints, NLCB as well as the ministries of Arts and Multiculturalism and Gender, Youth and Child Development have also provided sponsorship for the venture.

Mark and Charles-Farray explained the arrangements they have set up for those who also wish to invest in the series. Massy Stores and Berger Paints for example, benefit heavily from product placements within the pilot episode. But PWTM also plans to target equity investors. 

“Right now we can say that there is a three-year investment on the table and the percentage rate of return is being worked out right now. Of course, we can work out arrangements with individual sponsors who are also interested, for example the investor who would like their money back within the year. It is a very customised exercise for equity investors,” said Charles-Farray.

Charles Farray said currently the project has no equity investors and developed the plan at the suggestion of InvesTT. However, PWTM Productions Limited fully intends to register with the SEC before it begins to accept funds from equity investors.

Domestic, regional and international revenue projections have also been prepared and will be shared with potential investors. 

Mark and Charles-Farray said sponsors may baulk at the $17 million price tag of the series but explained that good television does not come cheap.

Charles-Farray said the million dollar budget includes pre-production, production and post-production work, as well as fair salaries for the staff connected with the venture. The two noted it was important to set a standard here as well since the local television and film industry has become somewhat notorious for low pay. The figure also includes the cost of marketing and distributing the series.

Charles-Farray said the potential exists for investors to earn money off of merchandised material from the series as well as syndication of the series to Caribbean diasporas in the US, Europe, Africa and Asia, DVD commercialisation of the series and video on demand opportunities.

Mark said so far, she and her family have put $50,000 of their own money towards production costs.

About The Apartment 

The Apartment is intended to target males (37 per cent) and females (67 per cent) aged 16-45, mainly in the East West Corridor with niche markets in Central, South and Deep South Trinidad. The target audience is socially aware and has a keen interest in local content and content that speaks to their needs and provides solutions. 

The main characters are Ayanna and Michelle who move into their new upscale apartment. Janelle, Ayanna’s cousin asks to crash with the girls until she gets back on her feet. The new roommates decide to have a party to celebrate their new-found freedom, which leads to trouble for all. Janelle unknowingly sleeps with Ayanna’s boyfriend (Derrick) who is immediately smitten. Ayanna cheats on Derrick with her ex-boyfriend Akeel and Michelle gets wasted with Eric.

The series stars among others, Rhoma Spence, Cecelia Salazar and Pauline Mark.

A recent survey conducted by Wells Fargo has shed new light on what’s on the minds of the wealthiest investors, including insight into their biggest money regrets. The survey questioned 1,983 respondents with $250,000 or more in investable assets. These wealthy investors wished they’d made better investing decisions, saved more and spent less, and stopped to smell the roses along the way to amassing their nest eggs.

Avoiding mistakes along the way

You may think that investing is easy, but wealthy investors might disagree. 

According to those surveyed, the single biggest regret for those with six-figure portfolios is not having done a better job making investment decisions. That’s pretty understandable when we consider that many of these investors built their investment portfolios during the Internet boom and bust and the housing bubble pop and drop.

But because it’s understandable doesn’t mean that there aren’t steps you can take to minimise this same regret from haunting you down the road. 

Here are some ways that you can limit the impact of bad investing decisions on your portfolio.

• Invest in what you know, rather than in fly-by-night hot stocks with complicated business plans.

• Focus on building a long-term portfolio rather than one for the short term.

• Invest continuously and consistently rather than in sporadic lump sums that may or may not be timely.

• Spend more time researching companies, sectors, industries, and the economy so that you understand the risks and rewards associated with unavoidable economic booms and busts.

Making better financial choices

Although wealthy investors have built up substantial portfolios, many realise that if they’d started investing earlier and made better decisions on spending, they’d have an even bigger stash set aside for their golden years.

Thanks to the power of compounding interest—the ability to earn interest on an investment and then earn interest on that interest over time—investing when you’re young can result in a huge difference in your portfolio value as you age.

Consider this point: Investing $500 per month in a hypothetical investment with a five per cent annual return over a 40-year period results in a portfolio worth $725,000; however, investing that amount over a 20-year period would net you less than $200,000!

Because investing early can make such a big impact on your financial future, it’s little wonder why affluent investors wish they’d been more frugal so that they could set aside more money sooner.

All work and no play...

Fifteen per cent of wealthy investors wish they’d stopped to smell the roses a bit more along the way so that they could enjoy their money more. Although hard work can lead to financial success, taking time to recoup and rejuvenate can lead to a healthier and happier life.

One way to do that is to spend less money on material things and more money on experiential things, such as vacations. People who spend their money on experiences rather than goods get the most long-lasting enjoyment. That suggests that taking a family trip is, in the long run, more rewarding than buying a fancy car.

Interestingly, taking time to enjoy your money in this manner may also be a good investment. 

Tying it together

Every investor is bound to have money regrets down the road, but minimising those regrets could help you amass a larger portfolio and live a happier lifestyle. Although there’s no guarantee that following this advice will lead to riches, it’s likely a good place to start.

Business Insider

People often use the terms “savings and investments” interchangeably, however, savings is money set aside for emergencies or to meet very short-term goals whereas investment is when money is placed in financial products with the objective of earning returns over time. 

Another significant difference between the two is the risk they bear and the returns they offer. The main objective of savings should be safety and ease of access to money. It is therefore held in low-risk products such as bank accounts which generally provide a lower rate of return. 

