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Hong Kong's 'Occupy' takes on Beijing

Written By limadu on Senin, 30 Juni 2014 | 05.32

Black-clad lawyers gather at Hong Kong's Court of Final Appeal to protest Beijing's influence.

HONG KONG (CNNMoney)

The pro-democracy protests, which recall the Occupy Wall Street movement in New York, have divided the powerful business community. Some worry that they could deter investors.

Tuesday's march to the city's business district takes place on the 17th anniversary of Hong Kong's handover from British to Chinese rule, and could attract hundreds of thousands of protesters.

Political and economic tensions in the territory have been rising recently, fanned by Beijing's release of a controversial white paper asserting its control.

City activists accuse China of reneging on its "one country, two systems" pledge that was a condition of Hong Kong's return in 1997.

Hong Kong enjoys a high level of economic autonomy, but Beijing's critics say it is encroaching on judicial and political freedoms. On Friday, 1,800 of the city's lawyers, dressed in black, marched in protest.

Bigger flash points are likely over the next few months before a decision over how Hong Kong will elect its next chief executive, the city's highest office.

Pro-democracy activists want Hong Kong residents to elect the chief executive directly. Beijing is said to favor a process that would allow it to screen candidates.

The most visible pro-democracy group -- Occupy Central With Love and Peace -- conducted an unofficial election of its own this month, drawing nearly 790,000 voters, or almost a quarter of the electorate.

The group is also planning a demonstration and other acts of civil disobedience designed to snarl traffic and disrupt operations in the central business district.

Related: Why Occupy Wall Street fizzled

Although they share a moniker, Hong Kong's "Occupy" supporters are not affiliated with the protest movement that got its start in Manhattan's Zuccotti Park. The groups share concerns over rising income inequality, but the Hong Kong group's immediate goal is to secure full voting rights.

"Hong Kong people really want to show to China, to the whole world, that we are determined to have full democracy," organizer Benny Tai told CNN on Monday.

The group's plan to "occupy Central" has set many in the city's establishment on edge.

Hong Kong affiliates of the big four accounting firms -- Deloitte, Ernst & Young, PricewaterhouseCoopers and KPMG -- placed an advertisement in local newspapers last week, trumpeting their opposition to the movement.

"We are concerned that Occupy Central will have a negative effect on the rule of law, social order and the economy of Hong Kong," they said in the ad. "We worry that this would cause international and local investors to relocate their Hong Kong's headquarters or even relocate their businesses."

The highly unusual public intervention by multinational companies in local politics drew widespread criticism. The Financial Times reported that the firms' head offices were not made aware of the plan prior to publication.

Paul Gillis, a professor at Peking University's Guanghua School of Management, wrote on his blog that the "arrogance of the firms is stunning" and the decision would diminish their brand value.

Some employees of the accounting firms shot back Monday -- taking out an ad of their own in support of Occupy Central.

First Published: June 30, 2014: 7:02 AM ET

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Why you don't need to buy extra car rental insurance

NEW YORK (CNNMoney)

Often times, people end up buying supplemental insurance protection that they really don't need, said Odysseas Papadimitriou, CEO of credit card comparison site, CardHub.com. That can add anywhere from $15 to $30 a day to the cost of a rental.

Related: Best travel site rewards programs

"The majority of consumers are covered by their own auto insurance, but they may not know it," he said. "They may be spending extra money when they don't have to."

And those who aren't covered by their own insurance, are likely covered by their credit card, he said. All four major credit card issuers, Visa (V), American Express (AXP), MasterCard (MA) and Discover (DFS), provide some form of rental car insurance coverage. Although, MasterCard issues a few cards that don't offer coverage.

Related: For sale: Dream beach homes

CardHub rated the card issuers based on the extent and length of the coverage they provide, how clearly they state what's covered and how easy it is to get claims paid. American Express (AXP) received the highest rating of 90% for its car rental insurance; Discover (DFS) was second at 88%; MasterCard (MA) third at 79%; and Visa (V) ranked last at 74%.

To make sure you get covered, you must charge your entire car rental on your credit card and decline the supplemental collision damage coverage offered by the rental company. If you sign up for that insurance, you won't be covered by the credit card company.

Coverage from your credit card comes with restrictions, though, said Papadimitriou. Several types of vehicles aren't covered, including trucks with open beds and off-road vehicles, as well as exotic or expensive cars like Ferraris or Jaguars. And American Express doesn't cover certain popular SUVs, such as Chevy Suburbans, Ford Expeditions and Range Rovers.

Related: The riskiest spots for natural disasters in the U.S.

Visa and MasterCard may not cover damages that occur on dirt or gravel roads and other cards don't cover wheels and rims. Some card issuers cap rental periods at 15 days, after which the insurance lapses. None of the card issuers will insure a rental car for more than 30 days straight.

Rental cars in some countries are not eligible for credit card insurance. The ones most often named include Ireland, Israel, Italy, Jamaica and Australia.

One other important note: Unless your personal auto insurance also covers business use, your personal policy won't cover damage caused when you're renting a car for a business trip.

Drivers who aren't sure about their coverage should call their credit card company before they leave for their trip.

First Published: June 30, 2014: 6:04 AM ET

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Should happiness, more than GDP, define a nation's success?

The tiny nation of Bhutan started measuring "gross national happiness" in the 1970s. More recently, public experts have started to tout the importance of measuring citizens' well-being in addition to GDP.

NEW YORK (CNNMoney)

But in recent years, there's been a quest to define and measure it, especially in the context of a prosperous economy.

That's because economic growth as measured by gross domestic product doesn't really tell us much about citizens' general well-being.

"For example, traffic jams may increase GDP as a result of the increased use of gasoline, but obviously not the quality of life," according to a report by an international commission chaired by Nobel Prize-winning economist Joseph Stiglitz.

The assumption is that the more economic growth the better. Legislators are forever debating the merits of a measure on the basis of whether it would create jobs and boost GDP.

But rarely do you hear lawmakers debate whether a measure will boost or detract from citizens' well-being, of which income is just one part.

Related: 10 most stressed out cities

Take North Dakota. Its economy has doubled in the past 25 years thanks to a massive oil boom. Incomes have soared, but so have prices, traffic, crime, and housing shortages.

Well-being, of course, relies on many factors -- from health and education, to environment and culture, to the quality of governance, your community and how you use your time.

There's a growing international chorus that thinks this kind of well-being should be measured and used as a guide when formulating policy and tracking social progress.

The tiny nation of Bhutan pioneered the effort, adopting a "gross national happiness index" decades ago.

The rest of the world has been slow to catch on. But there have been nascent efforts in recent years to address the issue.

In 2011, the U.N. General Assembly passed a resolution encouraging countries to measure their citizens' happiness and use that measure to help guide public policies.

