8 Dos and Don’ts of Prenups

There’s a thin line between love and hate. If you’ve been together for a while and want to tie the knot, it’s critical to think about your future. Marriage isn’t a coffee date. It’s a serious step that each of us takes at some point in life. A prenuptial agreement isn’t about money and real estate. It’s about a peaceful future in case of divorce.

We can’t predict future. Today you love each other, but in 10 years you or your partner may find another love. With a prenuptial agreement, your divorce process will be easier then. Check out the do’s and don’ts of a prenup in order to use this future-planning tool correctly.

1. Don’t: Dwell on your prenup
Many couples focus on their prenuptial agreements more than on their wedding planning. Don’t commit this mistake. Discuss the most important questions. Think rationally. There are many cases when couples break up when carrying out prenuptial agreements. Typically, it’s because of financial obligations, assets and property.

2. Do: Discuss financial obligations
No matter how hard it will be ta talk about money before you tie the knot, you have to think about your financial future. Discuss financial support in case one of you will have to quit a job to stay with children at home. Create the prenup that will ensure your carefree motherhood in case of divorce.

3. Don’t: Have the same lawyer
In order to create a fair prenup, you and your partner should hire two separate lawyers – make sure they don’t know each other. This way, your prenuptial agreement will be absolutely reasonable and both of you will know that a lawyer won’t take anyone’s side.

4. Do: Suggest a prenuptial agreement
If your partner says nothing about a prenuptial agreement, show initiative and suggest your partner create a fair prenup. He may get angry at first, but try to explain why this agreement is so important to both of you. Prenuptial agreements are absolutely practical. Even the happiest couples choose to protect themselves financially. It’s life. There’s nothing wrong in suggesting a prenuptial agreement.

5. Don’t: Regret
Once you create your prenuptial agreement and sign it, don’t worry about it and don’t regret it. Keep preparing for your wedding and planning your honeymoon. Pretend that you don’t have any agreement. Put it in your drawer or in a safety deposit box so that you won’t see it on a daily basis. Also, don’t turn to your prenup when fighting with your significant other. Casting reproaches upon your partner will cause more problems and might even lead to breakup or divorce.

6. Do: Discuss assets and property
This question must be discussed objectively. Your prenuptial agreement must include the list of property and assets that each of you owns right now. Once you know who owns what, you should decide who will own what in case of divorce. This may seem a bit offensive at first, but it has to be done for the sake of your peaceful and prosperous future.

7. Don’t: Beat about the bush
The earlier you start creating your prenup, the more time you will have for your wedding planning, not to mention that you will avoid extra stress right before your wedding day. If possible, start creating a prenuptial agreement 3-5 months before your big day. Many couple sign prenups a year before the event. Remember, a prenuptial agreement is only valid if it’s signed prior to marriage.

8. Do: Think thoroughly and speak up
When it comes to prenuptial agreements, couples should take time to think thoroughly about what terms they want to include in their prenups. Don’t just agree to whatever terms are suggested by a lawyer or your partner. You have the right to express your point of view and add whatever you think necessary to your prenuptial agreement. Remember, it concerns your future.

Creating a prenuptial agreement in the midst of your wedding preparation isn’t the most joyful thing to discuss, yet it’s crucially important. Although prenups aren’t used to decide issues of child support and child custody, they are perfect for resolving the financial aspects of a divorce. Hopefully, you won’t face a divorce down the road, but considering a prenup is definitely worth your time and effort.

8 Dos and Don’ts of Prenups

There’s a thin line between love and hate. If you’ve been together for a while and want to tie the knot, it’s critical to think about your future. Marriage isn’t a coffee date. It’s a serious step that each of us takes at some point in life. A prenuptial agreement isn’t about money and real estate. It’s about a peaceful future in case of divorce.

We can’t predict future. Today you love each other, but in 10 years you or your partner may find another love. With a prenuptial agreement, your divorce process will be easier then. Check out the do’s and don’ts of a prenup in order to use this future-planning tool correctly.