On the other hand, money invested in various products like stocks, bonds and some mutual funds is subject to fluctuations, where the value of the money could increase or decrease over time. 

When investing your money how much risk should you take? 

In 2008, when major financial markets lost more than 30 per cent of their value, would you have been able to tolerate this level of losses on your investments? 

Risk tolerance measures how comfortably one handles declines in the value of their investments, both emotionally and financially. Let us consider the engaging relationship between a cat, a mouse and cheese. The mouse will gauge its ability and willingness to attain the cheese, and then choose the most appropriate route, considering the cat’s presence. 

To make a profit, there are some risks you would have to accept, as would the mouse in the pursuit of the cheese. A major question is how much risk should you take? 

Or in the analogy of the mouse, which route should I take to attain my objective of the cheese. This question is best answered by determining your Risk tolerance as it provides a realistic understanding of your ability and willingness to tolerate large swings in the value of your investments.

How to determine risk tolerance

There two main components when determining one’s risk tolerance; the first is your ability to accept risk and the second is your willingness to accept risk. 

Your ability to accept risk would be determined by factors such as age, the time you have to achieve the goal and your net worth. Your willingness to accept risk would however be driven by your personality and investment experience. 

Consider the following questions:

When do you need the money? 

One of the most important components of determining your risk tolerance, is knowing how soon you expect to need the money you are investing, this is called your time horizon. 

Based on your goal, if you need the money you have invested in a month’s time, then you want to invest far more conservatively than if you need the money in the next 30 years.

Hence you need to pick a portfolio that fits your needs, it is risky to pick a heavily stock oriented portfolio if you will need the money within months. While there is the likelihood of a growth in your portfolio over the period, there is also the likelihood of a loss which could derail you from meeting your objective. 

What is your net worth? 

Net worth is simply your assets minus your liabilities. Risk capital is money available to invest or trade that will not affect your lifestyle if lost. Therefore, an investor with a high net worth generally has more risk capital and can assume more risk. It does not mean that he is willing to accept a high level of risk but the ability to accept it is present. 

Unfortunately, those with little to no net worth or with limited risk capital are often drawn to riskier investments in the hopes of generating higher profits. If the risk of loss materialises they could lose everything. It is therefore important to invest within your risk tolerance. 

What are your investment goals? 

Your investment objectives must also be considered when calculating how much risk can be assumed. If you are investing for an important goal such as your child’s college education or your retirement, how much risk do you really want to take with those funds? Conversely, more risk could be taken if you are using true risk capital to attempt to earn extra income.

Are you new to investing or are you proficient in it? 

Your level of experience is another essential factor when understanding your risk tolerance. A new investor tends to be very observant and cautious whilst experienced investors would be more comfortable committing more capital to an investment. 

Even if you have the guidance of an advisor, it’s important to understand exactly what you’re putting your money into as well as all the risks involved. 

What is your attitude to risk?

Your personal tolerance to risk is a major determinant in shaping your investment strategy and portfolio structure. A cautious person may develop a conservative approach to investing, hence will have a lower tolerance to risk and intuitively a lower expectation of return. 

The opposite would be true of an entrepreneurial investor who would have a more speculative, higher risk investment portfolio. 

Careful consideration

Knowing your risk tolerance goes far beyond being able to sleep at night or stressing over your funds. It is a process of analysing your personal financial situation and balancing it against your goals and objectives. Ultimately, knowing your risk tolerance—and keeping to investments that fit within it—will enhance your financial well-being. 

Persons with a low-risk tolerance should focus on more Fixed Income investments such as government bonds, treasury bills and money market mutual funds while persons with a high-risk tolerance can invest in a portfolio that is tilted more towards stocks or mutual funds which are invested in stocks. Your personal risk tolerance should be revisited whenever there is a change (whether negative or positive) in any of the factors that impact your ability or willingness to accept risk.

Changes can occur as a result of an inheritance, change in employment status, marriage or a new addition to the family. 

Tips for couples 

As with everyone else, before creating an investment portfolio, couples need to set their long- and short-term goals. 

Couples face unique challenges, however, since it may turn out that each spouse has a different risk tolerance level, some believe that the more risk averse spouse should lead the investing because it’s better to take on too little risk than too much. 

However, a too-conservative allocation can cause a couple to miss out on potential gains, therefore missing out on opportunities for investment gains. 

Formulating a joint risk tolerance would therefore guide your investment portfolio.

The Unit Trust Corporation (UTC) has over 30 years’ experience in investment management. Our financial advisers could assist you in determining your risk tolerance and provide you with investment advice to enhance your personal wealth and financial well-being. Call or visit us today. 

Sajjad Hamid

​One of the big issues that owners of small- and medium-sized enterprises (SMEs) face is getting financing. 

Early stage ventures tend to consume more cash that they generate. They are sometimes called cash sponges.

Later stage enterprises and post startup phase firms, even though they are in a positive cash position, need cash to expand the business. They need cash to introduce more product lines, export, give credit, etc. So whether at early or growth stage, businesses need access to capital that is easily available and at a reasonable cost. Something that is quite challenging to get. 

There is an additional problem that is only unique to the SME sector. The capital it needs tends to be risky and needed for the medium to long term. It’s called growth capital as opposed to working capital. So entrepreneurs face a dilemma, how do they grow the business so they can compete against the big guys and at the same time attract capital at attractive rates. This is the biggest sore for entrepreneurs.