More recently, the Organization for Economic Cooperation and Development (OECD) has created guidelines for nations that want to measure well-being.

In the United States, four states -- Maryland, Vermont, Oregon and Colorado -- have developed a "genuine progress indicator," according to Demos, a left-leaning think tank.

The GPI seeks to quantify in a consistent way the cost and value of factors not measured by GDP.

For instance, Maryland -- which was the first state to adopt a GPI -- is seeking to assess, among other things, the "environmental and social costs of what we buy, [and] the quality-of-life impacts of how we live."

Some cities and towns, meanwhile, have started their own "happiness initiatives," distributing gross happiness surveys to residents to give local policymakers a sense of the level of their constituents satisfaction in different areas.

It doesn't appear that there will be any kind of universal agreement to measure citizens' happiness and well-being anytime soon.

But proponents -- such as the Sustainable Development Solutions Network (SDSN) -- are trying to make the economic case to governments as to why they should.

"Happy people live longer, are more productive, earn more, and are also better citizens. Well-being should be developed both for its own sake and for its side-effects," SDSN noted in its 2013 World Happiness Report.

First Published: June 30, 2014: 7:06 AM ET

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American Apparel adopts plan to prevent a takeover

Written By limadu on Minggu, 29 Juni 2014 | 05.32

NEW YORK (CNNMoney)

On Saturday, the company announced that it has adopted a one-year shareholders rights plan in an effort to prevent Charney, or any other person or group, from seizing a controlling interest in the company.

The company's "poison pill" provision kicks in once anyone purchases 15% or more of the company's outstanding stock. At that point, shareholders will be granted the right to purchase shares at $2.75 each in an effort to dilute any potential acquirer's interest.

Related: American Apparel's ousted CEO fights back!

American Apparel (APP) said the plan is in response to documents Charney filed with the Securities and Exchange Commission that expressed his "intent to acquire control or influence over the Company."

On Friday, Charney submitted a regulatory filing with the SEC announcing that he's partnering with investment firm Standard General in an effort to buy large amounts of American Apparel stock.

Charney currently owns 27.2% of the company's stock, according to the filing.

Charney was ousted as chairman earlier this month. An American Apparel director told CNNMoney the decision came after the board learned of "disturbing" information that suggested "misconduct" by Charney.

Allegations of misconduct are not new for Charney, who has faced several lawsuits claiming everything from sexual harassment to assault and battery.

Related: 6 endangered brands

Charney's lawyer Patricia Glaser sent a letter to the company's board of directors last week saying the company acted in "a manner that was not merely unconscionable but illegal."

Charney founded the company in 1998 and took the company public in 2005 at $8 per share. The shares eventually rose to nearly $17. But in recent years, American Apparel has been fighting to stave off bankruptcy.

American Apparel's stock closed Friday at 97 cents a share.

First Published: June 28, 2014: 11:42 AM ET

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Aereo suspends TV service...but not 'shutting down'

NEW YORK (CNNMoney)

The court ruling found that Aereo violates copyright law by picking up the signals of local television stations and retransmitting them via the Internet to paying subscribers.

"As a result of that decision, our case has been returned to the lower Court," Aereo founder Chet Kanojia said in an email message to subscribers on Saturday morning.

Related: The future of media

"We have decided to pause our operations temporarily as we consult with the court and map out our next steps."

The "pause" will take place at 11:30 a.m. Eastern on Saturday.

Kanojia said all subscribers (the company has never specified how many it has) will be refunded "their last paid month."

Kanojia ended his email by saying "our journey is far from done." And in a subsequent email message to reporters, an Aereo representative said "We want to emphasize that this is a pause, and that the company is not shutting down."

However, conventional wisdom following Wednesday's ruling held that Aereo would either have to close up shop or radically change its business model.

Related: 6 cool innovations we're still waiting for

"For broadcasters, this is a huge relief, and lifts a cloud of uncertainty," Needham & Co. analyst Laura Martin wrote in an investors' note on Wednesday. "Although there was a low probability the Supreme Court would decide against them, the cost would have been billions of dollars of lost revenue through lower retransmission fees."

In the wake of the court ruling, "the only option that remains available to Aereo would be to change its model and pay the broadcasters to distribute the content," just like cable and satellite distributors do, Nomura analyst Anthony DiClemente wrote in a research note. He said Aereo could essentially offer "a slimmed-down content package delivered over the Internet."

First Published: June 28, 2014: 10:27 AM ET

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GM's 'culture' blamed for current crisis

NEW YORK (CNNMoney)

In an exclusive interview that aired Saturday on CNN's "Smerconish," former GM manager Bill McAleer told host Michael Smerconish that employees who work at GM were "faced with a culture where you get fired if you do talk about quality and safety issues, and you get fired if you don't talk about them."

GM (GM) is dealing with a backlash for delaying the recall of 2.6 million vehicles for an ignition switch defect that's been tied to at least 13 deaths. Some GM employees knew the part was causing trouble more than a decade before the recall was issued in February.

McAleer, who started on the assembly line in 1968, says he was in charge of the Global Delivery Survey from 1988 to 1998 that GM used to help assess the quality of its cars before they were delivered to dealers.

Related: Two died in 2006 Cobalt crash. But GM counts only one

He says he found a "wide variety" of what he called "catastrophic defects" beginning in 1995, when GM added a routine obstacle course drive to its quality checklist. Problems ranged from gasoline leaks to steering linkage issues that pointed to overall quality defects.

McAleer said that while the company seemed responsive to fixing problems in the mid '90's, that changed.

"In 1997 something happened internally in GM where no problem could be admitted. Whether it was safety or any kind of problem. We couldn't have a problem," he said.

"That's what happened with the ignition switch," he added. "People knew there was a problem, but problems were not acceptable. They just ignored it."

McAleer eventually was laid off from GM in 2004. He tried to sue the company under a whistleblower law but said he was unsuccessful.

Related: GM's recall nightmare

McAleer said he sent a letter to the GM board of directors to tell them about the overall quality problems and the lack of action by management, but he thinks that the letter might have been intentionally misdirected once it got there.

GM issued a statement saying,"If McAleer's concerns were submitted by an employee today, they would be thoroughly investigated within the safety organization, however that is not to imply that in this particular case, his issues weren't."

The company also said that while McAleer lost his case against GM, it will still look at his allegations to see what "we can learn."

First Published: June 28, 2014: 9:13 AM ET

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Meet Google's futurist-in-chief

Written By limadu on Jumat, 27 Juni 2014 | 05.32

SAN FRANCISCO (CNNMoney)

Kurzweil appeared before a standing-room only crowd at Google's annual software developer conference on Wednesday to discuss his work for the search giant.

