The Power of Confidence – Part 1 October 30, 2008
They say that money makes the world go round, but what makes the money go around the world? Confidence. Confidence that the rules of supply and demand will be self-perpetuating, confidence that profits will be realised, confidence that stable institutions and economies will remain, well, stable. Confidence – without it the world would be a darker place indeed.
Ladies and Gentlemen, Welcome to a Darker Place!
Just some of the headlines and stories on your newsstands today: Investor concern grows for the health of European banks; Germany’s second largest commercial mortgage lender at risk of collapse; $700bn bail-out plan aimed at rescuing the US financial system; UK holds economic crisis council; Iceland’s bank shares suspended; Recession real risk for France.
Confidence is the lifeblood flowing through the veins of the world’s financial markets. The constant belief that however much someone owes you, they will find a way to pay you back. But what happens when you start to suspect that they may not? The scary thing about confidence is that whilst it may seem strong, its strength is based on something as intangible and fleeting as “belief”, which actually means that the very fabric that binds the world’s economies together is in fact very, very fragile indeed. A downturn here, a few job losses there, and a large splattering of media scaremongering and before you know it, hey presto, you’re hurtling headlong towards a recession! But when an economy as gargantuan as the good ol’ US of A’s gets a cold we all wish we’d taken out shares in a quality tissue company.
The headlines today can only be described as a global sneezing fit. So if you’re an investor with funds a-plenty where on Earth do you put your money? Not on the stock market that’s for sure, with global financial systems balancing precariously on the last thread of sanity over a precipice of despair (yes, I have been told that I can be a little melodramatic at times); with the Acme ten-tonne weight of fate hovering above (ok, maybe that’s going a little far!) Not for safekeeping in the bank (now that’s just being reckless); property? (Oh stop, my sides hurt!)
No, when all around the world financial institution shares are plummeting, governments are sitting in council to discuss worst-case scenarios and bail-out plans, and previously “safe bet” investments are now considered not only risky but downright foolish, the canny investor might consider putting their money into intellectual property. All of a sudden the confidence gap between “safe bet” investments and investing in new businesses or business concepts has narrowed and for an investor with a wise head on their shoulders, a little planning and a lot of research, investing in the right business could well be the most profitable and satisfying investment they’ll ever make.
Angels Den specialises in offering a veritable feast of new entrepreneurial talent and business ideas to investors (Angels) keen to invest their money (and sometimes their time and experience). So if you’re interested in playing a part in the development of a business, eager to inject your brand of passion into the success of a new invention or concept, or are searching for the next big thing to devote a little time and funding towards, for the juicy profitable rewards that it may produce, then why not visit our website at www.angelsden.co.uk.


Great!This article is creative,there are a lot of new idea,it gives me inspiration.I think I will also inspired by you and think about more new ideas