Sources of capital

Capital can take two forms: debt and equity. Debt is essentially a loan and it must be paid back with interest. Normally the lender asks for collateral and, in default, the borrower can lose the asset offered as a guarantee. 

The problem with debt capital is the early stage business owner does not have business assets and therefore cannot offer any. She will have to put up personal assets or income to get a loan or ask for a guarantor. 

Commercial banks tend to avoid these risks as they are asset-based lenders. So early stage ventures tend to struggle for lack of capital or be dependent on the founder’s investment. 

Equity financing on the other hand is contributions by the shareholders and are owners of the business unlike debt financers. Equity has the advantage in that contributors may not require a dividend until the later stages of the business. This can give the business better cash flow as profits can be reinvested. Shareholders at some point will expect dividends or the capital back plus appreciation. They look for big returns as the risk is greater; the law in finance is the greater the risk the greater the return on investment. 

Equity financing can come from many sources for SMEs; founders, the 3 Fs (family, friends and fools), angels, venture capital and private equity funds. 

Financing challenges

Unlike small businesses, large enterprises have good cash flow and a large asset base so they can borrow from banks at prime rates (best rates) and access the stock market. Small ventures are stuck with being constrained by cash flow problems and lack of interest by equity investors. 

Our entrepreneurial culture is that business owners do not like outside equity investors as they (founders) will have to disclose financial information. 

We also do not like to share in the wealth (or be open to public scrutiny) and this culture has its drawbacks. 

Have you ever noticed that some large enterprises in T&T: Matouks, Associated Brands and SM Jaleel are not on the local stock market, even though they compete against companies that have accessed the capital markets. So when SM Jaleel go out to borrow, they are probably paying a higher cost of capital than, say Coca Cola, giving them a big disadvantage. 

Business angels 

Business angels, as the name implies, are individuals who are allies in the business. They are people who are often established entrepreneurs, who invest money and time in fledging enterprises at the pre-seed or startup phase of the business life cycle and hope to get some financial gain. Angel investors tend to be motivated by their need to invest surplus cash in an exciting venture that they have some industry experience. 

Recently, I was invited to a workshop titled, “Angel Investor Engagement Training For Entrepreneurs” sponsored by the Caribbean Export Development Agency (CEDA) in Barbados. The presenter, Nelson Gray, gave some examples of successful angel financing. 

In 1999, Ram Shriram provides US$100,000 & US$200,000 to Larry Page and Sergey Brin—founders of Google—to help its startup. He owned about five million shares (at the IPO stage) in the company worth about US$580 per share today. You do the math, but his return at the IPO stage (he has since sold some shares) was in excess of 10,000 times his initial investment. 

Another example was the case of David Berkus, who was asked by a former employee to invest US$100,000 in a startup known as Amazon.com. He did not. If he had, his initial investment would have been worth US$42 million at the IPO. 

So the upside is high returns for investors if they can indeed spot a future winner. 

However, not all early stage companies can become the future Google or Facebook. These gazelles are the ones that can more than compensate for the firms that under perform or go bust. Angel investing is not for the faint hearted. It is for the investor who will spend the time looking through a large number of prospects to find potential gazelles. 

Investor attraction

According to Gray (CEDA) business angels are looking for the following qualities in startup companies:

• Be willing to give up some control of their company

• Have potential for high growth

• Plan an “EXIT” within five to seven years

• Have a team: angels invest in teams (not individuals)

• Have time: It’s easier to raise funds when you don’t need them

If these criteria are not met, angels tend to look for the next best candidate. So if you are on the search for angel financing, make sure you get those tips right. 

Crowdfunding

Crowdfunding or crowdsourcing is a new concept to raise awareness, feedback or to gain support (financial or otherwise) for your idea, product or company and it normally uses the Internet. 

A few weeks ago, the Caribbean Centre for Competitiveness (CCC), hosted a session on crowdfunding. Presenters Andrew Farquharson and Lyn Baranowsk spoke on “Innovations in Financing: Concept to Commercialisation: SMEs/Start-Ups” They identified four types of crowdfunding models: equity, donation, debt and working capital. 

The equity model is where the firm owners can raise cash from bidders and investors get a share of the company. Some examples include VentureHealth and Poliwogg. Recently, some sites have started to serve specific industries or niche markets. 

The donation or pre-selling model is either asking you for a donation to support them or sometimes the company is asking you to pay money upfront for a product under development. So the seller gets valuable cash to further develop it and you get a chance to get the first one. The most famous sites are Kickstarter and IndieGoGo.

The debt model is where lenders receive principal and interest. An example would be Lenders Club. Market Invoice would be an example of working capital model and they supply credit to cover accounts receivable, a critical issue at startup. 

Good and the bad news

The good news for entrepreneurs seeking to raise capital is that there are more options today. Traditionally, it was just the 3 Fs and financial institutions. Now you have angels, crowds and possibly venture capital. However, these innovations have not gained acceptance as yet in T&T. There is need to develop a market for angel financing locally, which might exist in a small and in an informal way. The crowdfunding model only works if you can access to a foreign Web site. There are no local versions here. But something tells me, given the benefits of these two innovative forms of financing, local financial entrepreneurs might be planning to enter the market soon. 