He's currently leading a team that's trying to develop artificial intelligence by modeling the functioning of the human brain. The goal is to create software that can recognize language, communicate with users and understand books and documents.

Related: Ray Kurzweil on the future of humanity

Kurzweil ended up at Google in late 2012 after meeting with CEO Larry Page to give him an advance copy of his book, "How To Create A Mind." Kurzweil was looking for an investment in a company he was planning to launch that would focus on reverse-engineering the brain.

Page invited him to do it at Google (GOOGL, Tech30) instead.

"It's been terrific," the 66-year old Kurzweil said of his time with Google. "It's really the only place I could do this project."

Kurzweil is known for provocative statements about how technology will shape our future, and critics have accused him of being long on hype and short on substance.

He didn't disappoint his fans (or critics) at Google I/O. He said Wednesday that we'll be 3D-printing our clothing by 2020, and he hopes to live long enough to achieve "functional immortality" by uploading his consciousness to a computer.

Kurzweil clearly has a tendency toward the grandiose, but there's no doubting his technical chops.

In addition to his best-selling books, he's developed pioneering technologies ranging from music synthesizers to a print-to-speech reading machine for the blind.

Kurzweil said Wednesday that supercomputers can already provide the processing power required to match the raw number of calculations the brain makes each second. The challenge his team is facing is figuring out how to model the development of hierarchical ideas that depend on one another.

Current search technology "is not fully modeling the ideas that you have when you write an article or a blog post," he said. "That's what we'd actually like to understand, and then you'd be able to dialogue with your search engine to give it complex tasks and interact with it the way you would with a human assistant."

Kurzweil said his current work at Google, while cutting edge, is just the latest development in a decades-long project.

"I've been thinking about thinking for 50 years," he said.

First Published: June 27, 2014: 8:07 AM ET

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Obamacare = opportunity for insurers

NEW YORK (CNNMoney)

In Illinois, for example, 10 insurers are submitting proposals to state regulators to market 504 plans on the Obamacare exchange, a huge jump from the eight insurers that offered 165 plans for this year.

"Carriers who sat out Year 1 liked what they saw and want to participate in Year 2," said Jennifer Koehler, executive director of Get Covered Illinois, the state's exchange.

UnitedHealthcare (UNH) has applied to be on the exchanges in Illinois and Washington. This year, it took a cautious approach and only provided policies in a dozen insurance exchanges.

"We feel the exchange markets hold opportunity," said Tyler Mason, a spokesman for UnitedHealthcare.

Related: Thankful for Obamacare- 5 success stories

In some states, including New Hampshire and West Virginia, residents will have a choice of insurers for the first time. In New Hampshire, at least four insurers are looking to join Anthem Blue Cross and Blue Shield, currently the sole option.

Assurant Health has long offered policies to New Hampshire residents, though not on the Obamacare exchange. It now sees the exchanges as a chance to expand its customer base.

"We made the decision to wait and join exchanges this year because it allowed us time to assess and learn how consumers were responding," said Mary Hinderliter, a spokeswoman for the Milwaukee-based insurer, which plans to be on several exchanges in 2015.

West Virginians will have a new insurer, in addition to Highmark Blue Cross. Kentucky Health Cooperative is expanding into its neighboring state, whose population shares many characteristics. It will do business there as the West Virginia Health Cooperative.

Kentucky Health exceeded its projections for 2014 in its home state, signing up 50% more people than expected, said Janie Miller, the cooperative's CEO. Now, it plans to target the rural, underserved residents of West Virginia, many of whom can use federal subsidies to make insurance premiums more affordable.

"It's about providing competition, choice and access," Miller said.

All this new competition is good news for consumers. They will likely find more lower-cost options, a wider range of choices in terms of deductibles and coverage and a greater selection of doctor and hospital networks.

Each time a new issuer enters a market, premiums drop 4% on average, said Ceci Connolly, managing director of PwC's Health Research Institute. Last year, there were typically five issuers on each state exchange. So far this year, there are six.

This is not to say that there won't be rate increases. Some states have released rate proposals, and the average increase is about 8%, said Larry Levitt, senior vice president at the Kaiser Family Foundation. Plans in some states could have rate decreases, but others are showing gains of more than 10%.

First Published: June 27, 2014: 7:55 AM ET

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3 bites and you're out! Suarez sponsors flee

Sponsors are distancing themselves from Luis Suarez after he bit another player during a World Cup game this week.

LONDON (CNNMoney)

Suarez will play no further part in the World Cup after FIFA suspended him for four months from any football activity.

Online betting company 888poker announced it was dropping Suarez "with immediate effect" just weeks after signing him up as a global brand ambassador.

The Liverpool star, who has bitten players three times in his career, has been given the most severe punishment ever handed out at a World Cup for an offense committed on the field of play.

Related: How Adidas plans to win the World Cup

Suarez is also one of 14 World Cup brand ambassadors for Adidas (ADDDF), alongside Argentina star Lionel Messi and Arjen Robben of the Netherlands.

The German company, which makes the official World Cup match ball, said it had no plans to use Suarez for any additional marketing activities during the tournament, and would review their long-standing relationship.

Related: Small businesses cashing in on World Cup fever

Global bank Standard Chartered (SCBFF) -- a key sponsor behind Suarez's Liverpool Football Club -- said they were not making any decisions yet.

"It would be inappropriate for us to comment further at this stage, until the club has received and reviewed FIFA's report," a spokesperson told CNNMoney.

As part of the punishment, Suarez is also banned from any soccer stadium during his suspension and must pay a fine of 100,000 Swiss Francs ($111,000).

Uruguay is planning to appeal against FIFA's ruling.

Sponsors are often quick to distance themselves from sports stars when the news flow sours.

Tiger Woods lost several major deals in 2009 and 2010 after a sex scandal.

First Published: June 27, 2014: 7:16 AM ET

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Google to focus more on wearable devices

Written By limadu on Rabu, 25 Juni 2014 | 05.32

Google co-founder Sergey Brin rocks Google Glass.

SAN FRANCISCO (CNNMoney)

Google's annual I/O conference for software developers and designers begins on Wednesday. The company is widely expected to showcase its new smartwatch-ready "Android Wear" software.

Google (GOOGL, Tech30) revealed plans for Android Wear in March, but developers are anxious to get details on its planned features and specifications.

The rumor heading into the conference is that Samsung, whose Galaxy phones already run on Google's software, is set to introduce its first Android Wear smartwatch at the event.

Other firms, including Motorola and LG, are also scheduled to release Android smartwatches this year.

Last year's I/O event was a showcase for Google Glass, the company's head-mounted computing device. But Glass should be in the spotlight again at this year's conference.

Related: Smartphones are fading -- wearables are next

There are several sessions focused on wearable devices. The company will likely discuss new features for Glass and could reveal plans for its expanded sale to the general public.