1. Don’t: Dwell on your prenup
Many couples focus on their prenuptial agreements more than on their wedding planning. Don’t commit this mistake. Discuss the most important questions. Think rationally. There are many cases when couples break up when carrying out prenuptial agreements. Typically, it’s because of financial obligations, assets and property.

2. Do: Discuss financial obligations
No matter how hard it will be ta talk about money before you tie the knot, you have to think about your financial future. Discuss financial support in case one of you will have to quit a job to stay with children at home. Create the prenup that will ensure your carefree motherhood in case of divorce.

3. Don’t: Have the same lawyer
In order to create a fair prenup, you and your partner should hire two separate lawyers – make sure they don’t know each other. This way, your prenuptial agreement will be absolutely reasonable and both of you will know that a lawyer won’t take anyone’s side.

4. Do: Suggest a prenuptial agreement
If your partner says nothing about a prenuptial agreement, show initiative and suggest your partner create a fair prenup. He may get angry at first, but try to explain why this agreement is so important to both of you. Prenuptial agreements are absolutely practical. Even the happiest couples choose to protect themselves financially. It’s life. There’s nothing wrong in suggesting a prenuptial agreement.

5. Don’t: Regret
Once you create your prenuptial agreement and sign it, don’t worry about it and don’t regret it. Keep preparing for your wedding and planning your honeymoon. Pretend that you don’t have any agreement. Put it in your drawer or in a safety deposit box so that you won’t see it on a daily basis. Also, don’t turn to your prenup when fighting with your significant other. Casting reproaches upon your partner will cause more problems and might even lead to breakup or divorce.

6. Do: Discuss assets and property
This question must be discussed objectively. Your prenuptial agreement must include the list of property and assets that each of you owns right now. Once you know who owns what, you should decide who will own what in case of divorce. This may seem a bit offensive at first, but it has to be done for the sake of your peaceful and prosperous future.

7. Don’t: Beat about the bush
The earlier you start creating your prenup, the more time you will have for your wedding planning, not to mention that you will avoid extra stress right before your wedding day. If possible, start creating a prenuptial agreement 3-5 months before your big day. Many couple sign prenups a year before the event. Remember, a prenuptial agreement is only valid if it’s signed prior to marriage.

8. Do: Think thoroughly and speak up
When it comes to prenuptial agreements, couples should take time to think thoroughly about what terms they want to include in their prenups. Don’t just agree to whatever terms are suggested by a lawyer or your partner. You have the right to express your point of view and add whatever you think necessary to your prenuptial agreement. Remember, it concerns your future.

Creating a prenuptial agreement in the midst of your wedding preparation isn’t the most joyful thing to discuss, yet it’s crucially important. Although prenups aren’t used to decide issues of child support and child custody, they are perfect for resolving the financial aspects of a divorce. Hopefully, you won’t face a divorce down the road, but considering a prenup is definitely worth your time and effort.

7 Ways to Reach Financial Success in 2016

When it comes to reaching financial success, there are several crucial principles to take into consideration. Financial resolutions are as difficult as weight loss resolutions. Just like you have to stick to a certain meal plan, you have to learn how to make smart choices and avoid temptations. Learning how to feel and behave with money, that is one thing, but when you exactly know how to achieve your financial independence, that is a whole other thing. Want to get rid of your past money failures and finally reach financial success in 2016? Read on.

1. Know where your money goes
When times are tough, financially successful people reduce their expenses. When times are great, they keep tracking their spending and look for new ways to manage expenses. You may think you know where your money goes, but if you cannot survive from paycheck to paycheck and your life is full of debts, forget about financial prosperity. Having a budget and living within your means are the keys to financial success for many years to come.

2. Recognize your last year’s mistakes
Before planning your budget for 2016, it is critical to acknowledge what you did wrong in 2015. Did you spend too much on things you didn’t use? Entertainment? Fast food? How much did you manage to save in 2015? Recognize all those mistakes to avoid them this year.

3. Master the art of long-term investment
In order to build wealth and create a prosperous future, mastering the art of long-term investment is a must. It does not mean to run into debts and purchase houses and cars. It means spending your cash on valuable things. If you can afford to invest in real estate, fine. If not, consider investing in jewelry, education, or any other precious things.