Sajjad Hamid is an SME consultant. He can reached at entrepreneurtnt@gmail.com; entrepreneurtnt.com

Former West Indies captain Brian Lara says officials of the West Indies Cricket Board cannot restore the sport to its former glory on their own.

He has therefore declared his intent to make overtures to assist administrators in the resurgence of the game.

Lara reaffirmed his willingness to help rebuild WI cricket and told the T&T Guardian he would do everything possible to help nurture young talent in T&T and across the region, because the future of the sport demanded it.

Lara had the support of sports minister Brent Sancho.

While issues related to cricket were not dealt with by individual ministers of sport across the region, but at the level of Caricom, said Sancho, he firmly believed the return of Lara was one way to boast the quality of performances and the consequent championship titles the people of the Caribbean expected. 

Lara said the WICB was trying but what you see in terms of performances by the players, is not necessarily the true reflection of  the sport here.     Administratively, they need help. Again, I am willing to help but the relationship has to be built, for me to have trust in the people I am working with.    

When questioned about the positive impact the Hero Caribbean Premier League had on the coffers of the WICB, Lara stated:     Financially it must have benefitted the WICB. In terms of the shorter version of the game, West Indies have proven they can play with the best teams in the world.  Unfortunately, we did not have our best team in the recent ICC World Cup in Australia, but I think as a purist, it’s really down to the test version of the game. I don’t know how much CPL could do for that. As I’ve said, the best cricketers I have seen in the past are able to play all forms of the game, Lara said. 

He added,     The youngsters want to play for an Indian Premier League (IPL) team or a CPL team, but they should also want to play for West Indies. Putting on that white clothes and the burgundy cap still should be the most important thing for any young cricketer. I’m sure the CPL understands that. The fact that they are playing cricket and are bringing the crowds out should create  interest among the youngsters.

Shakerattlenroll  is fancied to recoup recent losses in the sixteen-runner 2-y-o Maiden Stakes over six furlongs of ‘good to soft’ Windsor tonight when retiring champion jockey Richard Hughes has rides in all seven races.

‘Hughesy’ has been a ‘standing dish’ at the Thames-side course for more than a decade, partnering ‘steering jobs’ supplied by his father-in-law Richard Hannon who handed the license to namesake son last year.

This time next week Hughes will himself be a licensed trainer, Pat Dobbs and Sean Levey will ride for ‘the racing family Hannon’, which has specialised with juveniles so successfully; all good things come to an end but the show goes on, hopefully Paul Cole-trained Shakerattlenroll achieves his debut time-handicap mark under Cam Hardie, apprenticed to Hannon!

‘Shake’ was a promising third at Brighton and then attempted to make all from the worst draw (12!) at Wolverhampton over seven furlongs; ‘you can’t do it at both ends’ is a well-known saying and sure enough Shakerattlenroll capitulated down the straight, finishing an ignominious sixth, beaten eight lengths.

Dropped back in distance and drawn much better Shakerattlenroll justifies each-way support and a speculative nap selection because the price will be right.

Once-raced Mont Kiara is a ‘steal’ in the 2-y-o Maiden Stakes over five furlongs of Southwell fibresand, if able to cope with the dreaded ‘deep stuff!’

Trainer Kevin Ryan will know, you can bet he’ll have transported to Mont Kiara to the Nottinghamshire venue for a spin round and it’s just a question of Jamie Spencer doing the biz’ aboard this           well-regarded French-bred colt; they       were a close second to Husbandry in a fast-run race at York sixteen days ago. A ‘cert’ if...!

Nine go to post for the nursery handicap over the same course and distance, Scott Dixon-trained Misu Moneypenny won her only start over it ten weeks ago and there isn’t a better system for nurseries; handicappers haven’t a clue how to assess once-raced winning juveniles.

ST. PETERSBURG—The United States’ road to the 2018 World Cup opens in November with a four-nation group that includes Trinidad and Tobago.

Given a bye in the first three rounds along with the other powers of the North and Central American and Caribbean region, the 34th-ranked United States was drawn into Group C for the fourth round. In addition to the No. 64 Soca Warriors, the group will include 105th-ranked Guatemala or No. 107 Antigua and Barbuda, and 135th-ranked Aruba or No. 115 St. Vincent and the Grenadines.

Seeking its eighth straight World Cup appearance, the Americans start with a pair of games on November 13 and 17. Play resumes March 25 and 29, and then takes a six-month break before concluding September 2 and 6, 2016. The top two nations advance to the final round Hexagonal, which will produce three qualifiers and determine the fourth-place team that meets Asia’s No. 5 team in a playoff for a berth. The Hexagonal starts November 7, 2016, and ends October 10, 2017.

Mexico is in Group A with Honduras, Canada or Belize, and El Salvador or Curacao. Group B includes Costa Rica, Jamaica or Nicaragua, and Haiti or Grenada.