Google recently announced a series of "developer partners" for Glass, including companies working on medical, business and media applications. It's currently seeking other partners as well.

Aside from wearables, Google may announce an expansion of its TV efforts beyond the basic $35 Chromecast streaming device.

It's also pushing hard to break into the "connected home" business, having acquired smart appliance maker Nest Labs earlier this year and home security firm Dropcam last week. So expect some updates on that front as well.

The I/O conference has also tended to be a lot quirkier than events hosted by Apple (AAPL, Tech30), Microsoft (MSFT, Tech30) and other rivals.

In addition to the product-focused events, this year's gathering includes sessions ranging from the offbeat (a briefing on Google's Santa-tracking technology) to the futuristic (a lecture from Ray Kurzweil, the sci-fi author and inventor who heads Google's machine intelligence efforts). Stay tuned.

First Published: June 25, 2014: 7:11 AM ET

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Your dead ex-spouse's debt can become your problem

Divorce doesn't put an end to your liability for joint debt accrued while you were married, even if the court rules your ex should pay it. If he or she dies before doing so, then creditors can come after you.

NEW YORK (CNNMoney)

After all, you assumed you were safe because your divorce settlement explicitly stated who should pay which debts accrued during your marriage.

But guess what? That was an agreement between you and your ex, not between the two of you and your creditors.

"No one asked the [creditors] to sign off on that," said Los Angeles bankruptcy attorney Leon Bayer.

This is especially a problem in the nine community property states: Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington and Wisconsin.

With only some exceptions, community property states treat whatever is acquired after marriage and before legal separation as belonging to both spouses equally.

That means both property and debt.

Related: Can you inherit your dead parent's debts?

And in a divorce, all community assets and debt are split between the two of you.

For example, say you and your ex-husband owed money to a creditor while you were married. The divorce settlement may have assigned payment of that debt to your ex. But if he dies before paying up, the creditor could come a-knockin' on your door.

Your only recourse then is to pay the bill yourself, file a claim against your ex's estate, and hope it's not insolvent.

Such a situation may be averted, but only if you thought ahead.

At the time of the divorce, to erase your liability for the debt assigned to your ex, you could try to enter into what's called a "novation" or "accord and satisfaction" with the creditor, said Utah-based estate planning attorney Geoff Germane of Kirton McConkie.

Such agreements effectively can release you from any further obligation to pay the debt.

But, Germane said, "a creditor is unlikely to be interested" in playing along unless the spouse assigned to pay the debt clearly has the money and can offer assets as collateral.

Have you ever had problems with the debt of a deceased parent, spouse or even ex-spouse? Please tell us about your experience at #YourEconomy.

First Published: June 25, 2014: 7:09 AM ET

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Squandering the family fortune: Why rich families are losing money

In 90% of cases, the family fortune is squandered by the third generation. Here, New York City mansions built by the Vanderbilt family -- a classic example of wealth made and lost.

NEW YORK (CNNMoney)

Nearly 60% of the time a family's money is exhausted by the children of the person who created the wealth, according to Roy Williams, president of wealth consultancy The Williams Group. In 90% of the cases it's gone by the time the grandchildren die.

"It goes back to the Biblical story of the Prodigal Son," said Williams, referring to the free spending child who blows his father's inheritance yet is welcomed back anyway. "We haven't changed in 2,000 years, and that same unprepared heir issue is now worldwide."

Profligate spending by heirs -- the type chronicled on sites like Rich Kids of Instagram -- is often a reason for a loss of wealth, as is a simple lack of ambition.

"The people who created the wealth were often obsessive," said Russ Prince, president of the wealth research and consulting firm Prince and Associates. "But their kids were not hungry."

Related: The richest Americans in history

Perhaps the most famous example is the Vanderbilt family. Cornelius, the patriarch, built a fortune on railroads and shipping during the mid-1800s. Adjusted for the size of the economy, he was the second richest American ever, worth over $200 billion -- well above Bill Gates.

Yet his children -- and especially, his grandchildren -- lived lavishly, building huge mansions in New York City, Newport, R.I., and elsewhere, and did little to preserve the fortune. By the 1970s, the family held a reunion with 120 members attending, and there wasn't a millionaire among them, wrote Michael Klepper and Robert Gunther in their book The Wealthy 100.

Yet the biggest reason family fortunes are squandered, experts say, is because the people who built the wealth do not pass along clear instructions on how to handle the money after they're gone. That often leads to bitter infighting among surviving family members, and an eventual loss of fortune.

"The intent is good, but there's a communications gap," said Michael Liersch, director of behavioral finance at Merrill Lynch Wealth Management. "People can have a different take on what the wealth creator wanted, and that creates dispute."

Avoiding that might seem simple enough -- just divide up the money equally. But in practice, preserving a fortune requires communication and collaboration that's hard to achieve in any organization, let alone a family.

Large bequests should come with detailed instructions like whether the money will be used to pay for the education of all family members, how much will go to charity, whether money be available for entrepreneurial endeavors, and more.

"Families need to take their time to shape their attitudes toward wealth," said Nathan Dungan, who runs the family wealth consultancy Share Save Spend. "It needs to go beyond maximizing returns and reducing taxes."

Related: America's love/hate relationship with the rich

One of the best ways to do this is to set up a philanthropic organization, experts say. That helps the family develop effective tools for communication and decision making, yet no one has a personal interest in the cash at stake. Those tools can then be used to better administer the family's personal wealth.

"They create family banks, seed capitol, and go into businesses together," said Tom Livergood, head of the Family Wealth Alliance. "If you pool your resources, you get scalability."

A good example of this, said Livergood, is the Rockefeller family. They have a prominent foundation, and are still living quite comfortably seven generations after the fortune was made.

"It's not that [John D.] Rockefeller was one of the richest guys in the world," said Livergood. "It's what the family did after."

First Published: June 25, 2014: 7:54 AM ET

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Can this bank lift 80,000 out of poverty?

Written By limadu on Selasa, 24 Juni 2014 | 05.32

Muhammad Yunus, founder of Grameen Bank, cuts the ribbon at the U.S. Training Institute's opening.

NEW YORK (CNNMoney)

The Grameen Bank made its name by offering loans of $1,500 to impoverished female entrepreneurs in the developing world. In 2008, it expanded its program to the United States.

In the last six years, more than 28,000 women have received micro loans from Grameen America totaling over $150 million. Last week, the organization officially opened the doors of its first U.S. training institute in Queens, N.Y., which it will use to reach even more women across the country.

In partnership with Capital One (COF), the Robin Hood Foundation and Citibank (C), the new center will act as a training school for loan officers, who are crucial to Grameen's strategy of empowering female entrepreneurs.