4. Explore your biggest spending triggers
One of the most effective ways to gain financial success in 2016 is to eliminate your biggest spending triggers. Spending triggers make you ruin your budget, pull out your credit cards when you do not need, and lend money from your friends when you feel down. Unsubscribe from promotional emails, reduce your party time, beat impulse buying, and focus on improving your money habits.

5. Stay within your budget
Get into a habit of only purchasing what you can afford. Most people have a tendency to spend more than they earn. This leads to financial misery. If your aim is to reach financial success, you must spend less than you earn. This way, you will have more cash for saving and investing.

6. Keep track of your credit score
A credit score is a measurement that financial institutions including banks and mortgage companies use to measure your credit risk. Avoid taking on unnecessary debt and opening unnecessary lines of credit that can hurt your credit score. Stay aware of your credit score and solve your credit problems. Not only will it help you reach financial success, it will help you reduce your stress levels too.

7. Set clear financial goals
What do you want to purchase, save and change this year? Do you want to visit a luxury destination, buy a new car or new furniture? Do you want to pay off your debts? Maybe help a local animal shelter? Set clear financial goals and create a clear plan for achieving them. Sure, there will be some unpredictable circumstances when you will need to spend some extra cash. Keep it in mind when creating your budget.

Few of us are able to become successful and rich. Even though money does not make us happy, it is a vital part of our lives. Learn how to control your money habits if you feel like drowning in debts. Ask for a raise or find another way to make extra money each month. It is really crucial for your financial success in 2016 and many years to come.

Do you believe money can solve all the problems? Is it possible to reach financial success when you live paycheck to paycheck? Please share your points of view.

5 Reasons to Get Midlife Insurance Today

Becoming a responsible adult simply means ensuring loved ones, who rely on you, are financially protected if you unexpectedly leave them behind. Life insurance is the right way to provide that protection. The truth is that a frightening reality persists.

From a reliable source, 3 out of 10 Americans do not feel they have enough life insurance coverage. 20-something do not purchase life insurance because they feel invincible. At the other side of the coin, folks 50 or older have a difficult time purchasing coverage. This is simply because they have difficult time qualifying medically or it has become more expensive.

To be factual, the real stage or age for purchasing insurance coverage is in your 30s or 40s. It is actually the best time when you qualify for good rates. With this clear explanation, you will be able to understand the basic reasons to get midlife insurance.

1. Pay off property taxes
You probably know that estate taxes can be steep. For this reason, having midlife insurance coverage is crucial to avoid jeopardizing funds or assets built for retirement. The use of middle insurance coverage for this purpose remains most common in huge estates. However, it uses permanent insurance process to make sure that coverage remains until the end of life.

2. Pay off debts
In addition to providing income to secure daily living expenses, you will need middle age insurance to cover debts such as mortgage. This will help to secure your house from being sold and remaining solvent. This is a great midlife insurance reason that everyone should have in mind while living here on earth.

3. It makes financial sense
Life insurance remains a financial investment or asset that can help boast your credit. It can also help you to get health coverage or a loan. There are many policies with cash value. Even in case of bankruptcy, it cannot be touched by creditors. This is one of the main reasons to get midlife insurance now.

4. Supplement your retirement
You can make use of midlife insurance to ensure your retirement savings last for a long time. An annuity remains a do-it-yourself pension plan. When you put an amount of money into a life coverage product in return your stream of income will remain guaranteed month after month.

5. Pay final expenses
The cost of a burial and funeral can simply run into the tens of thousands of dollars. If you do not want your children, parents and wife to suffer financially and emotionally, it is a good idea to have midlife insurance in place. It can also help to resolve any problem your family may face when you die.

Middle insurance can be use to replace your spouse’s income and cover children’s expenses. With the difficulties of modern life, you would probably agree that middle age insurance covers so many risks or problems in one’s life. If you have no insurance at all, simply contact a reliable and reputable insurance company today. This will help you to avoid so many complications down the road.

7 Money-Saving Tax Tips That Really Work

Whether you are keenly aware of your financial responsibilities, or more of a head-in-the-sand kind of person, taxes are one area that we just can’t get away from.