World Cup qualifying draw

EUROPE (13 nations qualify - Russia also qualifies as host)

Sept. 4, 2016, to Oct. 10, 2017

Group winners qualify

Top eight second-place teams advance to playoffs

Group A_Belarus, Bulgaria, France, Luxembourg, Netherlands, Sweden

Group B_Andorra, Faeroe Islands, Hungary, Latvia, Portugal, Switzerland

Group C_Azerbaijan, Czech Republic, Germany, Northern Ireland, Norway, San Marino

Group D_Austria, Georgia, Ireland, Moldova, Serbia, Wales

Group E_Armenia, Denmark, Kazakhstan, Montenegro, Romania

Group F_England, Lithuania, Malta, Poland, Scotland, Slovakia, Slovenia

Group G_Albania, Israel, Italy, Liechtenstein, Macedonia, Spain

Group H_Belgium, Bosnia-Herzegovina, Cyprus, Estonia, Greece

Group I_Croatia, Finland, Iceland, Turkey, Ukraine

Playoffs

Nov. 9-14, 2017

Winners qualify

SOUTH AMERICA (4 or 5 nations qualify)

Sept. 4, 2016, to Oct. 10, 2017

One group of 10 nations

Double round robin

Top four teams qualify

Fifth-place team advances to playoff vs. Oceania

Argentina, Bolivia, Brazil, Chile, Colombia, Ecuador, Paraguay, Peru, Uruguay, Venezuela

NORTH AND CENTRAL AMERICA AND CARIBBEAN (3 or 4 nations qualify)

Third round

Aug. 31 to Sept. 8, 2015

Winners advance

Antigua and Barbuda vs. Guatemala

Canada vs. Belize

Curacao vs. El Salvador

Grenada vs. Haiti

Jamaica vs. Nicaragua

St. Vincent and the Grenadines vs. Aruba

Fourth round

Nov. 7, 2015, to Sept. 6, 2016

Double round robin

Top two teams in each group advance

Group A_Canada-Belize winner, Curacao-El Salvador winner, Honduras, Mexico

Group B_Costa Rica, Grenada-Haiti winner, Jamaica-Nicaragua winner, Panama

Group C_T&T, US, Antigua and Barbuda-Guatemala winner, St. Vincent and the Grenadines-Aruba winner 

Fifth round (Hexagonal)

Nov. 7, 2016, to Oct. 10, 2017

Double round robin

Top three teams qualify

Fourth-place team advances to playoff vs. Asia

ASIA (4 or 5 nations qualify)

Second round

June 11, 2015, to March 29, 2016

Double round robin (drawn April 14)

Group winners and top four second-place teams advance

Group A_East Timor, Malaysia, Palestine, Saudi Arabia, United Arab Emirates

Group B_Australia, Bangladesh, Jordan, Kyrgyzstan, Tajikistan

Group C_Bhutan, China, Hong Kong, Maldives, Qatar

Group D_Guam, India, Iran, Oman, Turkmenistan

Group E_Afghanistan, Cambodia, Japan, Singapore, Syria

Group F_Iraq, Taiwan, Thailand, Vietnam (Indonesia disqualified)

Group G_Kuwait, Laos, Lebanon, Myanmar, South Korea

Group H_Bahrain, North Korea, Philippines, Uzbekistan, Yemen

Third round

Aug. 29, 2016, to Sept. 5, 2017

Two groups of six

Double round robin

Top two teams in each group qualify

Third-place teams advance to playoff

Fourth round

Oct. 2-10, 2017

Winner advances to playoff vs. CONCACAF

AFRICA (5 nations qualify)

First round

Oct. 5-13, 2015

Winners advance

Central African Republic vs. Madagascar

Chad vs. Sierra Leone

Comoros vs. Lesotho

Djibouti vs. Swaziland

Eritrea vs. Botswana

Gambia vs. Namibia

Liberia vs. Guinea-Bissau

Mauritius vs. Kenya

Sao Tome e Principe vs. Ethiopia

Seychelles vs. Burundi

Somalia vs. Niger

South Sudan vs. Mauritania

Tanzania vs. Malawi

Second round

Nov. 9-17, 2015

Winners advance

Angola vs. South Africa

Benin vs. Burkina Faso

Central African Republic-Madagascar winner vs. Senegal

Chad-Sierra Leone winner vs. Egypt

Comoros-Lesotho winner vs. Ghana

Djibouti-Swaziland winner vs. NigeriaEritrea vs. Botswana winner vs. Mali

Gambia-Namibia winner vs. Guinea

Liberia-Guinea-Bissau winner vs. Ivory Coast

Libya vs. Rwanda

Mauritius-Kenya winner vs. Cape Verde Islands

Morocco vs. Equatorial Guinea

Mozambique vs. Gabon

Sao Tome e Principe-Ethiopia winner vs. Republic of Congo

Seychelles-Burundi winner vs. Congo

Somalia-Niger winner vs. Cameroon

South Sudan-Mauritania winner vs. Tunisia

Sudan vs. Zambia

Tanzania-Malawi winner vs. Algeria

Togo vs. Uganda

Third round

Oct. 3, 2016, to Nov. 14, 2017

Five groups of four

Double round robin

Group winners qualify

One hundred people descended from one Trinidad family have arrived in Port-of-Spain from four corners of the world for a reunion they hold every ten years.

The first Scott family reunion was held in Tobago in 2005, though the first ancestor of the Scott clan came to Trinidad 200 years ago from England. 

For some, to join their relatives in Trinidad was no easy journey. Ludy Scott travelled from Australia via Vancouver and Toronto and Jason Scott did a dog’s leg from Slovakia via London. Chris Cooke-Yarborough was so determined not to miss the reunion that he flew from Florida to Piarco with two broken wrists, having fallen off a ladder at home. He bravely followed the pack on their various trips with arms encased in plaster. Doug Chancey who came with his wife Betty from their farm in Virginia, fractured a big toe on the swimming trip to Maracas, but that did not stop him taking part in all the planned events. Only Charlie “Grandad” Gates from Virginia missed out from the family boat trip to Monos due to illness.