Related: Women take on manufacturing

The organization takes a peer-group lending approach: Groups of five women band together and work with a loan officer or "center manager" at one of Grameen America's 18 branches. Center managers, who are full-time salaried employees, give women financial training to open bank accounts (for many, it's their first), establish credit and launch businesses.

Loan officers are the gateway to capital and play a "critical, pivotal role," according to Grameen America CEO Andrea Jung.

"Part of scaling nationally is embedding best practices to our loan officers," she said.

There are already over 110 Grameen loan officers in the U.S., and Jung expects the new training center to add 200 men and women to the roster in the next year. Center managers will be trained at the new center and then will return to their local branches around the country. Each manager can help an estimated 400 women get their small businesses off the ground per year.

In sum, the institute could help as many as 80,000 women a year, many of whom are single moms working dead-end or unsustainable jobs.

The center had a soft launch earlier this year, and 70 people already went through the training, including Mercedes Martinez.

Originally from Puerto Rico but now living in the Bronx, Martinez received $1,500 in loan from Grameen America in January 2014. A new mom, she wasn't working when a neighbor told her about the program and suggested she start a business selling jewelery. Martinez, who had previously worked as a cashier in the jewelry business, opted to buy jewelry on Canal St. with her initial loan.

"I wasn't good at money management," explained Martinez. "Through Grameen, I learned you have to save and make your money grow."

Martinez paid off her loan in March. Changed by the foundation and its mission, she completed the one-month training -- which combines classroom-style learning with shadowing Grameen America loan officers -- and is now a loan officer at the Manhattan branch of Grameen.

Related: The best countries for female entrepreneurs

The fact that the training center is located in Queens, where the first of Grameen America's 18 branches opened, is no coincidence, according to Jung.

Franklin Mora, deputy director of Queens Economic Development Corporation, said his organization refers women to the Queens branch.

"The model works really well with local communities," Mora said. "As a whole, the borough could really benefit from more organizations like Grameen America to help support small businesses."

First Published: June 24, 2014: 6:57 AM ET

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Seattle $15 wage plan is unfair to me

Kathy Lyons owns a franchise in Seattle and says that her business might not survive the transition to a $15 minimum wage.

NEW YORK (CNNMoney)

He worries that the city's newly passed $15 minimum wage will hurt his ability to be competitive. That's because his competitors -- other small employers -- will have extra time to transition into the higher minimum wage. But because Subway is a national fast food chain, his restaurant doesn't count.

"In three years, my wages will be up by 60%, but the sandwich shop next door won't have to do it yet. I'll have to charge more, and he can charge less than me," said Hollek, who has been a franchise owner since 1997.

Seattle's city council approved a timetable earlier this month for how the $15 minimum wage would be phased in from its current wage floor of $9.32. Businesses with fewer than 500 workers get until 2021 to phase it in.

Companies with 500 or more employees must begin paying $15 in 2017. Chains like Subway, McDonald's (MCD) or Burger King (BKW) are in the latter category, even if many of their restaurants are run by small business owners.

Franchisees are up in arms over this. The International Franchise Association has sued the city of Seattle, charging that the ordinance unfairly penalizes franchisees.

The average franchisee at the association employs 11 people.

Related: Subway leads fast food industry in underpaying workers

Hollek said that as a franchise owner, he has the advantage of purchasing ingredients through Subway. But he points out that he is already paying a percentage of his earnings to Subway for royalties and advertising.

Kathy Lyons, a plaintiff in the suit against Seattle, said the new plan could put her out of business. She and her husband employ 22 workers at their franchise of BrightStar Care, which supplies nurses and personal attendants for in-home patient care.

Lyon said the cost of her franchise not only eats up her margins, but that non-franchise competitors will inch her out of the market when she's paying $15 an hour and they're not.

"We are at risk of not making it if we can't compete on fair ground," she said.

It hurts a large number of businesses, the association said. Seattle has roughly 600 franchise operators, with 1,700 locations, employing around 19,000 workers.

Chuck Stempler, who owns AlphaGraphics franchises in Seattle, said the transition to a $15 minimum wage could cost jobs.

Seattle city council member Nick Licata said he's more concerned about the quality rather than the number of jobs. He also believes that three years is enough time to adjust.

Related: 10 big overtime pay violators

Chuck Stempler, another plaintiff in the suit against Seattle, said his business is being "miscategorized."

"They are carving out a particular segment of small businesses and treating them like they're a different size," he said.

Stempler employs 69 workers in two AlphaGraphics franchises in Seattle and worries that "every printing company that's not a franchise" will have a meaningful advantage over him.

Stempler said he might end up raising prices, and also cutting jobs.

First Published: June 24, 2014: 6:54 AM ET

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A $6.9 million bet on a clean shave

NEW YORK (CNNMoney)

As a first year student at Stanford Business School, Walker emailed Foursquare founders Dennis Crowley and Naveen Selvadurai. He parlayed the email into a job heading up business development for the startup. Walker later left Foursquare to become an entrepreneur in residence at investment firm Andreessen Horowitz.

Now Walker is ready for the next step in his career: heading up his own company.

His new venture, Walker & Company, just raised $6.9 million in a round of financing led by Andreessen Horowitz. It will provide products made specifically for people of color. The idea stemmed from his own experience.

Walker, who is African American, found men's razors difficult to use due to his hair and skin type. As a solution, the first brand under the Walker & Company umbrella is called Bevel -- a six-piece razor kit selling for $59.95 that is designed specifically for people with course, curly hair.

"I know when I started a company, there's one thing that was very important to me, and that was developing something with real authenticity," Walker told CNNMoney.

Walker says that with a single blade, the Bevel razor cuts the hair level with the skin rather than beneath like multi-blade razors. The kit also includes creams aimed at reducing irritation and bumps. The idea is to tap into the health and beauty market for people with curly and coarse hair.

According to Walker, a large number of black males are interested in a product that helps combat razor burn. In addition to African Americans, Walker & Company products will address specific needs faced by Latinos and Asians.

"When I think of other issues that exist in the community, I think about things like Vitamin D deficiency, I think about hyperpigmentation, I think about natural hair transitioning," Walker says. "We're going to develop brands to solve each of those problems."

While the Bevel is currently available only online, Walker says his goal is to have it sold in major retailers.

First Published: June 24, 2014: 8:00 AM ET

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Should you drain your 401(k) to start a business?

Written By limadu on Senin, 23 Juni 2014 | 05.32

Eric Schneider emptied his 401(k) to start a specialty coffee and tea shop with his wife Nancy in 2012. Two years later, the business is set to log a profit.

NEW YORK (CNNMoney)

Eric Schneider followed it diligently during his 25 years selling commercial insurance. But two years ago, he emptied his nest egg to launch Headrush Roasters Coffee & Tea in Kansas City, Mo.