But there is more to tax that just working out how much money to hand over to the government each year. There are a lot of schemes to help you save more, if you know where to look. Here are seven ways to save on your tax spend.


1. Tax-free college savings
If you are a parent, then saving for your kids’ college fees is smart on two levels. Not only are you investing in your child’s future, you are making a tax saving on this money. Talk to your bank about your options.

2. If you are employed then save more for retirement
Choosing to lower your wages by increasing your retirement contributions may not feel fab in the short-term, but it is a good option for two reasons. Firstly, you bulk up your retirement fund, and secondly, this lowers your tax cost.

3. Thinking of starting a business?
Business owners have some say over how they pay tax on their earnings. Funds can be kept within the company’s cash flow, rather than paid out to you as your wage allowance. As long as you leave yourself enough to live comfortably on, of course.

This is a great example of something to discuss with a qualified accountant. When this is done right, it is both sensible and very beneficial. Just do not get it wrong and wind up in trouble with the government.

More: 5 Stupidest Things People Told Me When I Was Starting My Business

4. Health care comes with financial benefits
If you are employed and are offered a flex plan or other medical scheme of some kind, do consider it. These plans allow you to divert part of your paycheck to a medical costs account that you can use to pay your medical bills. You will be spared both income and Social Security tax on this money, saving you between 20% and 35% on medical expenses.

5. Do not rush to pay off your mortgage
Although this might be the opposite of the message instilled by your parents, keeping your mortgage going longer might be worth a closer look. In the US, interest on mortage payments is tax deductible.

So from a tax perspective, keeping your mortgage going longer may be beneficial to you. Of course, do not forget to compare this potential saving to the cost of the interest. But it is worth getting your calculator out and seeing what works for you here.

6. Get on board with energy efficiency
The US government has a scheme to reward energy-efficient homeowners with tax credits. Getting new wall or loft insulation, windows, or in some cases solar panels can result in a government reward.

 

7. Do not pay your tax bill late
Seriously… I know so many people who have done this more than once. And the fines are not small.

Getting your taxes done is not the time to procrastinate. I know it is boring, and sometimes a little complicated. But as with anything, knowledge is power.

If you stay informed of the best tips and tricks out there, keeping on top of your taxes can make you substantial savings. Why pay more than you have to?

7 Highly Professional Lawyers in Miami

Looking for a highly professional lawyer in Miami? I can recommend you a few lawyers at once. I’m definitely not trying to promote any lawyer, but since many ask me about them, I did a little research and am ready to give you some information about each of them. Hopefully, it will help you solve your problem.

Highly Professional Lawyers in Miami

1. Albert E. Acuña
With bachelor’s and master’s degrees from the University of Florida, and a law degree at the University of Florida Levin College of Law, Albert E. Acuña focuses his practice on real estate and business law, including real estate litigation, commercial litigation, as well as legal matters related to condominium and homeowners’ association matters. Albert E. Acuña is licensed to practice in every Florida state court, and the U.S. District Courts for the Middle and Southern Districts of Florida.

2. Andrew Bernhard
Andrew Bernhard has represented financial institutions, corporations, and national real estate developers in their complex commercial, real estate development and consumer finance matters. Mr. Bernhard received the John F. Evans Memorial Scholarship for excellence in Litigation Skills and the CALI Excellence Award for International Moot Court. Andrew Bernhard is one of the top rated real estate lawyers in Miami according to a Super Lawyers’ list.

3. Liliana Loebl
Liliana Loebl concentrates mainly on family law. She handles complex and high asset family and marital law matters, prenuptial and postnuptial agreements, cases involving dissolution of marriage and time sharing, paternity, child support, domestic violence, alimony, and modifications of child support.

4. Harry Payton
With more than 45 years of experience in state and federal court, Harry Payton is Board Certified by The Florida Bar in Business Litigation and Civil Trial. Harry Payton represents domestic and foreign corporations as well as high net worth individuals in complex business litigation matters that involve commercial foreclosures, commercial real estate, and lender liability.