Interestingly, back in the 1920’s Frederick E Scott, Mayor of Port-of-Spain between the World Wars brought 20 grandchildren and their nannies to Monos for a two-week holiday. And with them came live chickens for eggs and a cow for milk.

This week some of the cousins were meeting each other for the very first time, the youngest of them Joshua Rowsell, who has just turned one year. His cousins Layla, eight and Albert, five, (also from England), braved the waves at Maracas Bay on their first day with little relatives they had never seen before—Zach, seven; and sister Piper, nine, from Australia; along with cousins Emily, eleven, from Washington DC; and livewire Colette, six, from Richmond, Virginia. 

It’s also the first time Colette’s mother, Marie, has left America. Two sisters who had come from France, Eva and Linda Richir regretfully had to leave their mother Bridget at home because she said she would feel too emotional returning to the land of her birth and may not want to go back to Paris.

 Those who’d met each other a decade ago on the sister island, were excited to see how they’ve all changed from childhood into lithe, handsome adults, fizzing with bright hopes and aspirations for the future. There’s Brandon, now 18, from Australia, hoping to make his name as a light-heavyweight boxer, and brothers Zeke and George Chancey, now 22 and 25, from Chesapeake. Their cousins, Morgan and Lindsey, both students in Atlanta, Georgia were not even in their teens at the Tobago reunion. Claire and Christopher Tindall, now 29- and 26-year-olds, who have come to the reunion with their parents, David and Rowena (Scott) are cherishing memories of their early school days in Trinidad. Their cousin Alex Beadon is a budding online entrepreneur in the USA. Kathryn, eight, one of the Trinidad-born cousins, proudly wore her national T&T colours at a mass said especially for the Scott family.

The overseas relatives were swelled by over 50 local cousins, some of whom have never visited the Hindu Temple in the Sea at Waterloo, although they have lived in Trinidad all their lives.

This happy band of travellers, the Scott descendants, call themselves A Family of Friends ready to help each other whenever possible. Generosity and meticulous planning during this week-long get-together had made it especially memorable for the 56 relatives  who came from overseas—from Down Under, Canada, England, France, Nigeria and the USA. During this week there have been trips in air-conditioned buses to Maracas, Talparo, Mayaro, Blanchisseuse and by boat to Monos island. 

All praise for the planning of this smooth event goes to broadcaster, Celia Scott, her brother Nigel and cousins Jennifer Scott, Gillian Ross and Stephen Davenport. The reunion was made complete by the friendship and hospitality of all the other Scott family relatives who live permanently in Trinidad.

 The two oldest siblings at the reunion, Gerardine Davenport, who’s 87 and Kathleen Haskell, 85, agreed: “We just hope that ten years on, the younger generation will be able to keep up this tradition of us all meeting from across the world, It’s such a wonderful experience for everyone.”

A child being able to see beauty in something as simple as a doll is important in building future self-love and acceptance. 

This is the sentiment of Xala Ramesar, 18, of Curepe.

Trying her talented and creative hands and mind, Ramesar began creating handmade dolls.

“I wanted to try to have a hand in helping children now find that same sense of belonging,” Ramesar said.

Having learned basic sewing from her grandmother and great-grandmother, Ramesar picked up her needle and thread, all the while trying to figure out her process for making these unique dolls.

“It has been a mixture of sketching, trial and error, and consulting the internet for tips,” she proudly said.

Ramesar, who is the daughter of filmmaker Yao Ramesar, Gillian Moore, graduated from sixth form at St Augustine Girls’ High School in 2014 and is hoping to start a BA in Visual Arts at UWI.

Having only recently turned 18, when she started planning these dolls, Ramesar said she has been reminiscing about what it meant to be a child and what was important to her as a child. 

“As children of mixed race descent, my parents always made sure my sister and I were able to see people like ourselves—people of colour—in our toys and books growing up,” Ramesar said.

“I’ve gotten so many helpful tips and comments from different people, and a few adults have told me they think I’m doing something important by making these dolls, but the most impactful reactions I’ve gotten have been from the children who have gotten them—as when a child’s face lights up and they say, “That doll looks like me!” or, “She has hair like mine!” she added.

Being represented, Ramesar said, sends children the message that they are worthwhile too. 

Ramesar first started selling her dolls at the UpMarket in May 2015.  She is also doing dolls via custom orders which can be placed on KisKiddies Facebook page. 

She has even gotten scores of orders from several countries around the world.

“It was important to me that the dolls be made carefully and with love. Most of the value is in the handmade quality. It’s hard to put a value on that! Let’s see how far it goes! 

“There’s been an incredible outpouring of support from many people, as well as my family. It’s been amazing so far and I’m so grateful,” Ramesar said.

The dolls are priced between $175 and $350.

Aschille Clarke-Mendes

Autism is a complex neurological disorder, and not a handicap. This is the first of many misconceptions that must be debunked in order to fully understand, appreciate, and cater for those affected by autism. 

The Autistic Society of T&T (ASTT) is a parent support group for those who take care of autistic children. They have been around for 25 years, but so have received no funding from the government. They currently have 650 families registered in T&T, but that is most likely fewer than the actual number, as the United Nations has said that one in every 68 people has an autism spectrum disorder—one per cent of the global population.