"I took a big risk, but I don't regret it at all," said Schneider, 49, who co-owns the business with his wife Nancy.

Schneider left his six-figure job in 2010 with $250,000 in his 401(k) and $100,000 in savings. In 2011, he found a vacant building that he thought would be perfect for his coffee shop and roastery. He hoped to lease it, but the owner only wanted to sell.

"I'm a big believer in no debt," he said. "I had paid off my house, my cars. I didn't want to take out a loan to buy the building."

Related: Google unveils marketing platform for business owners

As he researched financing options, he came across ROBS, or Rollovers as Business Startups. These allow people to use the money in their 401(k) to start a business (or buy an existing one) without paying taxes on the withdrawn funds or getting hit with an early withdrawal penalty.

The process can be pretty complicated, however. First, you must incorporate a business and open a new 401(k) plan under it. Then you roll your existing 401(k) funds into the new plan. Since both accounts are tax-exempt, you avoid taking the tax hit.

As owner of the new company, you can now direct what the 401(k) invests in. With ROBS, the new company typically issues shares that you can purchase using money from the 401(k). You're then free to use the cash from that purchase for operational expenses (although owners must pay their own salaries out of revenue, not from the 401(k) funds).

While the IRS does not consider ROBS an "abusive tax-avoidance transaction," the agency calls the arrangement "questionable" and has strict compliance standards to avoid penalties (and audits).

Related: I opened 40 businesses in 35 years

Because the process was so involved, Schneider signed up with Bellevue, Wash.-based Guidant Financial, which is among a handful of financing firms that help entrepreneurs set up ROBS.

Guidant began offering ROBS in 2004, and it has become the firm's signature product.

Cofounder David Nilssen said his firm has had 9,000 entrepreneurs take advantage of the financing option, and 80% of them are still in business after four years.

But the firm's services don't come cheap. Guidant charges clients $4,995 initially and $119 a month for advisory services after that. (While that's not required, the complexity of the arrangement means most entrepreneurs keep the accounts with Guidant to ensures regular compliance.)

"This option isn't for everyone," said Nilssen. "There's a niche market for it, and individuals who've accumulated enough assets in life are more open to it."

He said their ROBS clients are typically between 40 and 60 years old, own their own homes and have advanced degrees with a combined household income of over $75,000.

"60% of them are first-time entrepreneurs who are choosing a second career," he said.

Still, Stuart Ritter, senior financial planner and vice president with T. Rowe Price, said ROBS can be risky.

"With ROBS, you're putting 100% of your retirement saving into a single security," he said. "People really have to think about this."

Related: The best nations for women entrepreneurs

It can also be difficult for entrepreneurs to rebuild their nest egg.

Chrissy and Mike Mayhew opened Beach House Miracles, a renovation firm, in Ocean View, Del., in 2008. They didn't have capital so they funded the startup using $100,000 from their 401(k).

Today, they have five employees and logged $1 million in revenue last year. But even though the business has been successful, they have yet to start contributing to their retirement plan.

Still, they're comfortable with their decision. "The gamble paid off for us," Chrissy said.

Do you have what it takes to be rich?

Meanwhile, Schneider was able to buy the building with the $250,000 from his 401(k). He spent his $100,000 in savings on remodeling and equipment and opened Headrush in 2012.

If he ever sells the business, he'll put the money back into the 401(k) plan. If the business fails, he won't have to pay a penalty but he also won't have his retirement cushion.

So far, things are going well.

After two years in business, the company is set to log a profit this year. It has seven employees and is looking to open more locations.

"It's been a win-win for me, the government and the economy," Schneider said. "I've created a business, the government is collecting taxes on my business and I'm hiring people."

First Published: June 23, 2014: 6:08 AM ET

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Oil prices spark economic growth concerns

LONDON (CNNMoney)

Crude oil prices in London and New York touched levels not seen since last September after militants from the Islamic State in Iraq and Syria (ISIS) seized city after city over the weekend as they continued their march towards Baghdad.

Costlier energy could spell trouble for European economies still struggling to regain momentum after the region's debt crisis.

Growth in the eurozone has slowed to its weakest pace in six months, according to a June survey of purchasing managers released Monday. Companies across manufacturing and services reported higher input prices.

"Both sectors reported higher oil prices as a key cause of rising costs," survey compiler Markit noted.

Related: Latest on Iraq crisis

Rising energy costs may ease fears of deflation, which prompted the European Central Bank to unveil an unprecedented range of stimulus measures earlier this month.

But they add to worries about growth in countries such as France, where business activity contracted for a second month running in June.

"Most important is the rise of energy prices," said Dominique Barbet at BNP Paribas, commenting on the weak French data. "This will not only add to the production cost of industry, but also put pressure on households' purchasing power."

Related: Gas prices rising but glut coming

The rapid advance of ISIS across northern and western Iraq this month has had little effect so far on exports of crude oil from OPEC's second biggest producer.

But prices have risen above $107 a barrel on the Nymex on fear that supplies could be hit later this year, just as world demand peaks. Prices are up 16% so far this year.

Even if ISIS is prevented from pushing into southern Iraq, which produces the vast majority of the country's 2.5 million barrels per day of exports, energy experts say output could fall back as foreign oil companies withdraw staff due to security concerns.

World growth forecasts have already been cut for 2014, in part due to the deep winter freeze which caused the U.S. economy to shrink in the first quarter.

Further sustained gains in oil prices could make for a weaker rebound in the second half. And it's not just major Western economies that would feel the pinch.

China is expected to surpass the U.S. as the world's biggest importer of oil this year. India, Asia's third biggest economy, is also highly sensitive to rising energy prices.

Operating conditions in China's vast manufacturing industry improved for the first time in six months in June, according to HSBC's preliminary survey of purchasing managers.

But that's likely due to a recent mini-stimulus package, which may do little more than sustain growth at 7.4%, the rate seen in the first quarter. The government has targeted growth of 7.5% this year.

First Published: June 23, 2014: 7:08 AM ET

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Aereo's Supreme Court destiny

Online TV startup Aereo will soon hear its fate from the Supreme Court. Brian Stelter has covered Aereo from the beginning.

NEW YORK (CNNMoney)

That's obvious now, two years after the streaming TV service came online in New York City and incurred the collective wrath of all the country's major broadcasters. The court's ruling in the copyright infringement case could come as soon as Monday; a victory for Aereo could have profound effects on the television business.

At first, I didn't see what the big deal was. I was ambivalent, and briefly even downright dismissive, when a public relations person contacted me in February 2012 and offered an embargoed look at the startup. I worked at The New York Times at the time, and she wanted me to write the very first story about Aereo's launch. "Time is of the essence," she said, because a media briefing was scheduled for Valentine's Day.