He also focuses on corporate, shareholder and partnership disputes, probate, will and trust litigation, litigation involving intra-family business disputes, and professional malpractice cases involving accountants, attorneys, engineers and architects for plaintiff and defense.

5. Melisa Pena
Melisa Pena graduated and received her Juris Doctorate from Florida International University College of Law and focuses her practice on immigration, family law, сonsumer, and civil litigation: plaintiff.

6. Kendall Coffey
Kendall Coffey focuses on complex litigation at both trial and appellate levels, in state and federal courts. Kendall Coffey has served as a legal analyst providing commentary for national and international television networks, including CNN, Univision, CNBC, FOX, Canadian Broadcasting Company, and many others. He has also written a few books and articles on legal topics in publications, including the New York Times, Wall Street Journal, and the Yale Law and Policy Review.

7. Christin Bucci
Christin Bucci concentrates her practice on the negotiation of settlements, federal and state tax matters, including tax planning and analysis, and defense representation in cases involving the failure to file returns and tax fraud.

When writing the article, I used the information posted on Super Lawyers. Hopefully, this information has helped you. Have you had experience with a lawyer is Miami? Can you recommend any of them?

15 Warning Signs You Are Living Beyond Your Means

Nowadays most people are trying to improve their personal finances. Some people cut out unnecessary expenses, while others seek for some ways to increase their income. Living within your means actually makes good financial sense to be debt free. Check out these warning signs you are living beyond your means and start making some financial changes in your life right now.


1. You can’t pay bills on time
If you forget to pay your bills, it’s one thing. But, if you don’t have enough money to pay bills on time, you are overextended. Examining your spending habits and adjusting them can solve this problem. Perhaps, you can’t afford regular massages or weekly salon visits. So think it over.

2. Lack of a financial cushion
If you don’t have any savings account, it is one of the warning signs that you are living beyond your means. Money in the bank will support you after a job loss, a sickness and another emergency. When you live beyond your means, you spend all your money and you don’t think about saving them. Try to break this habit and you will free up money for a financial cushion. Eat out less, shop less and vacation less.

3. You’re constantly borrowing money
Do your family members or friends dodge your text messages and phone calls? Probably it’s because they know that you’ll ask for money. If your current income can’t support your lifestyle and you are always borrowing money, you are living beyond your means.

4. Housing ratio is higher than 28%
When you live within your means, your housing ratio is less than 28% of your income. To compute your housing ratio, divide your monthly housing expense by monthly income. You are living beyond your means if the ratio is higher than 28%.

5. Bad credit
Don’t think that the late payments are the only cause of poor credit. Too much consumer debt also affects your credit score. Even if you pay the bills on time monthly, your credit score never increases. So think of paying off your debt. Don’t rely on your credit cards since it can cause high credit card debt.

6. You’ve exceeded your credit card limit
Have you ever maxed out a credit card? It’s a bad feeling, right? And when you have exceeded your credit card limit, it’s even a worse feeling, because now you are paying your bill, interest and over-limit fees. That’s a ton of money to put towards only one bill. Plus, it can lower your credit score.

7. You use your credit card to pay bills
Using your credit card to pay off your basic bills such as utilities or other credit cards’ bills is a red flag. And transferring balances from one card to another is also a warning sign of living beyond your means because you are not paying anything down.

8. You only pay the minimum payment
If you only pay the minimum payment every month, its’ one of the biggest sign you are living beyond your means. Paying the minimum won’t help you pay off your debt and you will be paying more in interest, and this can only add to the problem.

9. Denied new credit
If you do not have the cash, but you want a new laptop or flat screen television, you might apply for store credit. You think that you have enough income and you can afford the monthly payments. However, income is not the only factor that can determine whether you’re approved. The stores also take into consideration your existing debt. Denied new credit indicates living beyond your means.

10. Your credit balances are high
It’s okay to have more than two credit cards. However, if all of the balances on your credit cards are high, you are definitely living beyond your means. Moreover, if you have high balances it will prevent you from getting a new credit and it’s more difficult to pay off, thus you will end up paying tons in interest.