The ASTT spoke with the T&T Guardian about the problems faced locally concerning advocacy for the mental condition, as well as possible solutions for these problems. The T&T Guardian also got the chance to speak with some of those affected by the condition.

Glendon Crepin is a middle-aged man diagnosed with Level One Autism. He also happens to be the resident “origami expert” for Autistic Place. He enjoys watching music videos and reading comic books as well as novels. He attended culinary classes at the Youth Training and Employment Partnership Programme, and uses his knowledge to cook pasta. When things get too crowded or noisy, he feels uncomfortable, and leaves the room to watch music videos by himself on his tablet. When he was younger, people used to make fun of him for the way he speaks. He found it hard to communicate, but he has since found solace in the walls of Autism Place, where he can get the support he needs, and where he can create origami.

At Christmas, he sells cards decorated with his handiwork: the ying-yang sign jumping off the cardboard; the iconic baby in a manger; and a sun sinking slowly behind mountains (his favourite). His is one of many adorning the walls of PowerGen on Wrightson Road. He feels at home at the Autism Place, where he sits for hours daily teaching origami classes to the youths at the centre.

Kendell Boddoo is 18. He now attends high school and has a group of friends. But his story was a long and atypical one. He didn’t start speaking until he was almost six, and he attended several special schools until he started primary school at the age of nine. Even then, when he began in second year, he was not very verbal. He would answer your questions, but wouldn’t give you much more than that. Making friends was a challenge for him. Some kids want to make friends with him, but they did not know how. 

When attending autism camp, he used to take pictures, play video games, and make cartoons. He showed the T&T Guardian one of his creations, Sonic Gets Busted, an animation featuring Sonic the Hedgehog along with his own character, special agent KBMW (Kendell Boodoo Moon Walker). Cartoons and drawings act as his means for escape, as well as his way to communicate his thoughts and feelings. Amoy Boodoo, Kendell’s mother, explained that when an incident happens at school, and he gets questioned, it’s best that he answers through animation, “he may leave out some information because he is angry. He can’t defend himself when he can’t speak properly. But the cartoon shows what exactly took place.” Amoy gave an account of the bullying he has had to suffer, recalling that one day he received an E in an exam, and thought it stood for ‘excellent.’ The kids in his class teased him incessantly. “He wanted to erase the letter E from the alphabet,” said Amoy, “This went on for years, and he had to get counselling.”

Autistic children, like Kendell, tend to take things literally, and have difficulty understanding what might seem to be obvious questions. 

“He was asked, as part of an exercise, to write examples of his needs and wants,” said Amoy. “He wrote that he needed a key to his house, because his own was lost. He wanted the bullies in his school to get detention. The teacher didn’t understand him, writing question marks next to his responses. The teacher was expecting ‘needs’ to be commodities like food and water, but those aren’t needs for him, because he already has those things.” 

A situation like that could have been solved by the teacher pulling him aside and asking him about what those things meant. Despite that, he is now understanding that some words have multiple meanings and now he has a list of Trinidadian slangs that he updates regularly.

In Trinidad, Crepin’s and Boodoo’s cases are exceptions rather than the norm, as the T&T Guardian unearthed some harrowing tales of other autistic people, misunderstood and left in the dark. Some are sent to St Ann’s Hospital, because their parents are not informed about the condition, and many autistic people are wrongly dismissed as mentally ill.

“Our children with autism are not being catered for in the school system,” president of the ASTT, Teresina Sieunarine lamented.

“The major problem is socialising, and school is a very social place,” said Sieunarine. 

“There is a lot of bullying and disrespect in the schooling system. What is important is teaching how to communicate their issues,” said Sieunarine. 

“This would decrease the misunderstanding, which would result in fewer tantrums and fewer frustrations among those affected.”

Nichol Alves, general manager of ASTT, said that despite efforts made by the United Nations, there is still a lot left to do in the area of advocacy for persons with autism in T&T. This is so in spite of the support they have been getting from key partners. 

Alves said that advocacy for autism improved in T&T when Republic Bank joined Autistic Society’s parent support group to mark April as a month devoted to autism awareness. 

She said this year Reema Carmona, wife of President Anthony Carmona, and Social Development minister Christine Newallo-Hosein also them for the autism awareness walk around the Queen’s Park Savannah. 

“ASTT is very thankful to our many donors and sponsors. ASTT is able to function because of assistance from Republic Bank’s Power to Make a Difference Programme; many individuals; charitable groups; fund raising events; volunteers, and so on,” said Alves.

Alves suggested that advocacy can be improved as “parents become more empowered and do not feel that they will be victimised for speaking out and expecting the best for their child/adult with autism.” 

She feels the government can take steps as well. “It will also be improved if there is the political will to spend money on awareness campaigns; implement the various policies on disability issues: the UN Convention on the Rights of People with Disabilities, and the UN Rights of the Child,” said Alves.

The ASTT general manager believes there a clear focus on improving the lives of people with special education needs and that means proper planning, not an ad hoc approach. This according to Alves, must involve a “community-based approach” that allows for early expert diagnosis, early affordable and appropriate therapies, educational services-early childhood, primary, secondary, tertiary level, vocational; entrepreneurial opportunities and employment; and access to job coaches in the workplace and autism friendly places for recreational activities and worship.