I hesitated, but she insisted that I come to the headquarters of Barry Diller's IAC (IACI) for an in-person demonstration of the product, which she called an "online TV platform." Once I was there, I understood. "Surprisingly high-quality signal," I scribbled in my notebook. "Place- and time-shifting!"

Aereo empowered users to both place-shift broadcast TV (by making it portable via a smart phone) and time-shift it (by including an Internet digital video recorder). The service scoops up public signals of local TV stations and retransmits them to paying subscribers via the Internet. The broadcasters say this amounts to copyright theft on a grand scale; Aereo's backers say it is perfectly legal.

Related: What the heck is Aereo, anyway?

Looking back at my notes from February 2012, the contours of the eventual legal case are evident. "It's an antenna per person," Aereo founder and CEO Chet Kanojia told me. "It's a private exhibition of that content." (The broadcasters say it is a public exhibition, which is a violation of copyright law.)

When we first spoke, Kanojia had already been working on Aereo in stealth for well over a year. Diller, his biggest financial backer, had gotten involved in the summer of 2011.

In an interview for my story, I asked Diller about the potential for legal action against the service. He wouldn't comment directly. But he told me that "when I first heard about this, I thought, 'There must be something wrong here. This can't be.' And I kept scratching at it, as did our lawyers — every lawyer we could find. And I could not find a flaw."

Diller said he didn't expect Aereo to "break the neck of cable-satellite," but that it would present an alternative to a hefty monthly cable bill by providing a small bundle of broadcast TV. That helped to sell my editors on the story.

What intrigued me most about Aereo was the statement it made to broadcasters and cable companies. It was as if Kanojia was saying, "This is the way TV should be -- streamed to any device, anytime, live or on-demand, inside or outside the home, no set-top-box or rabbit ears needed."

Legal action seemed inevitable. During Kanojia's demo, I raised the specter of lawsuits. "We understand that when you try to take something meaningful on, you have to be prepared for challenges," Kanojia said, somewhat sidestepping the question.

Notably, he did say that the company had "talked to everybody, shown them what we're doing" -- he meant local station owners -- and "invited discussion, invited criticism."

When I contacted those local stations and asked them to comment on launch day, they were mum. But they were paying close attention -- they filed two lawsuits against Aereo on the first day of March 2012, two weeks before the service even became available to the public in New York City.

"A plaintiffs' win in this case will ensure the continued availability of this programming to the viewing public," the broadcasters' main Washington lobbying group said when the suits were filed. (Was the group foreshadowing what CBS (CBS), Fox (FOXA) and Univision warned in 2013 -- that their stations might leave the public airwaves if Aereo wins?)

Some observers immediately predicted that the case would make its way to the Supreme Court. At the South by Southwest conference in mid-March 2012, Diller called the suits "absolutely predictable," a case of protectionist behavior by the broadcasters.

"It's going to be a great fight," he said.

And it has been, culminating in a hearing this April at the Supreme Court. Afterward, the normally affable Kanojia declined to say much to the reporters waiting for him on the courthouse steps.

"It's over," he said, as he and his family walked to a waiting car.

Is it? The justices of the Supreme Court will tell us very soon.

First Published: June 23, 2014: 8:06 AM ET

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Friday Links

Written By limadu on Minggu, 22 Juni 2014 | 05.32

NEW YORK (CNNMoney)

A weekly collection of design, data and interactive links.

Photo/Video
Seismik | Herman Kolgen explores vertical layering dislocations
8-Bit 3D Art | Ron Burgundy and Boba Fett rendered in 3D printed pixels
Kodama | 20syl's new music video
Milky Way | Michael Shainblum shares 3 tips for photographing the Milky Way

Design/Data viz
Maschinenangst | Vera Idelson's costume and set design illustrations for the Italian Futurist play The Anguish of the Machines
The Story of EBoy | Watch the video, it's great
Visualizing MBTA Data | An interactive exploration of Boston's subway system
LazerBlade | The affordable laser cutter and engraver
Can you find Benghazi? | Can you accurately locate Benghazi?

Code
ArnoldC | A programming language based on the one liners of Arnold Schwarzenegger
Web Starter Kit | Boilerplate & tooling for multi-device development from Google

See last week's links

Have a nice weekend!
@dubly and @talyellin

First Published: June 20, 2014: 4:21 PM ET

05.32 | 0 komentar | Read More

From cancer survivor to millionaire

NEW YORK (CNNMoney)

The science teacher and textbook author was fighting off a rare and terminal form of cancer as he watched the Great Recession swallow up 40% of his investment portfolio. Friends in finance warned him to dump his stocks because they feared the Dow would soon plummet from its already depressed 8,000 level to 1,000.

Despite those daunting challenges and ominous warnings, Eimer poured cash into the stock market at the depths of the crisis, a decision that has left him and his wife Gayle on track to become millionaires.

"I didn't jump ship. It was scary buying back into the market at that time," said Eimer, who lives in Horsham, Pa., a suburb of Philadelphia.

Eimer, who in 2005 had been given just two years to live, said he stuck to his belief that you've got to be in the market to make money.

Besides, he said, "If the Dow goes down to 1,000, then all of us have a lot more problems than losses in stocks. You're talking about the collapse of our economy."

Related: How a 77-year-old trader is cashing in on growth stocks

'Prepared for the worst' Eimer's courageous investing during the financial crisis was made possible by his family's frugal, debt-free lifestyle.

Unlike most Americans, he didn't lever up during the mid-2000s on luxury cars, over-the-top houses or second mortgages.

Instead, Eimer and his wife saved half of his salary and invested heavily in their retirement and college savings funds. They paid off a mortgage on their two-bedroom condo in 2003 and bought a new Toyota Corolla for just $15,000. Later they "splurged" on a Honda Element for $18,000.

"Frugality was grounded into me from a young age," said Eimer, whose grandfather lost everything in the Great Depression. "If we had not prepared for the worst, we would be faced with financial disaster."

Eimer said he converted his wife from a "spendthrift" when they first met to a frugal manager of the household budget. "Without her, we wouldn't have been able to do any of it," he said, noting the family gets by on just a single prepaid cell phone.

Related: U.S. recovery hits 5-year mark, but has long way to go

Beating the odds: Disaster struck in 2005 when Eimer was diagnosed with an extremely rare and terminal form of thyroid cancer. That forced him to give up his lucrative side career making up to $200 an hour writing textbooks for McGraw-Hill, Prentice Hall and other publishers.

There was one doctor on the whole planet who was researching this form of cancer, Eimer said, and she developed an experimental chemotherapy drug that helped save his life.