11. You try to keep up with your friends
Does your best friend shop and vacation often? Do you try to keep up with her lifestyle? If so, you are probably living beyond your means. There is nothing wrong with a little fun, of course, if you can afford this fun.

12. You buy everything you want, even if you can’t afford it
Many people are guilty of this, including me. Although I write a good budget, sometimes when I get my paycheck, I spend all money on the thing I really want. Then, I end up living paycheck to paycheck, thinking where to get money to buy the essential things, including food. That’s hard to do. If you really want to buy something, try to budget for it. Don’t just buy it. You should always remind yourself that if you can’t pay for it with cash, you shouldn’t purchase it.

13. You spend more than 25% of your income on eating out each month
Do you know how much money you spend on eating out each month? If you spend more than 25% of your paycheck on eating out monthly, you are definitely living beyond your means. You might have a super busy schedule, but it doesn’t mean that you can’t cook at home. There are lots of healthy snacks and meals which are quick and easy to make at home. Meal planning can save you a lot of money.

14. You are saving less than 10% of your income for retirement
If you have not been saving at least 10% of your paycheck for retirement each month since age 25, that’s a red flag. Saving for retirement is among the most important things everyone has to do. Even if you are in your 20s, you need to start saving. The earlier you start saving for retirement the less you’ll need to put aside monthly to achieve your retirement savings goals.

15. You don’t have a budget
Finally, if you don’t have a written budget, you have a high chance of overspending your money and living beyond your means. A written budget shows if you’re spending more or less than you can afford. Start a budget now and you will see how much money you are actually spending and how much money you can save each month. This will help you live within your means without debts. If you have credit cards, make sure you keep track of the money spent with them too.

I know, living within your means is restrictive, but you can enjoy financial happiness and peace of mind. While buying expensive things can bring temporary happiness, it won’t make you happier. You may end up spending the whole month or even year paying off your debts. Are you living beyond your means? What are you going to do to change the situation? Please, comment below.

Ten years on from the global financial crisis how goes it for the UK and the pound?

The overall picture is of some UK growth in output, but that’s more down to increased employment than any productivity gains.iStock
It’s been 10 years since the global financial crisis first reared its ugly head in the form of tightening liquidity conditions and reports of losses in US mortgage markets. Over that time, the UK’s public sector net debt has increased almost four-fold, the Bank of England’s base lending rate has fallen from 5.75% to 0.25%, and 10-year gilt yields from just above 5% to just above 1%.

Real GDP has increased by 13%, which looks respectable enough until you note a near 10% increase in employment. And while wages have increased by 22% over the last decade, consumer prices have increased by 26%.

The overall picture is of some growth in output, but more due to increased employment than to any productivity gains, which have been dismal.

The weakness in productivity is one factor holding down real wages, which have fallen slightly over the last decade.

It’s not the only one of course and weak real wage growth is a universal story among developed economies. But UK households have been particularly afflicted by the impact of all this on the pound, and from there on inflation.

The value of the pound has fallen by 36% against the dollar, and by 25% against the euro. That’s been a factor driving import and consumer price inflation, but unfortunately, it hasn’t really done anything for the UK’s balance of payments.

Exports and Imports have both grown by 55% in 10 years, which is respectable enough but the net result is that the trade deficit, £38.5bn in the year to June 2007, was £37.4bn in the year to June 2017. The current account balance performed worse – widening from £37.5bn in 2007 to £84.5bn in 2016.

General disgruntlement at the failure of improvement in living standards has had political implications, and is a factor in the vote to leave the EU. That, in turn, has created huge uncertainty over the UK’s medium-term economic outlook, while the US economy continues to grow at a respectable pace, and the European economic outlook in general, is improving.

Beyond Brexit

The result is that although the UK’s economic performance has been better since the referendum vote than many had feared, the country has still fallen sharply down global rankings.

General disgruntlement at the failure of improvement in UK living standards has had severe political implications. Matt Cardy/ Getty Images
If you measure your currency performance solely in terms of the dollar/sterling exchange rate, then 2017 hasn’t been too bad – the pound is up by 5% against the dollar. However, that’s mostly because the dollar has been the weakest of all the major currencies.