In the area of education, Alves said that for children with autism, there is no “one size fits all” as each person has different needs and also different strengths. 

“Many strategies developed for children with autism can also be used in a regular classroom. One such method is the five point scale.” 

But to implement these strategies, educators will have difficulties, particularly in overcoming a stigma which affects the transformation of attitudes and understanding of autism. 

“The awareness and education must start with small children, at early childhood level, and in the home. Autism is a spectrum disorder and is often misdiagnosed. It is not a mental illness but a neurological condition,” Alves said. 

“There are differences in the brain structure which affect the way they perceive the world and people in the world. It is important to teach people with autism using specific strategies and therapies so that the brain can form new connections and help the individual cope with living in this world.” 

“When educators are given the necessary tools for teaching children with autism then they will be more comfortable accepting children with autism and other disabilities into the regular classroom,” said Alves. 

She also suggested that the government provide scholarships for people to study those mental conditions to have a wider pool of behavioural therapists and occupational therapists. 

With early diagnosis and intervention, the autistic child can see drastic improvements in their life as the mind’s nervous system has incredible plasticity, and can be moulded to compensate for the condition.

REID MOORE: CAROL died at her residence, 104 Eleventh St, Barataria on Saturday 18th July, 2015. Wife of Winston (Steve) Moore. Mother of Gary and Nicole Moore. Grandmother of Lia, Nabhan and Mali. Great Grandmother of Destiny. Mother-in-law of Prudence Mitchell Moore.

Sister of Courtney, Courtlyn and Kempton (all deceased). Carlyle (Canada) and Annette. Aunt of eleven. Cousin of the Allard and Reid family. Sisterin- law of Gloria Reid-Huntley, Janice Reid and Sylvia (Pat) Wright and Horace (butters) Moore.

​Friend of many. Funeral at 10:00 am Tuesday 28th July, 2015 at St. Theresa's R.C. Church, de Verteuil Street, Woodbrook thence to the St. James Crematorium at 12 noon. For enquiries; call C&B: 625-1170

TANG KAI: PETER passed away peacefully on the 24th July, 2015 at the age of 88 years. Husband of Jean (nee Donawa). Father of Judith Fung, Brian (dec.), Glenford, Donna, Lisa Ali, Garth, Anthony, Fr. Leslie Tang Kai and Roger. Brother of Monica Charles, Sr. Gertrude Tang Kai, Alva Ferraz, {Rita, Camilla, Pedro and Fenrick ( all deceased)}.

Brother-inlaw of Theresa Bates, Angela Goyette, {Yvonne Rampersad and Edgar Jacelon (both deceased)}. Father-in-law of Trevor Fung, Maura, Angela and Ahmad Ali. Grandfather of 10. Great Grandfather of 7. Relative and Friend of many.

​Former employee at ABEL. Funeral service of the late Peter Tang Kai takes place at 9:00 a.m. on Tuesday 28th July, 2015 at Church of the Assumption, Long Circular Road, Maraval. Private Burial. A collection will be taken up for his favourite charity. For enquiries; call Clark & Battoo: 625-1170.

Angostura chairman Gerald Yetming, yesterday, assured shareholders at the annual meeting of the rum and bitters producer that the company will not end up as a majority state-owned company, even though the Clico resolution calls for the transfer of Clico’s shares in Angostura and CL World Brands (along with Home Construction) to the Government.

Clico owns 32 per cent of Angostura (66.9 million shares) and 48 per cent of CL World Brands, which owns 45 per cent of Angostura (some 92.5 million shares), which means that if both sets of shares are transferred to the Government, it would own 54 per cent of Angostura. 

This would make Angostura a majority state-owned company.

Asked what would the Government’s stake in Angostura be when Clico’s shares in the company and CL World Brands are transferred to the State, Yetming said: “In the final shareholders’ agreement, certain transactions are contemplated, which are all linked to the Clico resolution, which is expected to bring a complete and final resolution to the Government’s intervention in Clico.

“At the end of it, it is not expected that the Government will end up with any shareholding in Angostura to have it qualify as a state enterprise and I want the shareholders to be reassured of that.”

Several of the shareholders at the meeting raised the issue of the $984 million debt that the CL Financial group owes to Angostura, for which the company has made a 100 per cent provision.

Answering one of the shareholders, Yetming said the total resolution of the issues between the Government and CL Financial/Clico is intertwined and that the Angostura board was pursuing the recovery of the $984 million debt in a manner that would be in the best interests of the rum company’s shareholders.

Yetming told the shareholders that he did not want to say anything more on the matter because at last year’s annual meeting he was reported to the local Securities and Exchange Commission for allegedly making a statement of a material, non-public fact at the meeting. Yetming said the fact that he was able to address yesterday’s annual meeting was an indication that the SEC investigation had turned up no wrongdoing on his part. He noted that had he been found guilty he would have faced millions of dollars in fines and years in jail.

Minority shareholder activist, Peter Permell, admitted that the person reporting Yetming to the SEC last year was him.

For Angostura’s 2014 results, the group generated $217 million in results from continuing operations, which was about 11 per cent higher than the restated results for 2013.

The rum and bitters company’s after-tax profit for 2014 was $153.4 million, which was substantially less than the $289 million declared in 2013—a year in which Angostura recorded a one-off gain of $151 million from the sale of assets and the settlement of debt.