While the drugs extended his life considerably, he still deals with chronic pain, fatigue, abdominal pain and loss of his hair, which has since returned. But Eimer has been able to continue teaching middle school science at Phil-Mont Christian Academy in Springfield, Pa.

Almost a decade after receiving his grim diagnosis, Eimer has beaten the odds and is currently in stable condition. He's also beaten most retail investors by actually participating in the bull market that has left many everyday Americans behind.

"I went through the dotcom bubble, but this seemed worse," Eimer said about the 2008 crash after Lehman Brothers collapsed in September of that year. He said friends who were financial advisors told him to "ditch all stocks and buy silver."

Related: Why hasn't Main Street recovered like Wall Street?

Buying at the bottom: But Eimer did the exact opposite of those dark warnings: He scooped up beaten down stocks and bonds at what turned out to be historically-low prices.

Eimer said he felt confident enough to do this because he had no debt and a ton of fresh powder: 25% of his portfolio had been in cash when the market cratered. At that point, he had bigger problems as he braced for cancer to take his life.

Related: I sold my startup to Cisco. Here's why

Rather than risk trying to find individual stock winners, Eimer continued a strategy that he's implemented since the 1990s: Buy a diversified variety of index and mutual funds.

Bad luck while investing in individual stocks led Eimer to conclude: "It was only my broker who was getting wealthy."

One mutual fund that's been particularly kind to him is the Vanguard PRIMECAP Fund (VPMAX), which invests mostly in technology and biotech stocks like Google (GOOGL, Tech30) and Amgen (AMGN). The fund has soared 133% since the start of 2009, besting the S&P 500's 123% gain.

"Today, our portfolio is up about 2-1/2 fold from the recession lows. We have zero debt, we're on target to become millionaires in about three years and I'm still alive," Eimer said. "We count ourselves blessed!"

First Published: June 21, 2014: 7:43 AM ET

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American Apparel's ousted CEO fights back

NEW YORK (CNNMoney)

In a letter to the company's board, Glaser, who heads Glaser-Weil's litigation department, claims American Apparel "violated its legal and contractual obligations to Mr. Charney in numerous respects" that have resulted in "substantial professional, reputational and financial injuries to Mr. Charney."

Charney, who founded American Apparel (APP) in 1998, was ousted by the board last week.

According to sources familiar with the situation, Charney was given two options: either step aside quietly and take a creative role that would pay around $1 million a year, or face being fired with cause.

"By presenting Mr. Charney with this absurd and unreasonable demand, the Company acted in a manner that was not merely unconscionable but illegal," Glaser claims in her letter to the board.

Last week, American Apparel board member Allan Mayer told CNNMoney that the board had learned earlier this year of "disturbing" information that suggested "misconduct" by Charney.

Related: 'Disturbing misconduct' at American Apparel

Charney was notorious for controversial behavior, including a series of sexual harassment suits filed by employees in recent years.

Mayer said the board was aware of these reports, but said this time it had "concrete facts," which led to an internal investigation.

A person with knowledge of the internal investigation said it was related to Charney's response to allegations of sexual harassment.

Mayer told CNNMoney last week that the company was prepared for a fight. "[Charney] certainly indicated that he was not going to accept it," he said.

Both Mayer and Charney declined to comment for this story.

Glaser was also unavailable for immediate comment.

Related: American Apparel ousts founder, CEO

American Apparel has been struggling for years. Company shares, which topped $15 as recently as 2007, now trade for less than $1.

Mayer thinks the firing will ultimately be a plus for the struggling retailer.

"There are people who will tell you that Dov's reputation was a real drag on the company. There were people and firms unwilling to do business because Dov ran the company," said Mayer. "Since we announced the decision, we've been contacted by mainstream, top of the line, institutions that have not been interested in supporting us."

Glaser is demanding a meeting with the board no later than Monday, June 23, "to negotiate a process whereby Mr. Charney will be fully reinstated to his positions within the Company and to attempt to negotiate a process whereby Mr. Charney's business reputation can be restored."

First Published: June 21, 2014: 2:46 PM ET

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Friday Links

Written By limadu on Sabtu, 21 Juni 2014 | 05.32

NEW YORK (CNNMoney)

A weekly collection of design, data and interactive links.

Code
ArnoldC | A programming language based on the one liners of Arnold Schwarzenegger
Web Starter Kit | Boilerplate & tooling for multi-device development from Google

See last week's links

Have a nice weekend!
@dubly and @talyellin

First Published: June 20, 2014: 4:21 PM ET

05.32 | 0 komentar | Read More

Google hosts all-girl coding party

Actress and producer Mindy Kaling was the host at an event geared toward getting more young girls interested in tech.

NEW YORK (CNNMoney)

Made With Code aims to address what, according to Google's own research, are the top two reasons women don't get into computer science -- exposure and encouragement.

Actress and producer Mindy Kaling hosted the Made With Code launch event for the initiative in New York on Thursday night, where supporter Chelsea Clinton was also among the 150 in attendance. Clinton is Vice Chair of the Clinton Foundation, whose No Ceilings project works to further the full participation of women and girls in all parts of society.

"It was really powerful for the girls in the room, some of whom have never coded, to see the connection between art, music, dance -- the things they love -- and coding," said Reshma Saujani, founder & CEO of Girls Who Code, a partner of the Made With Code initiative.

Girls Who Code places high school juniors and seniors in coding classes within the walls of major private sector corporations like Google (GOOGL, Tech30), Twitter (TWTR, Tech30), eBay (EBAY, Tech30) and others.

The Made With Code website is a hub for interactive coding projects, video profiles of female coders merging their tech skills with their other interests, and a directory for coding classes, camps and opportunities from partner organizations.

Video profiles on the site include women and girls working in music engineering, studying human robot interactions and at the intersection of fashion and technology.

Related: Black girls take on tech's diversity woes

For the initiative, Google recruited partners and supporters including Girls Inc., Girl Scouts of the USA, MIT Media Lab, National Center for Women & Information Technology, Seventeen magazine, and the influential industry news site TechCrunch.

Google has also pledged $50 million to support nonprofits working to teach girls computer science.

Just a few weeks ago Google released a report revealing a severe gender gap within its own ranks. Only 30% of Googlers are women, with just 17% women on their tech teams. This week, Yahoo (YAHOF) followed suit by releasing numbers on their own staff. Despite having Marissa Mayer as CEO, Yahoo is only 15% female on the tech side of its business.

Related: Google: Overwhelmingly white and male

The numbers illustrate the industry's serious gender gap. In the United States, women make up only 28% of the science and engineering workforce, according to the National Science Foundation.

"We're building a movement here," said Saujani. "We're trying to reach millions of girls and teach them to code. We have a lot of work to do. This is just the beginning."

First Published: June 20, 2014: 4:06 PM ET

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Teacher beats the odds on cancer, stocks