The only other majors that have underperformed the sterling are the New Zealand dollar, the Brazilian real, and the South African rand. At the other extreme, the euro, as well as Danish and Swedish kroner, have gained about 6% against sterling. It’s no surprise that given the big falls against near-neighbours, the pound’s trade-weighted value is slightly (2%) weaker than it was at the end of 2016.

Sterling vs exports

An uncertain economic outlook, and the contrast with the reduced political uncertainty in the euro area, is going to go on weighing on sterling. It’s only defence is that the level, just 3% above the lows of the last decade (and 10% below the average), is pretty extreme. That probably means that it can’t fall much further, even if the economic outlook argues against much of a bounce.

Hardly a thrilling prospect, and the failure of the fall in 2007-2009 to help boost the UK’s export performance argues against getting hopes up too much regarding possible benefits for exporters from the currency’s weakness.

Several years with low rates, a cheap currency, persistent current account and budget deficits and mediocre economic growth loom ahead for the UK.
– Kit Juckes
If a near 30% fall in sterling’s value in 2007-08 didn’t help exports much, why would a 20% fall since mid-2015 have a huge impact; all the more so given the uncertainty about the UK’s post-Brexit trading relationships?

Several years with low rates, a cheap currency, persistent current account and budget deficits and mediocre economic growth loom ahead for the UK. Meanwhile, global markets seem set to be driven by the continued weakness of both productivity and wage inflation in developed economies, which anchor interest rates and bond yields.

And in currencies, anchoring US interest rates means that any moves on the part of the European Central bank are likely to drive the euro higher. I still can’t see how the euro area can hope to enjoy both an undervalued currency and a large current account surplus, unless monetary policy is devoted solely, or at least largely, to keeping the euro down.

The Big Mac index suggests EUR/USD fair value is 1.25, while the more sophisticated OECD measure of purchasing power parity is at 1.33. EUR/USD is likely to rise to a level between 1.25 and 133 in the next couple of years. In the process, the pound will lose ground to the Euro (GBP/EUR falling to 1.05 or so) while gaining a little against the dollar (towards 1.35).

Indian mining behemoth Adani cleared in financial fraud investigation

Adani Group has denied allegations of overvaluing the power equipment used in its projects in IndiaGetty Images
Indian mining giant Adani Group has been cleared of illegally siphoning money to offshore tax havens by the country’s customs authority.

Indian customs investigators had raised allegations in 2014 that Adani was using a front company in Dubai and other intermediaries to overvalue machinery and equipment imported for electricity projects in India.

The inflated amounts paid for the equipment were alleged to have been routed to a holding company in Mauritius managed by Vinod Shantilal Adani, the older brother of Adani Group chief executive Gautam Adani.

However, an official at India’s Directorate of Revenue Intelligence (DRI) appointed to adjudicate the case struck down the claims this week, the Indian Express newspaper reported.

KVS Singh said that while the Adani subsidiaries operating power projects in the states of Rajasthan and Maharashtra were connected to the Dubai front company EIF through Vinod Adani, he had come to the conclusion that the relationship had not affected the transaction value of the imported equipment.

“I find that the allegation that the impugned goods were overvalued does not hold water,” he said in his ruling on 22 August.

Sources told the Indian Express that the ruling was a big blow to a separate DRI investigation against the Adani Group and other Indian firms that are looking into claims they overvalued electricity equipment imports through a similar modus operandi.

The Adani Group has denied the allegations, with the company saying in a statement to the Guardian that it would continue to cooperate with the DRI’s investigation.

“It is a standard procedure for the group to follow international competitive bidding route for major capital expenditures to ensure transparency and competitiveness in the process,” it said.

“All our transactions are always conducted within the framework of extant regulatory guidelines and provisions.

“The fact that our projects have incurred the lowest cost across central, state and private utility players has gone to establish the robustness of the processes followed by our group.”

Meanwhile, a court in Brisbane has dismissed the Australian Conservation Foundation’s appeal against Adani’s controversial Carmichael coal mine in Queensland on 25 August.